The following challenges were being managed during quarter 1, 2026 to 2027.
Funding
Actions are being taken to address financial sustainability challenges resulting from the Government’s Fair Funding 2.0 changes, and to find solutions to reduce the amount of reserves used to balance the budget.
Work has focused on:
- areas of underspend in 2025 to 2026
- additional income
- maximising grant use
Further work on these solutions continues in parallel with the systematic monitoring and managing of the in-year budget variances.
Children's and Adult's services
We have been managing increasing demand across Children’s and Adult Social Care, SEND provision and specialist placements. We have been doing this alongside balancing market sufficiency, provider cost pressures and wider health system changes, within constrained budgets.
Capacity to deliver high priority actions
We have been maintaining capacity to deliver reform, improvement and inspection readiness. This is alongside business-as-usual delivery, such as:
- major SEND reform
- preparations for further SEND and Adult Social Care inspections
- managing workforce planning challenges linked to grant funding uncertainty and reliance on agency staff.
Mitigating actions include commencing inspection preparation activity and delivering Care Quality Commission staff preparedness sessions for ongoing readiness.
Delivery of new and affordable homes
Housing delivery remains below forecast, with 87 net completions recorded against a forecast of 148. No affordable homes were granted planning permission on qualifying sites during the quarter.
As these measures are influenced by development activity and market conditions, performance will continue to be monitored as the year progresses.
Recycling contamination
Recycling contamination remains above forecast, with incorrect items continuing to be placed in blue recycling bins.
Although awareness campaigns and targeted engagement with residents are ongoing, contamination levels remain a challenge and continue to impact recycling performance.