Demand pressures, particularly in adult and children’s social care, are expected to add £32.2 million to the council’s costs next year. As a result, around 77 pence of every £1 the council spends will go directly towards services for people, including public health.
The remaining 23 pence in every £1 will fund all other services, such as fire and rescue, highways and waste management, alongside the staff, infrastructure and technology that support service delivery across the council.
To deliver a balanced budget, councillors approved £46.5 million of savings. These will be achieved through service improvements, more efficient ways of working, and a reduction in employer pension contributions, made possible by the strong performance of the council’s pension fund. This reduction in employer contributions will not reduce employees’ pension benefits.
Councillors also agreed a 4.99% increase in the county council’s share of Council Tax, comprising a 2.99% general increase for county-wide services and a further 2% Adult Social Care Precept to help meet rising care costs.
For households, this means weekly Council Tax bills will increase by £1.23 to £25.90 for a Band B property – the most common in Suffolk – and by £1.58 to £33.30 for a Band D property.
Combined with a forecast 1% increase in the taxbase, the Council Tax changes will generate an additional £27.4 million for the council in 2026/27.
Alongside day-to-day spending, councillors approved a revised three-year capital programme, reduced from four years to reflect local government reorganisation planned for 2028. The programme will continue to fund essential projects such as school expansions and infrastructure improvements, while also investing in improvements to bus services, public rights of way, and cycling and walking infrastructure.
Cllr Richard Smith MVO, Suffolk County Council’s deputy leader and cabinet member for finance, economic development and skills, said:
“This has been one of the toughest budgets this council has ever had to set. Government funding has gone up only slightly, and, because that increase is below inflation, in real terms we are receiving less. That puts even more pressure on our ability to protect essential services.
“We have made the reluctant decision to increase Council Tax. We know residents are facing their own pressures, but the government’s finance settlement assume councils will raise Council Tax to the maximum. If we don’t, we risk losing vital grant funding, and that would force even harder decisions.
“Even with those challenges, we have set a responsible and realistic budget that protects key services and continues to invest in Suffolk’s future. But it also underlines a wider truth: council finances remain under real strain, and many of the long‑term solutions – including long-overdue SEND reform – can only come from central government.”
Councillors approved the budget at their meeting on Thursday 12 February 2026, following Scrutiny’s examination of the proposals on 13 January and Cabinet’s decision on 27 January to bring them to Full Council for approval.
The meeting can be watched back on the council’s YouTube channel. The budget papers can be viewed at committeeminutes.suffolk.gov.uk.
