I will be delighted to present the Ipswich Borough Council (IBC) budget, or more formally, the Medium Term Financial Plan (MTFP) to the meeting of the full Council this week.
It sets a balanced budget for 2026/27, with a four‑year outlook aligned to the Council’s Proud of Ipswich strategic priorities: a thriving town centre; meeting housing need; becoming a carbon‑neutral council; community wellbeing and fairness; and long‑term financial sustainability.
The Labour-run Council’s early and decisive actions since 2024 have placed Ipswich on a far stronger, and more sustainable financial footing. This year there is no requirement for any new savings programme for the first time in at least a decade.
The 2026/27 Budget proposes a major step change in investment in the town centre, with over £70 million allocated over the next four years. This unprecedented level of investment has been made possible through:
· delivering more than three‑quarters of the Council’s £19m multi-year savings programme
· prudent and timely investment in the pension fund which has reduced costs
· the best Government financial settlement for Ipswich since at least 2016, with an additional £2.38 million in funding
· a more stable national economic outlook, with lower inflation and interest rates providing a better environment for financial planning.
This allows us to support residents across the Borough. IBC is proposing a 2.98% increase in its element of Council Tax. This will be the lowest increase of the three tax raising authorities (the County Council and the Police & Crime Commissioner being the other two).
For an average Band B property, this represents a rise from £326.34 to £336.07 for the year (+£9.73 / +19p per week).
We will continue with our 100% Local Council Tax Reduction Scheme to support around 7,000 low-income households, and to protect those most affected by the cost of living.
We are using the Capital Programme - our strategic plan that outlines the council’s long-term investment in assets and infrastructure – to lay down a marker that we are ambitious for Ipswich going forward.
All councils have stringent financial controls on their budget. Councils must set a balanced budget: money out must equal money in. Councils face strict provisions on borrowing and must show any loan repayments in the budget until the loans are paid back. This is called the Minimum Revenue Provision.
In the coming financial year, we have allocated nearly £15 million for improvements in the town centre. This includes improving the acoustics in the Corn Exchange, new market stall gazebos, further improvements to the Regent Front of House, resurfacing car parks, town centre lighting improvements, bin replacement, repairs on some of the older buildings that IBC own in the town centre.
Further work on Town Deal projects is also covered, if you have been in town you will have seen the start of work on the Greener Ipswich project, where tree pits are being dug between the Corn Exchange and the Botanist.
The item with the biggest budget is the museum refurbishment, which will see the work on the interior galleries to create a fantastic cultural destination. There is also a million pounds in the capital programme for the redevelopment of Arras Square, which will transform the area into a vibrant and welcoming public space.
This year’s Medium Term Financial Plan demonstrates the tangible impact of acting early, taking tough decisions, delivering savings and investing wisely. Because of these positive steps we took from 2024 onwards, and with help from the Labour Chancellor, we are now in a stronger and more sustainable financial position.
With this certainty, we can invest significantly in our town to the benefit of all residents.
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