Local newspapers have rightly highlighted the challenging financial situation Hampshire County Council faces.
Our projected budget gap for the end of the 2025/26 financial year has increased from £132m to over £170m in recent months. Let me explain why and describe the actions we are taking to address this situation.
First, let me be very clear: Hampshire County Council is not ‘going bust’. We project our finances several years ahead. This allows us to foresee and understand the challenges in balancing the budget and continuing to deliver the services we are legally required to provide.
We are committed to transparency. Unlike some other councils, we believe in being open and honest with our residents, explaining the situation and describing the steps we are taking to address it.
Why is there such a gap in our budget? The county council has a legal responsibility to carry out certain functions. We cannot say ‘no’ if someone asks for support, and in many cases, we cannot means-test or ask for a contribution toward the cost of providing a service.
Examples include social care costs for older people, support for those with disabilities, the care of vulnerable children and young people, and school transport for those who meet the necessary criteria. It’s entirely right that we provide these services free of charge for those who need them. However, the consequence is a cost that is only limited by the number of people requiring support.
Our projections show that while we will be able to balance our budget for the next two years, by 2026, there will be an anticipated recurring shortfall in excess of £170m.
We have been lobbying for some years for assistance from the Government, either through additional funding or, more usefully, by allowing us to charge economic rates for some services and means-test others where we are currently prohibited from doing so.
Feedback from last year’s consultation told us that Hampshire’s residents were supportive of service changes but notably opposed to service reductions.
We conducted the ‘Future Services’ public consultation from January to March this year, asking people from across Hampshire for their views on proposed changes and reductions to some local services.
The feedback from the 14,400 residents who responded has been invaluable, offering fantastic insights, ideas, and challenges. I extend my heartfelt thanks to every one of them. We have heard you, and we are working hard to ensure your views are reflected in the decisions we make.
Before decisions are made, we must follow a thorough democratic process.
County council committees, have met throughout September, they have reviewed the proposals and have made recommendations to Cabinet, who will collectively decide the way forward for each proposal on October 14.
I am determined to find savings within our own organisation. No stone will be left unturned in our search for further efficiency. We are looking to our assets to create more income. A greater commercial focus, one that maximises the money we make from our investments and reduces overheads wherever we can, must be our priority – now more than ever.
I remain positive that we will resolve the financial challenges we face. We will find innovative solutions, work efficiently, and maximise the contribution from our assets.
To those reading this article, above all I promise that we will always remember it is YOUR money we spend. It is your family, friends and neighbours we are here to support when they need it. We will do that with kindness and compassion.
Nick Adams-King
Leader, Hampshire County Council
Councillor for Romsey Rural, (Chilworth, Nursling & Rownhams, Romsey Extra, the Blackwater Parishes and the Dun Valley Parishes)
TVBC Councillor for Blackwater (Wellow, Awbridge, Michelmersh & Timsbury, Sherfield English and Plaitford & Melchet Park)
Cabinet Member for Romsey Regeneration & Strategic Partnerships (South)
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