Bath and North East Somerset councillors are set to consider a proposed 4.99% increase in council tax as part of the 2026/27 budget plan. The proposal, supported by the council’s cabinet on February 12, now awaits approval from the full council at a meeting scheduled for February 24.
Mark Elliott, the cabinet member for resources and representative for Lansdown (Liberal Democrats), highlighted the council’s challenging financial landscape, citing simultaneous government funding cuts and escalating demand in social care. Speaking at the cabinet meeting, Elliott said, “I’m proud to present a balanced budget proposal that, despite £12.5 million in funding reductions over three years, protects frontline services and invests in key priorities for Bath and North East Somerset residents.”
The 4.99% increase represents the highest rise local councils can implement without requiring government approval or the need for a public referendum. For an average Band D household, this increase translates to an additional £90.97 per year, or approximately £1.75 weekly, applied from April to the Banes portion of the council tax bill.
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Elliott stressed that despite the rise, Bath and North East Somerset continues to have one of the lowest council tax rates among South West unitary authorities. “Once North Somerset enacts their 9% increase, we will remain the second lowest in the region while avoiding the service cuts facing many other authorities,” he explained.
Most local authorities responsible for social care have also proposed the full 4.99% hike. Elliott confirmed that the additional £6.5 million raised through this tax rise closely matches the net increased spending required for social care services. “Essentially, this increase is designed to cover the growing demands in social care,” he added.
The council plans to direct additional funding towards preventative initiatives, aiming to improve outcomes while reducing costs. Specific allocations include a £500,000 fund to provide grants for foster parents to adapt their homes, enabling more children to be cared for in family settings rather than children’s homes. An additional £35,000 will be invested in programs targeting early intervention, including support for individuals at risk of domestic abuse. Cabinet member for communications and community, Manda Rigby (Bathwick, Liberal Democrats), emphasized, “Prevention is the most effective and cost-efficient way to reduce long-term demand on our services.”
The council faces a £2.42 million funding reduction from the government for 2026/27 as part of the Fair Funding Review, growing to a total loss of £12.5 million over three years. Elliott criticized this approach, stating, “The government removes central funding and then expects councils to bridge the gap through council tax increases.”
The full council meeting to vote on the proposed council tax rise and budget will be held at Bath’s Guildhall at 6:30 pm on February 24.