Stoke-on-Trent City Council’s overspend increases to £6.3m
By Phil Corrigan - Local Democracy Reporter 18th Feb 2026
A cash-strapped council's projected overspend for the year has increased to more than £6 million.
Stoke-on-Trent City Council is predicting a £6.3 million deficit in 2025/26, as of the end of December, up from £4.1 million from the previous quarter.
The overspend is largely driven by the high cost of children in care, with spending on care placements forecast to be £15.2 million over budget for the year.
While the total number of children in care fell slightly from 1,120 to 1,095 it remains much higher than average for English authorities, and the council has had to make some 'very expensive' individual placements for young people of 'very high complexity'.
According to a council report, this has had a 'significant' impact on the authority's finances.
The report to cabinet states: "The children's services improvement and delivery plan continues to be central to managing placement demand. The plan, aligned with commitments set out to central government, aims to reduce the number of children in care over the medium term and manage placement costs through effective commissioning.
"Progress continues, although challenges remain regarding market sufficiency and capacity, particularly in higher-cost placements."
The adult social care and all-age commissioning directorate also saw its projected overspend increase, from £800,000 to £1.6 million.
The council is facing rising demand and an increase in unit costs for social care placements, partially due to an decrease in the number of patients being assessed as eligible for funded nursing care following hospital discharge.
According to the report, various measures are being implemented to reduce the council's deficit, including 'enhanced' spending controls in areas such as recruitment, agency staffing and overtime.
Councillors will next week approve the authority's 2026/27 budget, which includes a 4.99 per cent council tax hike and a request for a further £10.5 million in exceptional financial support.
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