More than 1.2 million Londoners could face steep council tax rises next year, the Evening Standard has reported, after Wandsworth Council announced plans for a 94% increase, from £1,020 to £1,978 for an average Band D property. Westminster is one of five London boroughs, alongside Kensington and Chelsea, Wandsworth, the City of London, and Hammersmith and Fulham, given permission by government ministers to raise council tax beyond the usual 5% cap without triggering a local referendum, as a result of the Government's Fairer Funding reforms. Westminster warned over the summer it faces an "unprecedented" £100 million drop in Government funding over the next three years, which could mean a council tax rise of at least 75%.
Cllr Paul Fisher, Westminster's Cabinet Member for Value for Money and Finance, said:
"The Government assumes we are now going to put up council tax by 75-100% to make up our immediate budget shortfall.
"Whilst we have not yet settled on council tax levels for next year, this new financial climate is unprecedented and presents us with stark and very tough choices ahead where there are no easy options."
Average council taxpayers could pay almost £400 extra per year by 2028/29 to plug the £100 million funding gap.
Cllr Fisher added:
"We are effectively being forced into making huge savings, with likely cuts and expected council tax increases."
A public consultation on the budget is due to close on 30 September.
Cllr Elizabeth Campbell, Leader of Kensington and Chelsea Council, said:
"Like Wandsworth and Westminster, we now have difficult decisions to make, but clearly not the freedom to make the decisions that are right for us and right for our residents. Devolution? What devolution? This government is purely about tax, waste, and then tax some more."
You can read Patrick Daly's article for the Evening Standard in full here.
Make sure you have your say and tell the Council what services matter to you, by 30 September.
