Seven local councils have received approval to raise their council tax by over 5%. In England, councils can typically increase council tax by up to 5% without a referendum. However, Shropshire, Worcestershire, and North Somerset councils have been granted permission to raise their portion by a maximum of 9%.
Additionally, Trafford, Warrington, and Windsor and Maidenhead councils can increase their share by up to 7.5%, while Bournemouth, Christchurch, and Poole Council can raise its share by up to 6.75%.
Council tax adjustments usually take effect every April. The average Band D council tax in England for the 2025/26 year is around £2,381. This follows the government’s announcement of a three-year settlement providing approximately £78 billion to local authorities in England.
To address funding cuts, councils facing the most significant impact will benefit from targeted investment through a £440 million Recovery Grant boost, with a total of £2.6 billion available by 2028/29 through the Recovery Grant.
Local government minister Alison McGovern stated that the government’s finance reforms aim to allocate funds where needed most. She emphasized that the additional flexibilities granted are limits, not targets, leaving decisions on council tax levels to local authorities.
Many individuals are not availing council tax discounts, which can range from 25% to 100% based on personal circumstances and living arrangements. Discount eligibility varies, with examples such as a 25% discount for single occupants and a 100% discount for those with severe mental impairments living alone or in all-student households.
Residents are encouraged to contact their council directly to inquire about applicable discounts. Furthermore, Council Tax Support or Council Tax Reduction schemes are available for benefit claimants or those with low incomes, potentially allowing for a full bill exemption.
It’s worth noting that each council administers its own discount scheme, leading to varying discounts and eligibility criteria based on the resident’s location. Residents may also challenge their council tax banding, potentially resulting in refunds and lower future bills. However, thorough research is advised, as an incorrect banding adjustment may lead to higher payments and affect neighbors as well.