Nottingham City Council’s budget for the coming financial year shows the authority is now financially stable, according to Leader, Councillor Neghat Khan. The Council approved its budget for 2025/26 at a meeting on 3 March where councillors also gave the green light to an ambitious five-year Council Plan aimed at delivering for local people and leading the city forward. The Budget for 2025/26 includes £20 million of growth funding to ensure key services are delivered effectively to meet the needs of local people, and an increase in Council Tax of 4.99%, made up of a 2.99% General Fund increase and a 2% Adult Social Care Precept. Nottingham’s increase is in line with the Government set cap. This has been possible due to £18 million of savings from new ways of working and operational efficiencies plus a better-than-expected financial settlement from the new Labour Government. A remaining budget gap of £20.79 million for 2025/26, significantly down from the £69 million previously forecast, will be met through Exceptional Financial Support from the Government. This is not additional Government funding but permission for the Council to use funds from the sale of assets to support day-to-day revenue spending. A renewed Council Plan for 2025 – 2029 was also approved at the Full Council meeting to establish a clear vision and priorities. It sets out the high-level objectives that the Council wants to achieve and includes three core missions – A renewed Council; Delivering for local people and Leading Nottingham forward. City Council Leader, Councillor Neghat Khan, said: “This budget shows the Council is now financially stable and that we are working towards becoming financially sustainable. It’s about getting our house in order and putting the Council on a sustainable financial footing for the future. “We know that the people of Nottingham want a council that gets the basics right and delivers the best local services we can afford, whilst also looking ahead so that the city can reach its full potential. “We continue to face huge pressures in social care, looking after children in our care and homelessness. Like councils across the country, together these pressures are squeezing out other services and making it harder to address the things that matter to us the most. “Whilst it remains vital that we move to a more financially sustainable position, we must not forget that the tough decisions that we take doesn’t mean we can’t afford to be ambitious; it means we can’t afford not to be. “We have been honest about the financial challenges we have faced, and we will continue to be open about what we will do and how we will do it. But through this budget and our ambitious vision for Nottingham, we will deliver a renewed council that focusses on delivering for local people so that we lead Nottingham to the future with renewed pride and optimism.” One year on from their appointment, Government commissioners working with the Council have provided a positive outlook on the progress it has made but highlighted there is still work to do. Lead Commissioner, Tony McArdle, said: “We have been in place for one year now and have seen much change within the Council. The Council has made significant strides in reversing their decline and starting to implement much-needed transformation. “We commend the Council for their efforts so far. While there is still a journey ahead, the Commissioners are confident that with the same energy and focus, the Council will continue to make good progress towards meeting their best value duties.”

Revenue and profit have dropped at Ibstock, the manufacturer of building products, according to results for the year ended 31 December 2024.

Revenues reduced by 10% to £366 million, from £406 million in 2023, principally reflecting lower sales volumes in the core business during the first half of the year. Market demand improved progressively throughout 2024, with revenues in the second half of the year 3% ahead of the equivalent period in 2023 and 6% ahead of the first half. Amidst subdued market conditions, statutory profit before tax declined from £30 million in 2023 to £21 million, reflecting a lower trading performance and an exceptional charge of £12 million. Looking ahead, Ibstock noted that trading in the early weeks of 2025 has been solid, with sales volumes ahead of the comparative period.

Joe Hudson, Chief Executive Officer, said: “Our continued focus on the active management of capacity and margin ensured we delivered a resilient performance in 2024. As expected, we saw a progressive improvement in sales volumes through the second half with demand supported by our leading service and supply proposition.

“The effective management of pricing and volumes throughout the year underpinned resilient margins combined with market share gains through the latter part of the 2024 year.

“Against this backdrop, I am also pleased to report strong progress against all elements of the Group’s strategy with lower cost, more efficient and sustainable capacity in place to support market recovery, and continued progress towards our ambitious sustainability targets.

“We expect an improvement in market volumes in 2025, with momentum building through the year. Ibstock is well-positioned for a market recovery, and the fundamental drivers of demand in our markets remain firmly in place.

“We see a significant opportunity for a new era in housebuilding in the UK and with the investments we have made and our market leadership positions, the Group remains well placed to support and benefit from this over the medium term.”

Equity investment in small businesses across the East Midlands grew by 25.5% between Q1 and Q3 2024, despite a 14.9% drop in deals compared to the same period in 2023, according to the British Business Bank’s Small Business Finance Markets report 2024/25. Nationally, half of the UK’s nations and regions saw growth in equity deal value despite challenging economic conditions.

The proportion of small businesses using external finance fell from 50% in Q3 2023 to 43% in Q2 2024. Limited capital and higher borrowing costs due to investor uncertainty remain key barriers to investment. Smaller businesses invested an estimated £12.3 billion in 2024, while larger businesses invested £27.7 billion—2.25 times more—despite contributing a smaller share of total economic turnover.

The report follows the first anniversary of the Midlands Engine Investment Fund II, which has facilitated over £37 million in investments and completed its 100th deal. The fund provides commercial finance, including loans from £25,000 to £100,000, debt financing up to £2 million, and equity investments of up to £5 million.

Challenger and specialist banks continued to gain market share, providing £37.3 billion of the £62.1 billion in gross lending to small businesses in 2024. Their share of gross lending reached 60%, surpassing the UK’s five largest banks for the fourth consecutive year.