A public consultation has launched today (2 November 2026) and will run until 13 December 2026, to seek residents’ views on options ranging from further efficiencies and generating income to changes in charges, services and council tax.
Responsible financial planning, working more efficiently, transforming how the services are delivered, as well as carefully using reserves (money set aside to help plug budget shortfalls) have all helped the County Council manage sustained financial pressures. Together, by March 2028, these measures will have reduced costs by a total of £770 million since 2008, whilst maintaining Council Tax rates at one of the lowest in the country.
But faced with a budget shortfall of £198.9 million in 2027/28 and insufficient reserves to address the gap, local action alone is not enough. Further steps are now needed, including seeking support from central Government to help balance the budget in the financial year ahead, and beyond.
Councils across the country are facing similar pressures as the cost of delivering essential services like social care for vulnerable children and adults, and school transport for children with additional needs and disabilities is rising faster than the funding available, while Government grant funding has failed to keep pace. Furthermore, councils are restricted in ways they can generate income or raise council tax to help offset these growing budget pressures.
Residents are now being asked to provide their views on a range of options to help close the budget gap, including:
- continuing to deliver efficiencies and reviewing how services are delivered
- pressing the Government for additional funding and legislative change
- generating additional income
- introducing or increasing charges for some services
- reducing, stopping or delaying some services
- increasing council tax
- using one-off funding from reserves
- seeking Exceptional Financial Support from the Government
Leader of Hampshire County Council, Councillor Nick Adams-King, said: “We have a responsibility to make every penny count and protect the services Hampshire’s residents rely on. We have acted early, changed how we work and made difficult decisions. Last year we delivered £95 million in savings, with a further £40 million of efficiencies built into this year’s budget. That is responsible, disciplined financial management.
“But residents deserve a clear explanation of why the gap continues to grow despite that work. Every month, around 45 more older residents need our help paying for care after their own savings run out. We are also supporting more adults and children with increasingly complex needs. These are essential responsibilities, and we cannot simply turn people away.
“School and post-16 transport spending has risen from £50 million to £92 million in four years, particularly because of growing demand for transport for children with special educational needs (SEN) and disabilities. This despite our saving many millions through investment in new SEN provision and constant review of school travel policies and arrangements. The Government’s increase in employers’ National Insurance has also added to care providers’ costs, feeding through into the fees councils must pay.
“On top of those pressures, the Government’s so-called Fair Funding changes are taking around £28 million out of Hampshire’s funding in 2027/28, widening the shortfall we have to close. There is nothing fair about taking money away from Hampshire while the number of people needing our help continues to grow.
“We will keep challenging costs, finding efficiencies and investing in local care and SEND provision that improves support and reduces longer-term expenditure. I am proud that our Children’s Services remain rated Outstanding and Adult Social Care Good. Protecting that support for our most vulnerable residents remains our priority.
“But a £198.9 million shortfall cannot be closed through efficiencies alone. Government determines the services we must provide and restricts how we can raise the money to pay for them. Ministers must give Hampshire a fair funding settlement and the freedoms to reform services and generate income.
“We owe residents honesty about the choices ahead. This consultation gives everyone the opportunity to tell us what matters most before decisions are made. Please take part. Your views will help shape those decisions, while we continue pressing the Government to play its part.”
People can have their say between 2 November to 11:59pm on 13 December 2026. via the online response form on the consultation webpage: www.hants.gov.uk/budgetconsultation.
The full information pack about the proposals in the consultation are available on this webpage, as well as details of ways people can respond, including how to request and return a paper copy.
The consultation findings will then be considered alongside the available financial information and will help inform decisions taken by the County Council when it sets its budget in February 2027.