The majority of councils in England are set to raise council tax bills to the maximum amount starting today, bringing more financial burden to households already struggling with limited funds. According to The Mirror’s analysis of local authority budgets, most councils are opting to increase bills by 4.99% on April 1, the highest percentage allowed without the need for a referendum, in an effort to address budget shortfalls.
This move will result in residents living in Band D properties experiencing an average increase of £103 in their annual council tax bill. With many areas already seeing bills surpassing £2,000, this additional hike will further strain the finances of households across the country. The decision to raise council tax reflects the ongoing challenges faced by local authorities in managing their budgets and providing essential services to residents amidst financial constraints.
Out of the 151 social care authorities examined, it was discovered that merely 11 (7%) are not suggesting the highest possible increase. Birmingham City Council and Thurrock Council, both facing crises, have been granted approval by the Government to implement larger hikes – 21% and 7.99% respectively. While certain councils are enforcing 4.99% increases, they are also ensuring protection for specific residents, like Tower Hamlets Council in London, which will shield households with incomes below £49,500.
Numerous local councils have found themselves in a difficult position, being compelled to reduce funding for essential services like social care, libraries, and waste management due to significant financial constraints imposed by the Conservative government over the past decade. Sam Corcoran, who serves as the Vice-Chair of the County Councils Network, highlighted the severe financial strain faced by local authorities, emphasizing the challenging circumstances they are currently grappling with.
Councillor Corcoran, the leader of Cheshire East Council representing the Labour party, acknowledged the weighty decision to raise council tax, recognizing the impact it will have on residents’ cost of living. He explained that the mounting demands, particularly in children’s services, have left councils with little alternative but to increase council tax rates.
