North Northamptonshire Council is staring down a projected £9.4 million budget overspend—just three months into the financial year—after spiralling social care costs blew a hole in its finances.
Two-thirds of the shortfall stems from the Northamptonshire Children’s Trust (NCT), which has once again busted its budget, leaving the council to plug a gap of almost £6 million. Rising demand for placements for children in care, coupled with soaring staffing costs, has been blamed for the overspend.
Cllr Graham Cheatley, the council’s finance chief, warned the figures highlight “the increasing financial challenges local government is facing around social care for both adults and children.”
The pressure doesn’t stop there. Adult services are also £2.7 million over budget, driven by higher residential and nursing care costs, staff expenses, and social care transport. Officials say the demands on statutory services—often requiring costly outsourcing to private providers—are fuelling the crisis.
The forecast equates to a 2.9% increase on the authority’s £405 million budget, set earlier this year under the previous Conservative administration. Reform UK took control in May’s local elections.
A contingency fund of just under £3 million remains untouched but could be deployed later to soften the blow. Cheatley said he was “confident” officers would work to cut costs, but admitted financial strain has been “a theme we’ve had to accept over the last few years.”
