The Council has delivered a balanced budget for 2024/25 and investing more than £125m in the city’s future, despite the significant national pressures affecting local authorities across the country.
The Council's final outturn position represents a remarkable turnaround from the predicted £7 million overspend projected at Quarter 3, demonstrating strong financial management and disciplined budget control throughout the challenging financial year.
The Council successfully delivered a substantial £128.8 million capital investment programme during 2024/25, with an impressive 65% funded through external grants – demonstrating the authority's success in securing funding that reduces the burden on local taxpayers.
Key investments included:
- £22 million in transport and highways infrastructure, including completion of the 220-metre Coventry Very Light Rail test track
- £18.3 million across the city's school estate, focusing on additional secondary school capacity
- £16.5 million in climate change initiatives covering green homes and decarbonisation projects
- £6.6 million supporting registered housing providers to tackle housing issues
Councillor Richard Brown, Cabinet Member for Strategic Finance and Resources, said:
“This strong financial performance demonstrates our commitment to sound fiscal management while continuing to invest in Coventry's future.
“Despite the challenging environment facing all local authorities and through the efforts of finance colleagues, we have ended the year with a balanced budget.”
The Council's commercial investments delivered exceptional returns, with the Asset Management Revenue Account generating a surplus exceeding £10 million.
Strong dividend performance from Birmingham Airport and Coventry & Solihull Waste Disposal Company contributed to this success.
Total commercial income of £27.7 million helps support the delivery of essential services for Coventry residents, representing approximately 10% of the Council's net service expenditure.
Like councils across the country, Coventry faced significant pressures in children's and adult social care services due to increased demand, case complexity, and market challenges.
The Council successfully managed these pressures through careful financial planning and the use of one-off income sources.
The authority’s strong balance sheet position enabled it to manage budget variations while maintaining its ambitious capital programme, positioning the Council well to continue improving services for residents and investing in the city.
The capital programme demonstrates the Council's commitment to Coventry's long-term prosperity:
- Infrastructure preparation for the West Midlands Investment Zone focusing on advanced manufacturing
- Continued progress on major regeneration projects including City Centre South
- Sustainable transport improvements including cycling infrastructure that has enabled the city to avoid a city centre congestion charge
- Digital and ICT improvements to enhance service delivery
Cllr Brown added:
“The authority's success in attracting external funding and maintaining strong commercial returns demonstrates effective financial stewardship that benefits all Coventry residents.”