As April rolls around, nearly every local authority in England is gearing up to raise council tax by the maximum allowable amount without facing a referendum – a whopping 4.99%. According to data from the County Councils Network (CCN), this move will result in the average Band D household shelling out an additional £103 over the course of the year.
The funding gap for councils still looms large at £1.1 billion over the next two years, prompting some of the toughest decisions they’ve ever had to make, as highlighted by Councillor Sam Corcoran, vice-chair of the CCN. However, not all councils are toeing the line of the maximum increase. Rochdale MBC, Hartlepool BC, Tower Hamlets LBC, Stockton-on-Tees, and Nottinghamshire are among those proposing more modest hikes below the 4.99% cap.
For those residing in areas covered by district councils without social care responsibilities, a maximum increase of 2.99% without a referendum is the norm. While some councils are choosing to freeze council tax rates this year, others are being granted special permission to raise them significantly higher, with Birmingham and Woking looking at up to a 10% spike, and Thurrock and Slough potentially seeing an 8% increase.
As councils across England grapple with financial strains and tough decisions, it’s clear that the burden of these council tax increases will be felt by households across the country. Meanwhile, the varying approaches taken in Wales, Scotland, and Northern Ireland underscore the complex landscape of local taxation and funding challenges faced by local authorities nationwide.
