Oxfordshire County Council has proposed a budget for 2026/27 while warning of significant future challenges resulting from funding reform.

A change to the way the government distributes grant money to councils to multiyear settlements means it will face challenges from 2026/27 with £1.5 million of new savings to services being discussed to help close a budget gap of £5.4m – and more significant reductions in the following two years, it says.

The council has not held its usual budget public consultation in December/early January to ask residents their priorities. Its Constitution says it will “canvass the views of members of the public, local stakeholders and others as appropriate and in a manner suitable to the budget, plan or strategy under consideration.” The Council was criticised for not holding a public consultation on what is its most important decision.

The county council says it will be unable to expand services as it would have liked and will ask scrutiny councillors and cabinet for views on how a current funding gap of £5.4m can be dealt with by 10 February when a budget is set.

Last year, Oxfordshire Roads Action Alliance wrote to all County Councillors to ask that they vote against funding for the Watlington Relief Road in the County’s proposed capital budget. £11.1m was allocated from council corporate funds in the firm 2025/26 capital programme, but could not be spent as the project does not have planning permission.