Budget shortfall at West Sussex County Council

Thursday, 4 December 2025 05:00

By Karen Dunn, Local Democracy Reporter X @Karen_Dunn

County Hall Chichester. Image: LDRS

West Sussex County Council faces a budget gap of £16.2m in 2026/27 as well as an overspend of £19.7m in 2025/26, councillors have been told.

And the blame for most of it has been placed firmly at the feet of the government.

At the end of June, the predicted overspend for the current financial year was £17.6m. Its rise to £19.7m was largely driven by the demand and complexities in social care for both adults and children.

During a scrutiny committee meeting on Monday (December 1), Jeremy Hunt, cabinet member for finance, said it was ‘obviously disappointing’ to see it increase.

He added: “It is a clear indication of the looming crisis in social care, which is right across the country. Unless this government tackles these issues head on – having already delayed any reform of adults social care and pushed back the White Paper on education – many councils will be seeking assistance from the government in coming years.”

A report to the committee said there was a ‘significant risk’ that the council would have to use reserves to cover the overspend for the third year in a row.

As for how the situation was looking for 2026/27, Mr Hunt was less than pleased with government proposals to reform council funding.

According to the government, the proposals – Fair Fundung Review 2.0 – aim to make the funding process ‘fairer and simpler’. This includes giving more money to areas with higher levels of depravation.

With West Sussex considered to be one of the more well-off areas, the council is preparing to lose £10m per year for the next three years.

The finance settlement is due to be announced this month.

Mr Hunt stressed that £10m of the £16.2m budget gap being predicted was ‘entirely down to the policies of this current government’.

He added: “We’re obviously working hard to close that gap, and this is still very much a work in progress. We will be bringing forward our proposals on how we intend to achieve this when we present the final budget papers in January.”

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