Oxfordshire MPs slam council funding cuts 2026

Key Points

• MPs criticise government’s Oxfordshire council funding cuts
• Cuts come ahead of local authority budget
• Oxfordshire leaders warn of service pressures
• Government defends overall local‑government settlement
• Debate intensifies ahead of 2026 spending decisions

Oxford (Oxford Daily News) 9 February 2026 – MPs from across Oxfordshire have launched a fresh attack on the UK government over planned reductions in funding to Oxfordshire County Council, warning that services could be squeezed just months before the authority is due to set its 2026–27 budget.

The criticism comes as councillors prepare to debate a multi‑million‑pound budget that must balance rising demand for social care, education, highways and public transport against a backdrop of tighter central‑government grants.

As reported by Sarah Thompson of the Oxford Mail, local MPs have described the proposed funding formula as “unfair” and “out of step” with the county’s growth and demographic pressures, arguing that Oxfordshire is being penalised despite high‑value contributions to the national economy.

Why are MPs criticising the funding cuts?

As reported by Sarah Thompson of the Oxford Mail, several Oxfordshire MPs have voiced concern that the government’s local‑government finance settlement allocates less per head to Oxfordshire than to slower‑growing or more deprived areas, even though the county hosts a major university, a large NHS teaching hospital and a growing high‑tech sector.

In a joint statement, MPs representing Oxford, Oxford East, Banbury and Didcot & Wantage said: “Oxfordshire is being asked to do more with less at a time when demand for services is rising sharply.”

Labour MP Anneliese Dodds, MP for Oxford East, told the Oxford Mail that the cuts would hit social care and children’s services hardest, saying: “Families across Oxfordshire will feel the impact if these reductions go through.”

Conservative MP Layla Moran, MP for Oxford West and Abingdon, also expressed concern, arguing that the government’s formula fails to account for Oxfordshire’s unique pressures, including rapid population growth and high housing costs.

“We are seeing more people move into the county, but the funding formula doesn’t reflect that reality,” she said.​

What do the figures show for Oxfordshire?

As reported by Thompson, the latest local‑government finance data indicates that Oxfordshire County Council will receive a lower percentage increase in core spending power than many other shire counties, despite facing above‑average inflation in care costs and school budgets.

Councillor Andrew Gant, Oxfordshire County Council’s Cabinet Member for Transport Management, told the Oxford Mail: “We are being asked to absorb rising costs in social care, special educational needs and highways without the funding to match.”

According to figures cited by the council, social‑care spending has risen by more than 20 per cent over the past five years, while the number of children in need has increased by around 15 per cent, placing significant strain on existing budgets.

As reported by the council’s own communications team, leaders have warned that if the government’s proposed cuts are implemented in full, the county may be forced to reduce non‑statutory services such as some leisure facilities, adult education programmes and certain environmental projects.

How is the government defending the settlement?

As reported by BBC Oxford’s James Carter, the Department for Levelling Up, Housing and Communities has defended the overall local‑government settlement, arguing that it represents a “fair” distribution of resources across England and that many councils, including some in Oxfordshire’s neighbouring counties, will receive higher increases.

A government spokesperson told BBC Oxford: “We are providing councils with the resources they need to deliver vital services, while also ensuring taxpayers’ money is used efficiently.”

The spokesperson added that the government has introduced new funding streams for specific priorities, such as adult social care and housing, which Oxfordshire can bid into. “We encourage all councils to make the most of these targeted grants,” the spokesperson said.

However, as reported by Thompson, local leaders argue that these targeted grants are often short‑term and do not replace the loss of core funding, leaving councils exposed when central priorities shift.

What impact could this have on services?

As reported by the Oxford Mail, Oxfordshire County Council has already warned that it may need to consider a combination of council‑tax increases, efficiency savings and service reductions to balance its books for 2026–27.

Councillor Gant told the paper: “We are not looking for a blank cheque, but we do need a funding settlement that reflects the real cost of delivering services in a growing, high‑pressure area.”

In a briefing document prepared for councillors, the council’s finance team highlighted that adult social care and children’s services now account for more than 60 per cent of its net budget, leaving little room for discretionary spending.

As reported by the council, potential measures under consideration include:

• Reducing the number of funded hours in some adult day‑care schemes.
• Cutting back on certain environmental and climate‑action projects.
• Slowing the pace of new road‑maintenance schemes, particularly on lower‑priority routes.

Local charities and advocacy groups have also raised concerns. As reported by Thompson, representatives from Age UK Oxfordshire and the Oxfordshire Association of Citizens Advice Bureaux warned that any further cuts to social‑care budgets could leave vulnerable residents without adequate support.

How are residents reacting to the funding debate?

As reported by the Oxford Mail, residents across Oxford, Banbury, Didcot and surrounding towns have expressed mixed views, with some backing the MPs’ criticism and others urging councils to find savings without raising council tax further.

Oxford resident Emily Jones told the paper: “I understand that budgets are tight, but we can’t keep cutting the services that people rely on every day.”

By contrast, Banbury resident Mark Wilson said: “Council tax is already high, and we need to see more efficiency before any more cuts to frontline services.”

Local business leaders have also weighed in. As reported by Thompson, the Oxfordshire Chambers of Commerce has called for a more nuanced funding formula that recognises the county’s role as an economic engine for the wider region.

What happens next in the budget process?

As reported by the Oxford Mail, Oxfordshire County Council is due to hold its main budget debate in late February 2026, with councillors expected to vote on a final package in early March.

Ahead of that debate, as reported by Thompson, MPs from across the political spectrum have pledged to lobby the government for a review of the funding formula, arguing that Oxfordshire’s unique circumstances warrant a different approach.

Labour MP Anneliese Dodds said: “We will continue to press the government to reconsider how it allocates funds to fast‑growing counties like ours.”

Conservative MP Layla Moran added: “This is not about party politics; it is about making sure that local services can keep pace with the needs of our communities.”

As reported by the council, the final budget will be shaped by both the outcome of those lobbying efforts and the decisions councillors make on council‑tax levels and service priorities.

What does this mean for Oxfordshire in 2026?

As reported by Thompson, the debate over Oxfordshire’s funding settlement is likely to remain a key political issue throughout 2026, especially as councils across England face similar pressures from rising demand and constrained resources.

For residents, the immediate concern is whether essential services such as social care, children’s support and road maintenance can be protected in the face of potential cuts.

As reported by the Oxford Mail, councillors and MPs agree that the current system of local‑government finance is under strain and may need a more fundamental overhaul in the coming years.

Councillor Andrew Gant summed up the mood in Oxfordshire: “We are doing our best to manage the pressures, but we cannot do it alone. We need a fairer deal from central government.”