Barking and Dagenham Council must identify more than 12 million in savings or income to balance next year’s budget. Based on current spending and funding forecasts the council faces a 12.6 million shortfall next year, rising to 16.8 million for 2028-2029 without changes. Increasing demand and costs for services such as adult and children’s social care, education, private sector rents, temporary accommodation and fly-tipping are widening the gap. Inflation at 3.8% and a proposed 3.2% national pay rise for council staff add pressure to stretched budgets. The council is prioritising core services, efficiency measures and building financial resilience amid uncertainty.
Council leader Dominic Twomey said the gap will not be easy to finance. He said the council was striving to deliver legally required services against the backdrop of ever-growing demand and need that has to be met, ranging from [special educational needs], [to] temporary accommodation pressures and fly-tipping. Details of the gap were presented in a report to council leaders at a cabinet meeting on Tuesday.
The report said that based on current spending and funding forecasts, the council faces a 12.6 million shortfall next year. It added that, without changes, this would rise to 16.8 million for the 2028-2029 financial year.
The report said: Inflation is still pushing up the cost of delivering services, and rising wages are adding pressure to already stretched budgets, especially across social care and education. At the same time, demand for services continues to grow, driven by population needs, the ongoing cost-of-living crisis and housing pressures.
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