Bournemouth, Christchurch, Political, Poole | Posted on August 25th, 2026 | return to news

£27 million budget deficit for BCP Council

Cllr Mike Cox says funding for vital services such as adults and children’s care is not keeping up with need or rising costs.

Bournemouth, Christchurch, Poole (BCP) Council faces a budget deficit of £27 million for 2026/27.
This is substantially due to the increasing number of children and adults needing support across the conurbation.

BCP Council is also carrying significant additional pressure linked to the Dedicated Schools Grant High Needs Block, including an annual interest payment of around £10m, which further reduces the money available for local services.

Cllr Mike Cox, deputy leader and portfolio Holder for Finance, said: “We have warned government repeatedly that councils across the country are at the sharp end of a national funding crisis.

“Ultimately, funding for vital services such as adults and children’s care is not keeping up with need or rising costs of delivering that care. This is a gap that central government must address urgently because demand is rising, inflation is rising, and yet government funding for BCP Council will reduce by £15m in real terms by 2028/29. It’s easy to see that this is simply not sustainable.

“We welcome the government’s recognition that reform in areas such as SEND and Adult’s Social Care is needed, but councils cannot afford to wait for that change. Our residents and communities need action now before the services they want and need suffer.

“Locally we have done everything we can to manage the financial impact of this rising need for care responsibly. We are entering this period of unprecedented pressure from a far stronger position because of the careful financial management we have put in place in recent years. We’ve worked hard to control spending, bring in extra income, deliver planned savings, reduce costs of running services by being more efficient and freeze non-essential spending across the council – and we will continue to do so.

“It is this strong financial discipline which has enabled us to build reserves, helping us respond to this growing need. But using reserves is a last resort and cannot continue indefinitely. This is not a local issue. It is a growing national crisis. Without action, councils across the country will struggle to protect and support those who need it most.

“We’ve already reduced spending in areas of the council, including £14m planned savings and efficiencies in 2026/27. But efficiencies alone cannot keep pace with rising demand. We need government to act now and will continue to lobby for that change to happen.”

The 2026/27 Council Budget Monitoring Q1 report will be considered by cabinet on 2 September.