The Executive of Middlesbrough Council met on Wednesday 2 September 2026, approving a new Risk and Opportunity Management Policy, endorsing a Place Strategy for Middlesbrough, and agreeing to a £1.047 million Cremator Refurbishment Programme. The meeting also saw the approval of highway improvements on Stainton Way and a detailed review of the Council's financial performance at Quarter One 2026/27, which highlighted significant budget pressures, particularly within Children's Social Care.

The Council's Approach to Poverty

The Executive noted the Final Report of the Overview and Scrutiny Board on the Council's Approach to Poverty and approved an accompanying Action Plan. This plan aims to strengthen the Council's corporate approach to tackling poverty by embedding considerations of deprivation and inequality within strategic planning, Directorate Service Plans, and partnership arrangements. The Making Middlesbrough Thrive initiative is highlighted as a foundation for this corporate approach, with progress to be monitored through established governance processes and reported annually to the Overview and Scrutiny Board.

Risk and Opportunity Management Policy

The Executive approved the Risk and Opportunity Management Policy 2026–2029. This policy establishes a structured and consistent approach to identifying, assessing, managing, and monitoring risks and opportunities across the Council. It aims to ensure risk-informed decision-making, enhance organisational resilience, and support compliance with legal and regulatory requirements. The policy updates the Council's risk appetite, maintaining a low tolerance for risks affecting safety, compliance, equality, and reputation, while acknowledging the need for proportionate risk-taking to foster innovation and achieve strategic objectives.

Place Strategy to Investment Prospectus

The Executive endorsed the Middlesbrough Place Strategy, developed by the Place Leaders Partnership, and approved its town centre element as the Council's official Town Centre Strategy. An Investment Prospectus, outlining the Council's economic funding priorities to deliver these strategies, was also approved. The overarching ambition of these strategies is to make Middlesbrough the UK's most creative place for young people to live, learn, and realise their future, with a focus on driving sustainable economic growth and improving the town centre. The strategy was informed by extensive consultation with over 1,300 young people and aims to benefit all residents by creating a more vibrant, confident, and future-ready town.

Cremator Refurbishment Programme

Approval was given to include the Teesside Crematorium Cremator Refurbishment Programme in the Council's Capital Programme, allocating £1.047 million from existing Council-funded capital resources. This investment will fund essential refurbishment works, including cremator refurbishment, refractory replacement, installation of operational bypass flues, NOx abatement technology, and emissions monitoring upgrades. The programme is expected to extend the operational life of the cremator plant by at least ten years, improve service resilience, support compliance with DEFRA Process Guidance Note PG5/2(25), and reduce nitrogen oxide (NOx) emissions by approximately 65%. This decision addresses operational, environmental, and compliance risks associated with maintaining the existing infrastructure without investment.

Stainton Way Highway Improvements

The Executive approved the Stainton Way Highway Improvements scheme, which aims to enhance bus, walking, and cycling provision. Funded by the Tees Valley Combined Authority (TVCA) through the City Region Sustainable Transport Settlement, the project includes signalising the roundabout at Stainton Way and Dalby Way to improve traffic flow and safety, creating a westbound bypass at the Kings Academy roundabout to alleviate congestion, and installing improved footway and cycleway connections. The scheme is intended to support sustainable travel, improve accessibility to key destinations, and enhance road safety for all users.

Quarter One 2026/27 Integrated Performance and Finance Forecast Year End Outturn

The Executive received a comprehensive update on the Council's financial performance and forecast year-end outturn for Quarter One 2026/27. The report highlighted a significant forecast revenue budget pressure of £8.479 million (4.22%) at year-end if no further action is taken. The most substantial pressure is within Children's Social Care (£8.472 million), attributed to agency staffing, increasing numbers of children in care, and high-cost external placements. Additional pressures were noted in Environment, Communities and Culture (£1.342 million), Regeneration & Housing (£0.488 million), and Adult Social Care & Health (£0.199 million).

The Executive approved budget virements exceeding £250,000 within both the revenue budget and the capital programme. They also approved the inclusion of new, externally funded schemes and additions to existing schemes in the Capital Programme, totalling £3.120 million for 2026/27, bringing the total Capital Programme budget to £94.940 million.

Directors are required to complete Financial Recovery Plans detailing controls and in-year actions to mitigate forecast overspends. The report noted that the current forecast overspend could impact usable unrestricted revenue reserves and progress towards financial resilience targets, reinforcing the need for immediate action. Progress against the Council Plan 2026-2029 and the Strategic Risk Register were also noted.

The report also detailed the Capital Programme, with a forecast outturn of £88.861 million against a revised budget of £94.940 million, indicating £6.079 million in forecast slippage to future years. The Dedicated Schools Grant (DSG) deficit is projected to increase to £38.316 million by March 2027, with ongoing work to address this through the Local SEND Reform Plan.

The Executive noted the Council's financial performance, forecast year-end outturns, and the ongoing work to address budget pressures through the Integrated Performance and Financial Management Framework. Directors are continuing to actively manage these pressures, with a focus on strengthening financial controls and ensuring expenditure aligns with approved budgets and the Medium-Term Financial Plan.