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From lower council tax to cleaner streets, Conservatives set out alternative Leicester budget

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Tuesday, 24 February, 2026
  • Local News
Leicester City Council Budget

Leicester Conservatives have set out a fully funded alternative budget for Leicester City Council that would reduce the proposed council tax increase and move funding from vanity projects into practical neighbourhood improvements.

The Conservative Group is proposing a reduced council tax rise of 4.49%, instead of Labour’s planned 4.99%, alongside targeted investment in environmental enforcement, flood mitigation and parking control in outer wards. The proposals will be debated at Full Council this week.

Under the plans, the £900K reduction in council tax income in 2026–27 would be covered from the Council’s existing working surplus. In 2027–28 and 2028–29, the remaining £2.1m would be met from reserves. Over three years, the total impact is £3m, with reserves projected to stand at £60.8m in 2027–28 and £50.4m in 2028–29. The Group says frontline services would be protected, alongside extra investment in environmental enforcement, flood prevention and neighbourhood parking.

Conservatives also pointed out that the Labour Government’s Local Government Reorganisation, creates uncertainty around future city boundaries and finances, but is likely to increase the city’s council tax and business rates base compared with today.

On the capital programme, Conservatives propose redirecting £350,000 from the “Voices of Leicester” vanity project into improvements residents see every day: tackling fly-tipping and environmental crime, improving drainage and flood prevention, and supporting parking in outer wards. The plan also reduces the 20mph programme allocation and reallocates £200,000 into parking support through Local Transport Schemes.

The Group says the proposals show it is possible to ease pressure on households while focusing spending on core neighbourhood services.

Key facts

  • Council tax capped at 4.49% (instead of Labour’s 4.99%), saving £0.9m in 2026–27 (£3m over three years).
  • Year one funded from existing surplus, with years two and three funded from reserves.
  • £350,000 redirected from “Voices of Leicester” to neighbourhood priorities.
  • +£200,000 for Environmental Crime/Open Spaces CCTV enforcement (up to £390k).
  • +£150,000 for Highways Drainage and Flood Mitigation (up to £275k).
  • £200,000 shifted into parking support for outer wards via Local Transport Schemes.

Cllr Hemant Rae Bhatia, Leader of the Opposition at Leicester City Council, said:

“Labour have once again chosen the maximum council tax rise, year after year, while residents deal with fly-tipping, flooding and parking problems. We’re showing that this is a choice, not a necessity. We’ve put forward a fully funded alternative that charges less and redirects money into cleaner streets, flood prevention and support for outer wards.

This is about local priorities. Residents first. Leicester first.”

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