Council loses bid to raise tax by more than 5%

Councillors have failed in a request to the government to raise council tax by more than double the 4.99% cap.

Somerset Council will now weigh its options in a budget meeting on 25 February, when it will consider higher charges for services such as wedding certificates and garden waste bins.

The authority said it had taken steps to reduce its projected funding gap from £101m in March 2025 to £25m in February 2026 – without cutting services or jobs.

Speaking after the government denied the tax request, council leader Bill Revans said it "clearly" costs more to deliver services such as road maintenance in rural areas like Somerset.

He previously said a hike of 11% was "one of the options" being discussed, following a 7.49% rise in 2025.

The council's reports reveal how its finances have been hit by the government's recent Fair Funding Review, which aims to redistribute local authority funding.

Revans said: "We estimate we're losing around £21m as a result of this change – the third highest reduction in the country."

A 4.99% council tax rise is now expected to be approved by councillors, meaning the average Band D property in Somerset will pay £1,950.30 a year.

The Liberal Democrat-led council said this figure is lower than the average charge to Band D homes nationally, and is lower than the cost in neighbouring Dorset, Wiltshire and Cornwall.

Diogo Rodrigues, leader of the Conservatives at Somerset Council, said: "There are no heartbreaking choices [in the budget], what there is is movements from one pot into another.

"These are things which in my view could well have been done before we asked government for a council tax rise. It feels like a smoke and mirrors budget process."

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