Seven local authorities set to hike council tax by more than 5%

"Most local councils are allowed to increase their share of tax bills by up to 5% - and must ask for residents' permission in a referendum before hiking it further. But the seven councils have been given permission to bust the cap without a referendum when bills land on residents' doormats in April. Three of them - Reform-controlled Worcestershire County Council, Liberal Democrat-controlled Shropshire and North Somerset, which is run by Lib Dem-led coalition - are likely to increase bills by 9%."

"Authorities in Trafford and Warrington - both Labour controlled - and Lib Dem-led Windsor and Maidenhead have been allowed to raise their share of council tax by up to 7.5%. Bournemouth, Christchurch and Poole Council, which is run by a Lib Dem-led coalition, can raise its share by up to 6.75%. With the exception of Trafford, none of these areas are holding elections in May."

"Local government minister Alison McGovern said the government had only agreed to 'small additional flexibilities' in the seven areas to ease financial pressure. 'These additional flexibilities are a limit, not a target. Decisions on council tax levels are for local authorities,' she said. The cap-busting increases are lower than the seven councils requested 'in almost every case', the government said, and people living in those areas will not see their bills 'pushed above the national average'."

Seven English local authorities received permission to raise council tax above the usual 5% cap to ease severe financial pressures. Normally councils can raise their share by up to 5% and must hold a referendum to go higher, but these seven may exceed the cap without one in April. Worcestershire, Shropshire and North Somerset may raise bills by 9%, while Trafford, Warrington and Windsor and Maidenhead could increase by up to 7.5%, and Bournemouth, Christchurch and Poole by 6.75%. The government said allowed rises were generally lower than requested and would not push bills above the national average. Warwickshire has applied for a £71m emergency loan and faces effective bankruptcy.

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