Lancashire County Council

As part of our continuing independent mission to promote transparency and fiscal resilience in local government, Blackwood Analytics conducted a detailed review of the pre-Reform UK Lancashire County Council’s FY2025/26 Budget and Strategic Priorities. This assessment examined the council’s statutory funding commitments, savings delivery programme, and structural vulnerabilities across key service areas.

Our analysis highlights mounting fiscal strain in Adult and Children’s Social Care—together accounting for over 65% of the net budget—as well as persistent overreliance on temporary staffing and one-off reserves to maintain service continuity. Despite a £60 million savings programme, questions remain over its deliverability in light of rising demand, delayed transformation, and labour market volatility. Additionally, Lancashire’s infrastructure strategy reveals a disproportionate spend on reactive road repairs rather than lifecycle investment—undermining long-term efficiency and public confidence.

The Council’s limited discretionary funding—less than 9% of the total net budget—combined with accelerating demographic pressures and a constrained tax base, raises concerns about the sustainability of current operating models. Without decisive action to stabilise the workforce, modernise infrastructure investment, and link fiscal planning more directly to service reform, the medium-term outlook remains exposed to both financial and reputational risks.