The Royal Borough of Kensington and Chelsea has formally agreed to challenge the Government's Fair Funding Review.
The reforms will reduce the council's resources by £108m between 2026/27 and 2029/30, equivalent to more than 40% of its controllable budget, according to a statement from the council.
The council says the formula fails to reflect the borough's high housing costs, population density and service demand, and penalises it for keeping council tax low.
A public consultation on the idea of challenging the reform drew 1,499 responses, with 93% in support.
Council leader Elizabeth Campbell said the cuts were ‘the furthest thing from fair’ and that she would exhaust every avenue to challenge them.
Westminster, Richmond upon Thames and Wandsworth councils are preparing similar proposals, and the four are working together to strengthen their case.
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