Advertisement
News

Almost all local authorities plan to increase council tax, claims new study

The Local Government Information Unit found that 97 per cent of councils plan to up bills by more than 2.5 per cent this year

Almost all councils in England will raise their council tax this year, according to a new study, after the government’s local authority spending review paved the way for rises.

With the council tax freeze that was in place since 2010 now at an end, Communities Secretary James Brokenshire signed off powers to increase council tax bills by 2.99 per cent without a referendum.

Up to 97 per cent of local authorities will be taking advantage of this, according to the Local Government Information Unit’s (LGiU) State of Local Government Finance Survey.

Around three quarters of those councils will be increasing the amount taxpayers cough up by more than 2.5 per cent, with cash-strapped Northamptonshire County Council given special dispensation to raise their council tax bills by 4.99 per cent, asking everyday people to foot the bill for a crisis born from mismanagement and spiralling budgets.

The survey, which received responses from 123 of the 353 local authorities in England, also found that more than half of councils had dipped into their reserves this year as austerity and drastic cuts in recent years take their toll.

Advertising helps fund Big Issue’s mission to end poverty
Advertisement

In fact, 80 per cent of councils insisted that current council funding – crucial to keep essential local services like libraries running – is at “unsustainable” levels.

“We know that council funding is broken. Councils are making do by increasing council tax as much as they can, increasing charging and dipping in to their reserves,” said LGiU chief executive Jonathan Carr-West.

Richard Watts, the chairman of the Local Government Association’s resources board, responded to the study by pointing to the £3billion funding gap that councils face currently.

“If we truly value our local services then we have to be prepared to pay for them,” he said. “Fully funding councils is the only way they will be able to keep providing the services which matter to people’s lives.”

Advertising helps fund Big Issue’s mission to end poverty

Never miss an issue

Take advantage of our special subscription offer. Subscribe from just £9.99 and never miss an issue.

Recommended for you

Read All
Statue of girl killed by air pollution should be reminder of dangers of toxic air, says mother
Rosamund Adoo-Kissi-Debrah stands with a statue of her daughter, Ella
Air pollution

Statue of girl killed by air pollution should be reminder of dangers of toxic air, says mother

I'm buying fruit and veg for my kids on 'buy now, pay later'. The two-child benefit cap needs to go
A group of people stands with banners outside the Treasury
Two-child benefit cap

I'm buying fruit and veg for my kids on 'buy now, pay later'. The two-child benefit cap needs to go

These are the UK regions set to be hit hardest by Trump's tariffs
Donald Trump

These are the UK regions set to be hit hardest by Trump's tariffs

More than half a million young Brits not in work, training or education have never had a paid job
a young person sat on a bench
Employment

More than half a million young Brits not in work, training or education have never had a paid job

Most Popular

Read All
Renters pay their landlords' buy-to-let mortgages, so they should get a share of the profits
Renters: A mortgage lender's window advertising buy-to-let products
1.

Renters pay their landlords' buy-to-let mortgages, so they should get a share of the profits

Exclusive: Disabled people are 'set up to fail' by the DWP in target-driven disability benefits system, whistleblowers reveal
Pound coins on a piece of paper with disability living allowancve
2.

Exclusive: Disabled people are 'set up to fail' by the DWP in target-driven disability benefits system, whistleblowers reveal

Cost of living payment 2024: Where to get help now the scheme is over
next dwp cost of living payment 2023
3.

Cost of living payment 2024: Where to get help now the scheme is over

Citroën Ami: the tiny electric vehicle driving change with The Big Issue
4.

Citroën Ami: the tiny electric vehicle driving change with The Big Issue