budget deficits
Councils are addressing budget deficits by reviewing spending and increasing council tax to manage financial challenges.
Wandsworth Council recently scrapped estate regeneration plans in July 2026 as part of a spending review to address an inherited £137 million budget deficit. This decision, confirmed at an extraordinary council meeting, followed an £84 million reduction in government funding and significant overspending from the previous administration, as stated by Councillor Peter Graham.
Croydon Council increased council tax by 4.99% in November 2025 to manage financial challenges, including a £1.4 billion debt burden and exceptional demand for services. A report to the Scrutiny & Overview Committee highlighted an estimated £72 million cost in 2025-26 to service this debt. Budget deficits occur when an organisation's expenses exceed its income. No upcoming meetings are listed for this topic.
Key facts
- Wandsworth Council scrapped estate regeneration plans in July 2026 due to a £137 million budget deficit. Source
- Wandsworth Council's budget deficit included an £84 million reduction in government funding. Source
- Croydon Council increased council tax by 4.99% in November 2025. Source
- Croydon Council faces a £1.4 billion debt burden. Source
- Croydon Council estimated £72 million cost in 2025-26 to service its debt. Source
About this summary
This summary was written automatically from our published stories and the council meeting records they draw on. It describes what councils have discussed and decided; it does not take a view on any decision. Each key fact links to the story it comes from. Updated 30 September 2026. Spotted a mistake? Email community@opencouncil.network.