Closure of Abbey House Museum and 'pay as you feel' charges proposed by Leeds City Council for 2025/2026 budget

Leeds City Council has today (Tuesday) released its initial budget proposals for next year, as it looks to deliver approximately £106.4million of further savings as the cost of supporting social care demand and other pressures continues to increase for 2025/26.

Included in the budget proposals, which are listed below, is the potential closure of Abbey House Museum by Kirkstall Abbey and the introduction of “pay as you feel” charges at city centre museums and galleries.

The budget proposals also include an increase of 4.98 per cent on council tax, of which 1.99 per cent is dedicated to adult social care costs, as well as a freeze on recruitment and “non essential spending”.

The council has also said that it faces an estimated reduction of 243 budgeted full-time equivalent posts and may find “itself in a position where compulsory redundancies cannot be avoided”.

The initial budget proposals include the following specific service areas to be reviewed:

• Non-statutory grants across adults and health services
• In-house care delivery service and day opportunities buildings
• Impact of a preventative programme in adult social care services
• Passenger transport in social care
• Transport savings in children and families services
• Savings around reducing numbers of children in Leeds care system, providing ‘right provision for the right time’ support
• Children’s centres in Leeds and more integration in local services
• Possible leasing out of Middleton Leisure Centre
• Potential introduction of ‘pay as you feel’ admission charges at city centre museums and galleries sites
• Closure of Abbey House Museum
• Community committees and locality working
• Consultation on possible savings and income around bowling green provision
• Print and sign services

The council has also said that given the size of its financial challenges for the next year it “may find itself in a position where compulsory redundancies cannot be avoided”.

The council has said that a large factor of its financial pressures stems from the “significantly” increased costs to provide services and rising demand, especially in social care for vulnerable children and adults.

In Leeds in the last four years the costs associated with looking after children in external residential care has risen by 75 per cent, from £68 million to £119 million this year. The average cost of an external residential placement has gone up by 45 per cent since 2021/22 to currently £6,300 per week or £340,000 per year for each child being cared for. Costs for those children with especially complex needs, however, can be up to £1 million per year per child.

In adult social care, the number of working age adults and older people being supported has increased by 20 per cent in the last three years, and the overall demand budget for these groups has risen by £100m in the same period.

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Of the overall rounded £106.4million savings required in the council’s proposed budget for next year, £23.8m were already built into the financial strategy, £37.4m of proposals were considered by the council’s executive board at its October meeting, and a further £45.3m are being put forward for consideration this month to achieve the balanced budget legally required each year of all councils.

Leader of Leeds City Council Councillor James Lewis said: “The large increase in demand for many services, particularly social care, means we need to take action to ensure we meet our legal requirement to balance the council’s budget each year.

“Around 60 per cent of the council’s budget is spent on social care in Leeds, and the increase in council tax helps towards this. We expect to receive further detail on national initiatives to support local government towards the end of December.”

Beyond next year, the council is provisionally expecting to need to find further savings of £35.2million in 2026/27 and £29.6million in 2027/28.

The initial budget proposals for 2025/26 will be considered by the council’s executive board on Wednesday, December 11, before going out for consultation. Final proposals will be presented in the new year to be discussed and voted on by full council in February. The initial budget and savings proposals report will be published via Council and democracy.