Laura Sharman 06 February 2017

Survey shows at least a third of authorities planning 4.99% council tax increase

One in three of the biggest councils in England are planning to increase council tax by the maximum level allowed without holding a referendum, a new survey has revealed.

Research conducted by the Sunday Times found at least 41 councils are planning to use the social care precept to increase council tax bills by 4.99% in 2017/18.

City councils planning to implement the maximum rise include Bristol, Hull Liverpool, Manchester, Nottingham and Rotherham.

Hampshire, Hertfordshire, Oxfordshire, Wiltshire, Dorset and South Gloucestershire also told the national paper they were planning a 4.99% rise.

In the local government finance settlement, the Government announced that councils will be allowed to increase council tax by 6% over the next two years in order to fund social care services. The increase is expected to generate an additional £652m by 2020.

However, the Local Government Association has warned that even if all councils imposed the full precept, it would still leave a funding gap of more than £2.6bn by 2020.

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