At last night’s Full Council meeting (Wednesday 11 February 2024), councillors approved a balanced General Fund Budget for both 2026/27 and 2027/28. This is an exceptional achievement in the current economic climate. This two-year budget comes at a time when Guildford’s wider performance indicators are among the strongest they have been in years, with service levels improving across the board.

Importantly, the budget has been delivered without any cuts to the services that residents and businesses depend on. When many councils across the country are facing severe financial pressure, Guildford continues to strengthen its position while enhancing outcomes for residents.

The budget also supports the smooth transition to the new West Surrey unitary authority in 2027, ensuring the Council can continue providing high-quality services as governance and funding arrangements evolve. This includes £822,648 in one-off costs for 2026/27 to integrate services, align governance and harmonise IT and staffing arrangements.

Cllr Julia McShane, Leader of the Council, said: “I’m incredibly proud that, despite the financial pressures facing all councils, we’ve delivered a balanced budget for two years with no cuts to services.

“I’m extremely pleased that we can maintain funding for the Local Council Tax Support Scheme, offering real support to low-income households.

“Our commitment to serving residents remains stronger than ever. As we prepare for Local Government Reorganisation, we’ll keep building on this momentum.”

A more stable funding environment

For the first time in more than a decade, councils have received a multi-year finance settlement from central government. This increased stability gives Guildford a clearer basis for medium term planning and supports the Council’s two-year balanced budget.

Savings and income

The budget includes £1.4 million in savings and additional income, including £717,000 from leisure centre management income following the successful re-procurement of the leisure contract in 2025/26.

Targeted investment

• Priority services: £414,000 of funding includes essential support to strengthen services and an increase in the Council Tax Hardship Fund. This will offers extra support for residents facing financial challenges. The Council will continue to invest in the upkeep of existing buildings and resourcing vital areas, such as ecology and IT. This will help improve service delivery and environmental sustainability.
• ‘Invest to Save’ projects: in line with our commitment to long-term financial responsibility, £137,000 will fund projects, including the development of Shared Regulatory Services. These initiatives are designed to protect essential statutory services while driving future savings and operational efficiency.
• Funding for previously approved growth bids: £699,000 will help improve the efficiency and effectiveness of services and includes updating planning and building control systems.  Progressing the Local Plan is critical for guiding the future development of the borough in a way that benefits all residents. This funding will help the Council continue to build a thriving community with the infrastructure and services needed for growth.

Income generation and fees

Fees and charges have been reviewed as part of the budget process, with general inflationary increases applied for 2026/27 except for statutory charges set by external bodies.

Strong reserves and financial resilience

Reserves remain stable. At the end of 2025/26, non-ringfenced reserves are estimated to be around £11.5m, demonstrating ongoing financial resilience.

Cllr Phil Bellamy, Lead Councillor for Finance, said: “We’re in a strong financial position, with a two-year balanced budget and healthy reserves. We remain financially resilient and are investing where it’s needed most and protecting services. “Residents can have real confidence that we’re entering the new West Surrey Council from a position of genuine financial strength.”

Commitment to transparency and strong governance

Scrutiny of the Medium Term Financial Plan and budget proposals highlights the Council’s commitment to transparency, good governance and its priority of remaining a resilient and well-managed organisation.