Walsall Council Cabinet Approves Controversial Budget with Tax Rise and Service Reductions
The cabinet of Walsall Council has formally approved a contentious budget proposal for the 2026/27 financial year, featuring a maximum allowable 4.99 per cent council tax increase coupled with substantial service cuts totaling £32.83 million. This decision, made on February 11, 2026, aims to balance the authority's books amid growing financial pressures.
Details of the Council Tax Increase and Service Cuts
The approved council tax rise includes a two per cent precept specifically earmarked for adult social care costs, which is ringfenced to address escalating demands in this critical area. Residents in Walsall already face the highest council tax bills among the four Black Country local authorities, and this increase will push annual payments for Band D households from £2,498.27 to £2,627.48, equivalent to approximately £7.20 per day.
To achieve necessary savings, the council has identified multiple cost-cutting measures across various services. These include a comprehensive review of the home-to-school transport program, which could lead to significant operational changes. Additionally, opening hours at Walsall New Art Gallery will be reduced by three hours weekly, generating an estimated saving of £22,000.
Further financial adjustments involve a proposed 20 per cent increase in parking charges, expected to save £20,000, and a review of the council's cultural offerings projected to save £100,000. The council also plans to scrutinize leisure and health initiatives, including the four Active Living Centres located in Bloxwich, Darlaston, Walsall Wood, and Gala, with anticipated savings of £267,501.
Budget Allocation and Future Financial Challenges
Nearly one-third of Walsall Council's entire £864 million budget for 2026/27 will be allocated to adult social care and children's services, highlighting the immense financial burden these essential services impose. Despite the planned tax increase and service reductions, the council forecasts a daunting £50.37 million budget gap in the coming years, even with annual 4.99 per cent tax hikes.
The 2026/27 budget proposal is now subject to a final vote at the full council meeting scheduled for Thursday, February 26, 2026. This vote will determine whether the measures proceed as planned or face potential amendments from council members.
Council Leadership's Perspective on the Budget
Councillor Mike Bird, Leader of Walsall Council and portfolio holder for finance, defended the budget as a proud achievement. He stated, "We should be proud of the budget we're presenting to full council. Walsall Council continues to demonstrate strong and robust financial management, and our financial standing continues to compare favourably to similar local authorities regionally and nationally."
This statement underscores the council's confidence in its fiscal strategy, despite the inevitable impact on residents through higher taxes and reduced services. The approval process reflects ongoing challenges faced by local governments in balancing budgetary constraints with community needs.
