Nearly 90% of English Councils to Impose Maximum Legal Council Tax Increase for Third Year

Most households in England will see a 4.99% council tax rise as local authorities grapple with funding shortfalls and rising social care costs.

88% of England's 153 upper-tier councils will increase council tax by the maximum 4.99% allowed without a referendum for the 2025-26 financial year.
If councils raising taxes by 4.5% or more are included, the proportion rises to 94%, with only nine councils opting for increases below 4.5%.
For 68% of councils, this marks the third consecutive year of maximum legal council tax hikes, driven by severe financial pressures on local services.
Some councils, including Bradford and Newham, received government approval for increases above the cap, citing acute financial distress, with rates reaching up to 9.99%.
Critics argue the current council tax system, based on outdated 1991 property valuations, is inequitable and fails to address the growing funding needs of local governments.