Councils across England opt to rise council tax to the highest amount (2024)

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Millions of households across England face the biggest rise in council tax in decades as dozens of local authorities revealed that they are to increase bills this year by nearly 5%, three times the rate of inflation.

One in three of the country's biggest councils have opted to slap a 4.99% tax rate on its residents, which is maximum amount allowed without a referendum needing to be called.

With the average band D council tax bill in England last year standing at £1,530 the price hike would put an an extra £76 a year on bills.

The impending rise of council tax for most comes despite Prime Minister Theresa May's pledge to help those 'just about managing' and sharp spikes in energy prices and the cost of food.

Local authorities demanded the changes to support the country's social care system which the Local Government Association says is facing a £2.5bn spending gap if council taxes do not increase.

Claire Kober, chairman of the Local Government Association's resources board, said: 'After years of striving to keep council tax as low as possible or frozen, many town halls have found themselves having to ask residents to pay more council tax over the next few years, particularly to try and offset some of the spiralling costs of social care.

'Services supporting the elderly and disabled are at breaking point. It cannot be left to council taxpayers alone to try and fix them.'

However former health minister, Norman Lamb, said rising taxes will penalize families while not giving a sufficient boost to the health service.

Lamb said: 'It is wrong to be putting the burden of sorting this onto a tax which is unfair, which hits lower income households harder and which increases inequality across the country as wealthy areas are able to raise more from this than poorer areas.

'This just reinforces the absolute need the confront this properly rather than the endless sticking plaster solutions as we lurch from crisis to crisis'.

A survey conducted by the Sunday Times revealed that 28 out 152 county councils across the UK have opted for maximum 4.99% hike.

The likes of Hampshire, East Sussex, Wiltshire, Bristol, Nottingham and Leeds are among the councils taking advantage of Theresa May's decision to let them increase bills to raise money for social care.

A further 34 councils have pledged to rise tax to between 3.99% and 4.99% and 21 have proposed increases up to 3.99%.

Only two councils have said they will freeze its rates including Hammersmith and Fulham in west London.

However Surrey has proposed a 15% increase in council tax and will be holding a referendum in order to process the decision.

The referendum will take place on May 4, the same day as council elections.

Should the tax increase to the suggested amount the band D Surrey residents will have to pay an extra £200 a year.

Read more:

• Millions face 5% council tax rise to fund social care | News | The Times & The Sunday Times

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