Torbay budget proposes 4.75% Council Tax rise as consultation opens

Torbay residents are being asked for their views on next year’s spending plans after Torbay Council’s Cabinet agreed its draft revenue and capital budget proposals for 2026/27.

The consultation, running from 3 December 2025 to 18 January 2026, invites people to comment on how the Council should manage financial pressures, planned investments and any additional Government funding that may become available.

The Council says its financial position remains stable, with no major service cuts proposed this year. Funding will instead be used to absorb inflation and address pressures forecast in areas including adult social care, children’s services and place-based services.

Cabinet members said uncertainty remains because the draft budget has been prepared before the Government’s financial settlement is confirmed. A new Fair Funding Formula is also being introduced, which could create large shifts in funding between councils. A multi-year settlement is expected to help longer-term planning.

Read next: Dave Thomas: Torbay Council prepares Budget with plans for Bay-wide regeneration

If the Government allocation exceeds expectations, residents are being asked how any additional money should be spent.

The Council currently delivers services worth £420million and plans to continue investing in priority areas in 2026/27:

Adult Social Care
A further rise in adult social care funding is planned from April 2026, in line with the Council’s integrated care contract with Torbay and South Devon NHS Foundation Trust. An additional £150k is proposed for voluntary and community sector support, including services such as the Community Helpline.

Community Services
A £500k underspend expected through homelessness and temporary accommodation work will be transferred into a reserve to fund further housing support.

Children’s Services
A £2million increase is proposed to meet rising demand and higher provider costs, alongside continued work to expand local placements and develop a sustainable Family Hub model.

Place-based Services
Operation Brighter Bay and Operation Town Centres will continue, with proposals to extend work into residential areas. A £200k boost is planned for Economic Development to offset the loss of external income. Following the closure of the Torbay Coast and Countryside Trust, £200k in one-off costs is proposed to maintain health and safety compliance on coastal paths and other assets.

Wholly owned companies
The SWISCo contract is set to rise by £1m to cover inflation, staffing and other service pressures.

Fees and charges
Most fees and charges are set to increase by an average of 3.5%, generating an estimated £200k.

Capital Investment Plan
Ongoing projects include:

• Paignton and Preston Waterfront Scheme – work has started on the North Green end
• Oldway Mansion – Phase 1 continues
• Torquay Pavilion – Investigation works completed and preparing for reinstatement phase
• Hotels to Homes – Brampton Court in Torquay due to complete and other projects being planned or delivered
• Regeneration projects including Union Square and The Strand in Torquay submitted to planning, consultation starting soon for Brixham Central Car Park
• Continuation of Schools and Transport capital programmes
• Capital commitments to develop detailed plans for enhancements of the Brixham Fish Market, a new Brixham multi-storey car park and expansion of employment space in support of high tech industries in Paignton

Council Tax
Council Tax is proposed to rise by 4.75% in 2026/27-2% allocated to the Adult Social Care precept and 2.75% to other services. The Council says each 1% increase generates about £950,000 and remains its only means of raising additional funding for place-based and housing services.

In a joint statement, Cllr David Thomas, Leader of Torbay Council, and Cllr Alan Tyerman, Cabinet Member for Finance, said the budget continues to prioritise resident concerns, including safety, town centre improvements and opportunities for children, young people and local businesses. They urged residents to take part in the consultation to help shape the final budget.

Budget documents and the online consultation are available on the Council’s website. Paper copies will be available in Torbay’s four libraries from 5 December.

Residents can request alternative formats by emailing engagement@torbay.gov.uk or calling 01803 201201.