Annual report 2024/2025 - Delivering for Colchester

Between April 2024 and March 2025, Colchester will spend approximately £102 million delivering essential services to the community. Council Tax only covers 11% of these costs. The rest comes from a combination of government grants, fees, charges, and other funding sources. Below is a breakdown of how this budget is allocated across key service areas:

Experience Colchester - £9.9 million

Promoting tourism, managing museums, supporting leisure activities, and overseeing car parks and residential parking.

City Services - £14.9 million

Community safety, licensing, food safety, street cleaning, Colchester Market, and recycling and rubbish collections.

Housing and Wellbeing Support - £9.9 million

Support for vulnerable residents, promoting healthier living, assisting renters, adapting homes for independent living, and preventing homelessness.

Supporting Local Growth - £6.6 million

Initiatives to support local businesses, encourage economic growth, promote sustainable travel, and provide homes for those in need through planning policies and development decisions.

Council Support Services - £61 million

Essential behind-the-scenes operations including HR, finance, IT, governance, and emergency planning. This includes £37.5 million in Housing Benefit payments paid directly to residents.

Managing Our Budget Challenges

Like many councils, Colchester faces significant financial pressures due to rising costs and increasing demand for services. Since 2018, we’ve saved nearly £16 million, but we still need to close a £6 million budget gap by 2026.

To tackle this, we’ve launched the Fit for the Future transformation programme, which is reshaping how we work to ensure the council remains sustainable while continuing to deliver vital services. Our aim is to keep Colchester a resilient, sustainable, and vibrant city for generations to come.

Want to learn more? Visit colchester.gov.uk/budget-challenge.