At a meeting of the Executive on 13 January, councillors will consider an initial draft of the budget proposals, which sets out plans for a gross spend of £45 million to deliver vital local services in 2026/27. These include planning, leisure, parks and playgrounds, parking, housing, environmental health, refuse and recycling, and street cleaning.
To balance the books, the council has had to find savings or generate additional income to close a £890,000 budget gap. This brings the total savings achieved since 2020 to £10 million.
For 2026/27, this has been delivered primarily through proposed changes to car park operational hours, tariffs and maximum stay periods; fees and charges rising in line with inflation; and a move from a lease model to an agency agreement with Everyone Active, which runs the council’s leisure facilities. This change secures financial benefits for the council and improves the long-term financial sustainability of leisure services. These measures are further supported by the positive impact of a triennial pension valuation on the council’s overall financial position.
The council has also set aside £0.5 million this year to meet anticipated costs associated with Local Government Reorganisation, with a government decision expected later this year on how local councils in Hertfordshire will be reorganised into unitary authorities.
To help meet the rising cost of providing services, a council tax increase of 2.99% has been proposed. This is below inflation and, if approved, the average Band D household would pay an extra £5.99 a year, bringing the total yearly cost for East Herts Council services to £207.03.
The details of the council’s capital spending programme will be set out later in January.
Councillor Carl Brittain, Executive Member for Financial Sustainability, said: “Continued reductions in government funding mean that achieving a balanced budget remains challenging. As a result, once again we have had to make difficult decisions to protect the services residents rely on. Although the council has received a three-year funding settlement from government, funding levels are expected to decline further over the next two years, adding to the ongoing financial pressure.
“Council tax accounts for only around 27% of our total funding, which is why these pressures are so hard to manage.
“However, we remain committed to investing wisely and focusing our spending on the priorities that matter most, working closely with our communities.”
The full budget proposals are available on the council’s website. The report will be considered by a joint meeting of the Overview and Scrutiny and Audit and Governance Committees on 28 January 2026, ahead of final approval by Full Council in March.