Planned Budgeting 

“Start With the Plan”

Budgeting is not a spreadsheet exercise, it starts with clarity of purpose.

Councils should ask:

• What does our community need?

• What do we want to deliver?

• What new services or responsibilities may come through devolution?

• What projects are coming in the next 3–5 years?

A clear plan = a clear budget = a confident precept.

Resource

• Budgeting for New Clerks and Finance Staff Training

• Annual Action Plan (micro councils)

• Parish Plan Lite (medium councils)

• Strategic Plan (larger councils)

Realistic Precept Setting

Councils must set a precept that reflects:

• the council’s actual workload,

• the services it delivers,

• the ambitions in its Action Plan or Community Plan, and

• the real cost of staffing, compliance and service delivery.

A “growth mindset” is essential: precept restraint limits community impact and weakens resilience. Councils should cost what they need, not what they think residents will tolerate (and communicate clearly why it matters).

Resource

• GAPTC webinar: Precept Setting for the Future

Funding Beyond the Precept

Capacity grows when councils diversify income. 

• Councils should consider:

• Grants

• CIL (where applicable)

• Fundraising partnerships

• Sponsorship

• Charging structures

• PWLB

Follow GAPTC's social media pages and subscribe to our newsletter where we share funding opportunities as they become available.

Resource

• NALC Funding Event & recordings 

• GCC Finance, Funding & Grants 

• Find a Grant
  

• GAPTC Borrowing and Funding page

Reserves and Contingency

Councils should ensure:

• General Reserve = typically 3–12 months’ expenditure depending on risk

• Earmarked reserves reflect planned projects or known commitments

• Contingency planning exists for unexpected costs

• Financial capacity is reviewed annually as part of budget planning

This is about whether the council can cope with the unexpected without destabilising service delivery or staff wellbeing.

Resources

See Compliance: Reserves, Investments & Expenses 

Medium-Term Financial Planning

For realistic capacity assessment, councils should look 3–5 years ahead, considering:

• staff cost growth

• asset maintenance

• potential devolved services

• inflation

• insurance increases

• replacement cycles

This allows councils to build a sustainable financial strategy rather than reacting year by year.