Prior to the election, the council had been under no overall control, with the Conservatives the largest party.

Labour saw the biggest net increase in its seats, gaining three, but the council remained under no overall control with the Conservatives as the largest party.

[2][3] Deryck Morton was re-appointed to the council's most senior political role as chair of the policy committee after the election, effectively leading a Conservative minority administration.

[9][10] By-elections for the two wards of Christchurch and Redlands were held on 7 May 1981, alongside elections to Berkshire County Council.

[11][12][13] The Abbey ward by-election in 1981 was triggered by the resignation of Labour councillor Graham Chapman.