Seven councils have received approval to hike their council tax by over 5%. In England, councils can typically raise council tax by up to 5% without needing a referendum. Shropshire, Worcestershire, and North Somerset councils can increase their share by a maximum of 9%. Trafford, Warrington, and Windsor and Maidenhead have the go-ahead to raise their share by up to 7.5%, while Bournemouth, Christchurch, and Poole Council can increase their share by up to 6.75%. Council tax usually sees an increase annually in April, with the average Band D council tax in England for 2025/26 estimated at around £2,381.
The government has announced a three-year settlement providing approximately £78 billion to local authorities across England. Councils facing significant funding cuts will benefit from targeted investment through a £440 million Recovery Grant uplift, with a total of £2.6 billion available by 2028/29 through the Recovery Grant.
Local government minister Alison McGovern highlighted that the additional flexibilities granted are a limit, not a target. She emphasized that decisions regarding council tax levels are the responsibility of local authorities. Many individuals are missing out on council tax discounts that could range from 25% to 100% off the bill, depending on personal circumstances and living arrangements. Contacting the council directly can help determine if any discounts apply to a household.
Council Tax Support or Council Tax Reduction schemes are available for those claiming benefits or on a low income, potentially offering a complete waiver of the bill. Each council operates its scheme, leading to variations in available discounts and eligibility criteria based on the location. Homeowners may challenge their council tax band, as numerous properties are believed to be incorrectly categorized. Correcting the band could result in refunds and reduced future bills, but thorough research is necessary to avoid potential higher payments or affecting neighbors.
