'Wide-ranging' cuts considered to close East Sussex budget gap
The county council is asking the Government for further support
East Sussex County Council is looking at wide-ranging cuts in an effort to help close a £57 million gap in its financial forecasts.
On Wednesday (November 13), cabinet members are set to consider a report on the council’s planning for the upcoming 2025/26 financial year, which includes proposals to find a further £12m of new savings.
The additional savings — including staffing cuts, service reductions and increased parking fees — would come on top of the previously announced £3.994 million of adult social care cuts, which were put out to public consultation in September.
According to the report, the combined savings are needed to address a £57 million deficit in the council’s financial forecasts for 2025/26. It goes on to warn that these savings, even when combined with grants, council tax increases and other projected income (expected to bring in around £28 million), would still leave a £13 million hole in the authority’s finances next year.
The report reads: “Much is still to be determined around specific funding allocations for the coming year, and the funding outlook for 2026/27 onwards, the impact of new and ongoing national reforms, and the medium to longer term impact of the increases in demand and cost our services continue to experience.
“Work will continue into the winter to understand the detailed funding picture as it emerges, the implications of national policy developments, and to refine our understanding of the county’s needs. This analysis will feed into our ongoing business and financial planning, ahead of final proposals for the 2025/26 budget and council plan being brought to cabinet in January for consideration, and council in February for decision.
“We will also progress the savings proposals set out to cabinet through our consultation, governance and decision making processes, to ensure that members have the information necessary to take budget decisions in the new year.”
The report also discusses last month’s national budget, saying its overall impact on the council’s finances was “likely to be limited”. This, the report says, is because additional funding — such as an increase in the Core Schools Grant — would be balanced by increased costs in other areas, including those resulting from increases to the National Living Wage and the level of National Insurance paid by employers.
The report reads: “We will continue to assess the impact of these announcements for ESCC as we receive further detail from the government in the coming weeks.
“However, given the balance of funding and costs, it is already clear that the overall impact is likely to be limited and the council will continue to face a substantial funding gap in the year ahead.”
According to the report, the council expects somewhere in the region of 160 posts (130 full time equivalent) could be deleted as a result of its new savings proposals. These job cuts would fall across a number of departments.
As part of the savings proposals, the council is considering ceasing its “direct climate change activity”. According to the report, this change would effectively remove the council’s ability to deliver on its decarbonisation commitment.
It would also look at ceasing the Discretionary East Sussex Support Scheme (DESSS), a service which provides emergency help in exceptional circumstances. This help is usually in the form of food and utilities.
The proposals also include plans to close or rent out parts of County Hall to reduce running costs and generate rental income.
The council is also looking at increasing on-street pay and display parking charges by 5 per cent.