Council tax bills in England are set to rise again from April, with some councils proposing increases above the usual 4.99% cap.
Seven councils have been granted permission to go beyond that threshold, with some allowed to increase bills by as much as 9%.
Last year, the average Band D bill in England rose to £2,280, according to government figures. A 4.99% increase applied to that figure would add around £114 to the annual cost.
Here, Which? explains how much your council tax could rise, why some areas are seeing bigger increases, and what you can do to cut your bill.
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How much could council tax rise by in England?
Since April 2023, local authorities in England have been allowed to increase council tax by up to 4.99% each year, including the social care precept (if your council qualifies) and without the need for a local referendum. Previously, they could only increase the charges by a maximum of 2.99%.
Last year, out of 384 local authorities:
294 raised taxes by the maximum
56 were close to the maximum
8 councils chose to freeze or cut their council tax
Following the official funding announcement from the government this month, councils now have the final figures they need to set budgets and have begun publishing drafts for consultation. All councils must finalise their new tax rates for the 2026-27 year by mid-March.
The government expects this year’s average increase to stay roughly the same as last year. The majority of councils that have announced their 2026-27 budgets have proposed a hike close to the 4.99% cap.
In Wales, local councils can set their own rates based on their budget needs. Because of this, many Welsh residents are seeing higher average increases than those in England.
Last year, the average rise sat at 7.2% across all Welsh councils and was the second-largest hike since 2003. The Welsh government announced a 4.5% cash increase in core revenue funding for local authorities in its 2026-27 Budget, with councils currently proposing hikes of between 3% and 5.2%.
In Scotland, councils can set their own rates without a government-imposed cap. In the 2026-27 Budget, the Scottish government announced a 2% rise in local government budget funding. As there isn't a cap on the rates that can be imposed by councils, early planning figures from councils indicate potential increases of between 5% and 7.5% for 2026-27.
In Northern Ireland, you pay 'District Rates' based on your home’s value, with new bills issued every April. For the 2026-27 period, most households face average increases of 5% to 7%, as both regional and district rates are set to rise. These bills are often paid in monthly instalments, but you get a 4% discount if you pay upfront.
Seven councils in England are allowed to raise their council tax by more than the 4.99% cap this April.
Subject to final approval of their budgets, the permitted increases are:
Up to 9% - Shropshire, Worcestershire and North Somerset
Up to 7.5% - Warrington, Trafford and the Royal Borough of Windsor & Maidenhead
Up to 6.75% - Bournemouth, Christchurch and Poole
These councils were given special permission due to financial struggles, although the increases are smaller than originally requested by the councils. The government claims that, even with these hikes, bills in these areas will remain below the national average.
Council tax is one of the main sources of funding for local authorities. Many councils say they are facing rising costs and growing demand for services.
Council spending power fell sharply between 2010 and 2020 because of government funding cuts. Despite a small recent boost, real-term funding for 2024-25 is still nearly 19% lower than it was 15 years ago.
Alongside this, the government said that rising demand for special educational needs and disabilities (Send) support ‘has left councils struggling to balance their budgets’.
Some councils have felt the squeeze more than others over the past few years, forcing them to declare bankruptcy. These included:
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How to get help if you can't pay
Falling behind – even by one monthly payment – can be quite serious when it comes to council tax. If you don't act quickly, you could be asked to pay the full year’s payment upfront.
Within weeks, you'll get a final notice, and if you ignore it, your council can take legal action to recover the unpaid council tax debt. This includes an attachment of earnings, where money is taken directly from your wages, or sending bailiffs to your home.
As a last resort, you can be taken to court and may face up to three months in prison if you're found to be intentionally avoiding payment.
If you're struggling to pay, you should:
Contact your council immediately - Call the council tax department and explain your situation, as this will enable you to receive help.
Spread payments - You can request to move your payments from 10 months to 12 months to lower the monthly cost.
Acknowledge a ‘hardship’ - Some councils may offer a temporary payment plan or a one-off discount if you can prove exceptional financial distress.
Unlike energy or mobile bills, you can’t simply switch providers to save money on council tax, since it’s determined entirely by your local authority and your property’s valuation band. However, there are some ways you can potentially reduce it, and these include:
Challenging your council tax band: If you believe your property is incorrectly graded, you can submit a challenge. A successful rebanding could lower your future bills and could trigger a backdated refund worth thousands of pounds.
Checking for personal discounts: Depending on your circumstances, you may be eligible for significant reductions. For instance, if you live alone, you're entitled to a 25% single-person discount, while full-time students are entirely exempt from paying.
Claiming council tax reduction: If you're on a low income or receive certain benefits, you can apply for council tax support (or reduction). Depending on your local council's rules, this can cover anything from a small portion of the bill to the full 100%.
