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London Borough Warns of Possible 150% Council Tax Rise
The west London borough says central funding is being halved; a 150% rise in its tax share would cost Band D households an extra £29.11 a week. No decision yet.
Why it matters
A 150 per cent rise would be one of the steepest council tax increases ever proposed by an English local authority — and a vivid illustration of the funding squeeze facing councils as the government's "fair funding" review shifts money away from wealthier boroughs.
Full report
Hammersmith & Fulham council has warned it may need to raise council tax by 150 per cent in the 2027/28 financial year to maintain current services, according to The Guardian, which cites a cabinet report due to be published on Monday.
The proposed increase would apply to the borough's own share of the tax: Band D households in the west London borough currently pay £1,519 a year including a £510.51 Greater London Authority precept, and a 150 per cent rise in the borough element would cost them an extra £29.11 a week.
The council says central government funding will fall from £150.5 million in 2025/26 to £72.4 million over the next four years. Rowan Ree, the cabinet member for finance reform, described the situation as the borough's "biggest financial challenge in living memory."
The warning comes as the Labour government's "fair funding" review redirects resources from more affluent areas to those hit hardest by austerity. Hammersmith & Fulham is among the councils permitted to raise tax above the 5 per cent cap next year without a referendum, alongside Westminster, Kensington & Chelsea, Wandsworth, the City of London and Windsor & Maidenhead. The proposal is a warning at this stage — no decision has been taken.
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