Cabinet reports show early progress on Shropshire Council’s financial stability plan 

Shropshire Council’s Cabinet will consider a series of important reports next week which show early progress towards stabilising the council’s finances, while also setting out the difficult decisions still needed to put the organisation on a sustainable footing. 

At its meeting on Wednesday 9 September 2026, Cabinet will consider the Financial Monitoring Report for Quarter 1 2026/27. The report forecasts that the council will be £2.291 million under budget at the end of the financial year and shows that the council’s expected need for Exceptional Financial Support from Government has reduced from £121 million to £90 million for 2026/27. 

This is a positive and important step for the council, which has been clear that 2026/27 must be focused on restoring financial stability, strengthening budget management and laying the foundations for longer-term improvement. 

Much of this work is already well underway. Improved financial monitoring arrangements are now in place, alongside the council’s Improvement Plan, Corporate Plan, Financial Sustainability and Recovery Strategy, and wider transformation work to reduce demand, improve productivity and make services more sustainable. 

However, the council is clear that this is still the start of a much longer journey. Significant pressures remain, particularly in Children’s Services and Adult Social Care, and further difficult decisions will be needed to secure the council’s long-term financial future. 

Councillor Heather Kidd, Leader of Shropshire Council, said: 

“This report shows that we are beginning to see the green shoots of financial stability. That matters, because stabilising the council’s finances has been our clear focus for this year, and early progress gives us a stronger foundation to build on. 

“But we must be honest with residents: this is not the end of the journey. We are still facing a very serious financial challenge, and there will be more difficult decisions ahead if we are to reduce our reliance on borrowing and make Shropshire Council financially sustainable for the long term. 

“Exceptional Financial Support gives us breathing space, but it is still borrowing. Borrowing less means paying less interest, and that gives future councils more room to protect the services residents rely on. That is why we have to keep a tight grip on spending, continue improving how we plan and manage budgets, and make decisions that will leave the council stronger in the years ahead.” 

Cabinet will also consider reports on the future of Cornovii Developments Ltd, the council’s wholly owned homebuilding company, and options for Whitchurch Civic Centre. Both of which will require difficult decisions to be made. 

Another report will focus on strengthening support for foster carers. The proposals are expected to help reduce costs over time, but more importantly they would give more children the chance to grow up in safe, stable and nurturing family homes within their own communities. 

Councillor Kidd added:  

“The reports coming to Cabinet show both sides of the position we are in. There is real progress, and that should give residents confidence that the council is taking its financial responsibilities seriously. But we are also having to make tough choices about assets, companies and services because we cannot keep borrowing to maintain everything as it is. 

“The fostering report is a good example of the kind of change we need to make. By investing in our foster carers, we can give more children the chance to live in caring family homes, improve their outcomes, and reduce the need for much more expensive care in future. That is better for children, better for families and better for the council’s long-term financial position.”