Council tax bills in England are set to rise sharply for millions of households in 2025-26. Six councils are leading the charge with some of the highest hikes, while the salaries of the officials managing these councils have also attracted attention.
The government’s 2025-26 financial year regulations allow councils to raise tax rates in varying amounts depending on their responsibilities. Areas such as Bradford and Newham have opted for significant increases, while the salaries of their respective town hall leaders have sparked debate.
A Snapshot of Significant Tax Hikes
According to the County Councils Network, most councils in England have increased council tax to the maximum allowable limit. For councils managing social care, a 4.99% rise is the norm, while smaller councils can only increase rates by 2.99%. However, for 2025-26, six councils were granted permission to impose even higher increases.
Bradford Council implemented a sharp 10% rise, resulting in an additional £205 on an average council tax bill. Other councils, including Newham and Windsor and Maidenhead, raised taxes by 9%, while Birmingham, Somerset, and Trafford followed with 7.5% hikes. These increases are notable given the economic pressures facing households across the country.
The Link Between Tax Increases and Council Leadership Salaries
The increase in council tax comes alongside growing concerns about the pay of senior council leaders. Data from the TaxPayers’ Alliance shows that the highest-paid council official in the six councils is Birmingham’s Managing Director, Joanne Roney, who earned £295,000 in the 2023/24 financial year.
Other high earners include Somerset’s Duncan Sharkey (£206,870) and Newham’s CEO Colin Ansel (£195,473). The financial strains caused by tax increases are being felt across the country, as many residents face rising bills in addition to increasing costs of living.
With some council leaders receiving six-figure salaries, many are questioning whether such remuneration aligns with public sector pay standards, especially when residents are being asked to pay higher taxes.
The number of council employees earning more than £100,000 annually has also increased sharply. According to the TaxPayers’ Alliance, 3,906 council staff members received total compensation of £100,000 or more in 2023/24.
This marks a 26% rise from the previous year, adding to the public’s concern about the growing gap between government workers’ earnings and the financial burdens faced by taxpayers.
