Families could face council tax hikes of up to £120 a year as councils will be allowed to increase levy by up to five per cent from April

Households are going through council tax hikes of as much as £120 a yr from subsequent spring.

Chancellor Jeremy Hunt will permit city halls to hike the levy by as much as 5 per cent from April regardless of rising requires tax cuts in subsequent week’s Autumn Assertion.

It means nearly all of native authorities will be capable of cost greater than £2,000 council tax for a typical Band D dwelling in 2024/25.

B and D households inside Rutland Council’s jurisdiction have been charged the very best quantity final yr: £2,365.56. 

This may enhance by round £120 if the native, police and hearth authorities raised payments by the utmost allowance. 

Pete Marland of the Native Authorities Affiliation’s sources board stated: ‘Extreme funding and demand pressures imply that council funds are underneath strain like by no means earlier than.

‘[Some] warned of being unable to fulfill their authorized obligation to set a balanced price range and are near issuing Part 114 notices [the equivalent of a company declaring bankruptcy].

The Treasury is predicted to substantiate subsequent week that councils will be capable of enhance payments by 3 per cent – plus one other 2 per cent if they’ve duty for social care.