As 2026 progresses, the narrative surrounding Croydon’s finances is shifting from one of crisis to one of strategic delivery. This week, the council announced a further reduction in its request for exceptional financial support from the government, signaling that the Future Croydon transformation program is beginning to yield tangible results. A major factor in this recovery is the success of the Fair Funding campaign. The central government’s Fair Funding Review has officially scrapped outdated formulas, a move that is expected to provide Croydon with an additional £59.6 million over the next three years. Executive Mayor Jason Perry, who has continuously campaigned for this change, welcomed the settlement as a step in the right direction that addresses the long-standing disparity in grants compared to neighboring boroughs.
Simultaneously, Croydon is being hailed as a leader in urban planning and housing. A new report from the Centre for Cities has suggested that replicating Croydon’s small-site housing model could lead to an extra 6,000 homes a year across London. The model, known as the Suburban Design Guide, focuses on the sustainable redevelopment of underused structures into small, high-quality blocks of flats, providing a rules-based framework for growth that protects neighborhood character. This innovative approach has allowed the borough to meet housing targets while safeguarding green spaces and creating well-designed places to live and work.
With the regulatory notice against the council officially lifted by the Regulator of Social Housing, and Adult Social Care receiving a Good rating from the CQC, the borough is moving toward a more stable and aspirational future. While challenges regarding historic debt remain, the council’s budget proposals for 2026 to 2027 include £34 million in savings aimed at modernization and improved outcomes for residents. This shift from recovery to delivery is centered on making every penny count and restoring civic pride through visible improvements across the borough.
As Croydon moves closer to its 2026 goals, the combination of fairer funding and innovative development strategies is providing a robust foundation for long-term success. The council is also focusing on bringing at least 190 vacant homes back into use this year, further addressing the local housing shortage. By prioritizing well-designed, affordable homes and listening to resident voices, the authority is rebuilding trust and demonstrating a clear vision for the borough’s growth. This strategic pivot highlights Croydon’s resilience and its potential to serve as a blueprint for other urban areas facing similar financial and social pressures. The borough is no longer defined by its past difficulties but by its forward-looking commitment to stability and excellence.
