The Cabinet of Hertfordshire Council met on Wednesday 14 January 2026 to approve the draft budget for 2026/27 and the Medium-Term Financial Strategy (MTFS), and to endorse the Hertfordshire Economic Strategy. The meeting also approved the release of schools budget data to the Department for Education.

Budget 2026/27 and Medium Term Financial Strategy

The Cabinet agreed to use the draft 2026/27 budget and Medium-Term Financial Strategy (MTFS) as the basis for seeking feedback from Service Cabinet Panels, the Overview & Scrutiny Committee, and the Resources and Performance Cabinet Panel. This feedback will be considered before the next Cabinet meeting on 11 February 2026.

The council is setting an ambitious and affordable £1.2 billion budget to deliver vital services and support Hertfordshire's residents and businesses. Despite facing unprecedented financial pressures, including a loss of £42 million annually in Government funding over the next three years, the council is investing an additional £108 million in key services such as children's services, SEND support, and adult social care. The capital programme will see £1.3 billion invested over the next four years in areas like expanding SEND school places and improving roads and transport.

To balance the budget, the council will increase income, deliver record levels of efficiencies and savings, and focus on prevention and innovation. However, difficult choices remain, and a 2.99% Council Tax increase is proposed, along with a 2% Adult Social Care precept, in line with national assumptions.

The Cabinet also approved the release of schools budget data to the Department for Education (DfE) and delegated authority to the Director of Finance to make any necessary final amendments to ensure submission by the deadline of 22 January 2026.

Hertfordshire Futures – Economic Strategy

The Cabinet approved the Hertfordshire Economic Strategy 2025-2035. This strategy sets out a vision for Hertfordshire to become the UK's innovation heartland, with a high-value, productive, and sustainable economy that benefits all communities.

The strategy was developed through extensive engagement with stakeholders across the public, private, and community sectors. It identifies five strategic priorities: Digital creativity at the heart of business; Hertfordshire works for everyone; Commercialisation, innovation and sustainability; Places and communities thrive; and Hertfordshire's place in the world. Two wider priorities for the Local Growth Plan were also identified: Building infrastructure for competitiveness and resilience, and Valuing the natural and built environment fully.

The strategy aims to unlock new investment through partnerships with government and the private sector, and will serve as a foundational document for future devolution arrangements, including the potential establishment of a Local Growth Plan and a Mayoral Combined Authority. Hertfordshire Futures will use its reserves to animate a conversation with investors and government to make early progress on seven investible propositions linked to the strategy.

The meeting was attended by the following Cabinet members: Adrian England (Executive member for Sustainability), Ajanta Hilton (Executive member for Public Health and Community Safety), Anthony Rowlands (Vice-Chair Overview and Scrutiny Committee), Stephen Giles-Medhurst OBE (Executive member for Highways), Steve Jarvis (Leader of the Council; Chair Employment Committee), Chris Lucas (Executive member for Resources and Performance), Sally Symington (Deputy Leader of the Council; Executive member for Adult Care Services; Chair Health & Well-being Board; Vice-Chair Employment Committee), Mark Watkin (Executive member for Education, SEND and Inclusion), and Paul Zukowskyj (Executive member for Environment, Transport and Growth). Helen Campbell attended in place of Stephen Giles-Medhurst OBE.