NFCC welcomes finalised three-year fire service funding settlement

NFCC and the finalised settlement

The Government has finalised a three-year funding settlement for fire and rescue services that includes a strengthened funding floor for 2026/27 backed by an additional £15 million for standalone Fire and Rescue Authorities.

In a statement, the National Fire Chiefs Council (NFCC) welcomed the revised settlement and said it improved on the provisional position set out before Christmas.

The deal will deliver an increase in core spending power next year.

The extra funding is expected to be directed towards services judged to be most at risk where funding inequities have been greatest.

What changes for authorities

The NFCC explained that the settlement confirms several reforms affecting how services are funded.

Standalone fire and rescue authorities will be able to raise council tax precepts by up to £5 per year for a Band D property.

Authorities that apply the full £5 increase will receive at least an uplift in core spending power through the strengthened funding floor.

The higher floor follows sustained advocacy from Fire Chiefs, local parliamentarians and representative bodies who highlighted operational and cost pressures.

Earlier proposals had raised the prospect of real terms reductions after a decade of cuts and further lobbying sought additional headroom to reflect inflation and rising costs.

Because the uplift depends on authorities adopting the full £5 flexibility, the NFCC is urging them to use the option in full.

For county council run fire and rescue services, funding arrangements are more complex and depend on local decisions to achieve a comparable level of protection.

What the NFCC says still needs addressing

Garrigan said: “We welcome the Government’s decision to strengthen the funding floor with the provision of an additional £15 million – a clear improvement on the provisional position and a reflection of sustained, constructive engagement between NFCC, government, local MPs and representative bodies.

“After a decade of cuts, services were facing further real terms reductions.

“The reforms announced before Christmas were welcomed, but we were clear they did not go far enough in recognising unavoidable pressures and rising demand.

“The Government has listened, and this revised settlement offers greater stability and capacity to protect the public.

“This is an important step forward, but long term underinvestment – particularly the loss of almost £1bn in capital funding, a significant reduction in firefighter numbers and the previous disinvestment in the central co-ordination of the sector – must now be addressed.

“Securing sustainable investment for the future is the next priority.”

Government data cited by the NFCC shows fire and rescue services in England responded to 642,170 incidents in the year to September 2025, a 28% rise over the past decade.

Wholetime firefighter numbers have fallen by 25% since 2008, equivalent to around 11,000 posts.

Services are simultaneously dealing with more complex risks linked to climate change, new energy technologies and an expanded civil resilience role.

The NFCC says ageing estates, outdated infrastructure and historic financial pressures continue to constrain progress.

The council is pressing for a longer term investment strategy to ensure services are properly equipped to protect communities.