Ipswich Borough Council’s Executive will consider the Medium Term Financial Plan (MTFP) for 2026/27, including the Budget for 2026/27, at its meeting on Tuesday 10 February. If approved, the Executive will recommend the plan to Full Council on Wednesday 18 February.
The MTFP sets a balanced 2026/27 budget, and a four‑year outlook aligned to the Council’s Proud of Ipswich strategic priorities: a thriving town centre; meeting housing need; becoming a carbon‑neutral council; community wellbeing and fairness; and long‑term financial sustainability.
The Council’s early and decisive actions since 2024 have placed Ipswich on a far stronger, and more sustainable financial footing. There is no requirement for any new savings programme for the first time in at least a decade.
The 2026/27 Budget proposes a major step change in investment in the town centre, with over £70 million allocated over the next four years. This unprecedented level of investment has been made possible through:
- prudent and timely investment in the pension fund which has reduced costs
- more than three‑quarters of the £19m multi-year Council’s savings programme already delivered
- the best Government financial settlement for Ipswich since at least 2016, with an additional £2.2 million in funding
- a more stable national economic outlook, with lower inflation and interest rates providing a better environment for financial planning
This investment will help accelerate regeneration activity, support local businesses, improve public spaces, and increase footfall in the heart of the town.
The Council budget allows for the continuing rising demand for key services, including temporary accommodation, and new unfunded regulatory pressures, like building safety and housing standards.
With national inflation and interest rates now falling, the Council’s financial position continues to strengthen. A new three‑year national Government financial settlement, after more than a decade of reducing funding levels, gives greater certainty and supports better long‑term planning. The Council is optimistic about future national funding settlements following this year’s improved position.
To support residents across the Borough, the Council is proposing a 2.98% increase in the Ipswich Borough Council element of Council Tax. This is expected to be the lowest increase of the three precepting authorities (the Borough Council, Suffolk County Council and Suffolk Police & Crime Commissioner).
For an average Band B property, this represents a rise from £326.34 to £336.07 for the year (+£9.73 / +19p per week).
The Council will continue its 100% Local Council Tax Reduction Scheme to support more than 10,000 low-income households, and to protect those most affected by the cost of living.
The Council manages 7,934 homes. The Housing Revenue Account which is funded through tenants’ rents, not Council Tax, plans investment of £17m in planned maintenance during 2026/27 to ensure homes are safe, decent and energy‑efficient. The Council also plans to invest £11m to provide more new homes for residents and continues to strengthen services to support tenants and provide better ways for tenants to have a say in their housing service.
The Executive will also be asked to recommend approval of the Capital Programme, Treasury Management Strategy, Investment/Prudential Indicators, and Minimum Revenue Provision Statement for 2026/27, together with the updated Property Asset Management Strategy.
Councillor Martin Cook, Portfolio Holder for Resources, said:
“This year’s Medium Term Financial Plan demonstrates the tangible impact of acting early, taking tough decisions, delivering savings and investing wisely. Because of the positive steps we took from 2024 onwards, we are now in a stronger, more sustainable financial position - and crucially, with greater certainty, we can invest significantly in our town.”
“This Budget sets out our focus for major investment in Ipswich town centre and beyond - powered by prudent financial management, a stronger national economic backdrop, and the best Government settlement we have seen in at least a decade.”
“At the same time, we have avoided the need for any new savings programme, protected frontline services, supported local households, and delivered one of the lowest Council Tax rises locally. We’re protecting services today while securing Ipswich’s stability for the future.”
Details of the report to Executive can be found online at Agenda for Executive on Tuesday 10th February 2026, 6.00 pm | Democracy Online | Ipswich Borough Council