Ministers have approved significant council tax increases across England, with several councils receiving permission to exceed the standard 4.9 per cent cap in a bid to dodge bankruptcy.
Bradford Council is set to implement the highest rise at 9.9 per cent from April. Newham Council and Windsor & Maidenhead Borough Council have both been granted permission to raise their rates by 8.9 per cent. Birmingham City Council, Somerset Council and Trafford Council will be allowed to increase their levies by 7.49 per cent.
Deputy Prime Minister Angela Rayner announced the total funding package for councils will reach £69billion for 2025-26.
The settlement represents a 6.8 per cent cash increase in councils’ Core Spending Power compared to 2024-25.
“Councils deliver vital services across the country – driving growth and local economies and providing a lifeline for those that need it most,” Rayner said.
She added: “Through our Plan for Change we are determined to fix the foundations of local government; investing where it is needed, trusting local leaders and working together to deliver growth, better health and social care services and the affordable homes people need.”
Windsor & Maidenhead Borough Council had initially requested permission for a substantial 25 per cent increase but ministers rejected this proposal, instead granting the council authority to raise rates by 8.9 per cent.
The TaxPayers’ Alliance called the rejection of Windsor & Maidenhead’s original request a “pleasant surprise,” describing the proposed 25 per cent increase as “barmy”.
Elliot Keck, head of campaigns at the TaxPayers’ Alliance, said: “Taxpayers will be expecting to see immediate results from the inflation-busting tax hikes that they’re being subjected to, particularly given the increase in government funding above and beyond this rate rise.”
“Every year residents are being hit with ever higher bills, only to see depressingly little improvement in their local area,” he added.
“Town halls need to wake up, smell the coffee and begin a ruthless drive to increase efficiency and productivity in their all too frequently sclerotic organisations.”
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