Multi-million pound budget savings are expected to be approved when Cllrs debate spending plans for the coming financial year.
Job losses and a council tax rise are among measures to help Leeds City Council save £103.8m during 2025/26.
The Labour-controlled authority welcomed an extra £67m in government funding which eased pressure on some council services.
But it warned that rising demand on children’s services and adult social care meant wide-ranging savings needed to be considered.
The council’s revenue budget and council tax plans are expected to be agreed at a full council meeting on Wednesday (February 26).
A report to the meeting said rising inflation had hit the cost of goods and services and people in the city had reduced disposable incomes.
It said: “Looking ahead, the position remains challenging.
“Against a backdrop of uncertain government funding from April 2026, inflation and cost of living pressures have significant implications for the council’s finances, as do levels of demand.”
Council tax is set to rise by 4.99 per cent as part of the savings plan.
Some 1.99 per cent of the increase is a “social care precept”, a levy councils are allowed to include to help care for vulnerable people.
Extra central government funding meant the council avoided having to close Abbey House Museum in Kirkstall, a move which was met with a public backlash.
The council proposed closing 30 bowling greens around the city, but then decided they would be maintained until the end of the 2025 summer season.
A further consultation is planned on bowling green provision.
Plans to reduce funding for Neighbourhood Networks, which help elderly people live independently, by ten per cent would also not be needed.
Current plans include a review of 56 children’s centres around Leeds.
Centres currently run by schools could be brought under council control to save cash. No decisions have yet been made over closures or job losses.
Services under review also include children’s transport services, community committees and the council’s cultural investment programme.
The council has warned compulsory redundancies may be needed to reduce staffing by the equivalent of more than 230 full-time posts.
Further savings will be needed in the following two financial years, the report said. The shortfall was estimated at £38.2m in 2026/27 and £30.1m in 2027/28
