We have detailed some key highlights from the Cabinet meeting, held on Monday 15 June 2026.
Budget Outturn 2025/26, Revenue and Capital Monitoring and Flexible Capital Receipts Policy
Cabinet considered a report setting out the Council’s financial performance for 2025/26, including the draft revenue and capital position, updates to the capital programme, and a refreshed Flexible Capital Receipts Policy.
The draft revenue outturn shows an overall deficit of £1.355 million, compared with a planned drawdown from reserves of £694,000. Of the £1.08 million savings target, around 44% was delivered in full, with shortfalls linked to income targets affected by wider economic conditions, particularly in planning.
Across services, there was a mix of overspends and underspends. Notable pressures included temporary accommodation costs within Housing and significant costs associated with asset management. These were partly offset by underspends in other areas – however, financing costs and one-off items added further pressure to the overall revenue position.
The capital programme remains ambitious, with total investment now standing at £196 million following updates during the year. The Council delivered £42 million of capital spend in 2025/26—98% of the projected programme—with major schemes including housing delivery, leisure improvements, and regeneration projects. Additional funding has been secured through grants, including £7.6 million for the De La Warr Pavilion.
Cabinet also reviewed the updated Flexible Capital Receipts Policy, which allows the Council to use capital receipts to fund transformation activity that will deliver longer-term savings.
Councillor Ashan Jeeawon, Portfolio Holder for Finance, said: “These figures underline the continuing financial challenges facing the Council, but also show the progress we are making in managing costs and delivering key projects. The updated Flexible Capital Receipts Policy is an important tool that will help us modernise services and drive efficiencies, ensuring we make the best possible use of public money for our residents.”
Members noted the report and recommended that Council approve amendments to the capital programme and adopt the updated policy.
Performance Report Outturn 2025/26
Cabinet considered the Performance Report for the 2025/26 outturn, setting out how key services have performed across the year.
Overall, performance across the Council has remained strong, with many services meeting or exceeding their targets. Corporate Core performance was particularly positive, with 100% of Freedom of Information requests answered within the required 20 days. Customer-facing services also continued to perform well, including fast processing times for housing benefit and council tax reduction claims, consistently well within target levels.
Housing services saw exceptionally high demand, with 217 households prevented from or relieved of homelessness during the year—81% above the annual target. However, this increased demand has led to higher costs and longer stays in temporary accommodation, highlighting ongoing pressures within the housing system.
Elsewhere, Neighbourhood Services maintained high performance with very low levels of missed bins, although fly-tipping incidents have risen and are being actively monitored.
Some areas of performance remain challenging, particularly income generation from assets and the collection of business rates, which fell below target. Cabinet noted the need for continued focus on these areas alongside managing financial risks linked to temporary accommodation costs.
Councillor Ashan Jeeawon, Portfolio Holder for Finance, said: “This report shows that many of our frontline services are performing strongly and improving year on year, despite growing demand and financial pressures. We will continue to focus on the areas where performance needs to improve while ensuring residents receive reliable and efficient services.”
Cabinet noted the committee’s recommendation to write to Dr Kieran Mullen MP to help progress negotiations with the NHS over the future of the vacant Watch Oak building in Battle.
Hackney Carriage Fares
Cabinet agreed to carry out a statutory consultation on proposed changes to hackney carriage (taxi) fares across the district.
The decision follows a recommendation from the Licensing and General Purposes Committee and, subject to no objections, the revised fares could be introduced after the required consultation.
The proposals include a 10% increase in fares, alongside specific changes such as moving the start of the night tariff from 11pm to midnight and increasing the additional passenger charge. The Council sets the maximum fares that hackney carriage drivers can charge, although drivers may choose to charge less.
The review comes as operators continue to face rising costs, including increases in fuel prices and inflation since fares were last updated in April 2023. The report highlights that diesel prices have risen significantly and that inflation has also impacted the real value of existing fares, supporting the case for an increase to ensure the continued viability of taxi services.
Cabinet noted that consultation is required by law and will give residents and the trade the opportunity to comment before any final decision is made.
Councillor Kathryn Field, Portfolio Holder for Licensing, said: “Hackney carriage services play a vital role in keeping our communities connected, particularly in rural areas. These proposals aim to strike a fair balance between supporting drivers with rising costs and ensuring fares remain reasonable for passengers, and we encourage people to share their views during the consultation.”
Lettings at the Colonnade
Cabinet approved proposals to progress new lettings at the Colonnade in Bexhill, marking a major step in bringing the refurbished seafront building back into full use.
The decision enables preferred tenants to be granted leases, with final terms to be agreed under delegated authority, supporting the creation of a vibrant hospitality and retail destination.
The Grade II listed Colonnade has recently undergone significant refurbishment to address longstanding structural issues, and to secure its long-term future. A seven-week marketing campaign generated strong interest, with 22 expressions of interest received, reflecting confidence in the building’s unique location and potential.
Central to the proposals is the appointment of a tenant for the main restaurant space, alongside a mix of kiosk operators designed to create a diverse and attractive offer. The recommended approach is expected to increase rental income by around £34,000 per year compared to pre-refurbishment levels and boost footfall.
Cabinet noted the importance of balancing early activation of the site with long-term sustainability, including the potential for temporary uses while final arrangements are completed.
Councillor Christine Bayliss, Portfolio Holder for Regeneration, said: “The Colonnade is a key part of Bexhill’s seafront, and these lettings represent a major milestone in its revival. By securing a strong mix of tenants and investing in the long-term future of the building, we are creating a vibrant destination that will support local businesses, attract visitors, and strengthen our local economy.”
Published: 29th June 2026
