Residents to experience additional council tax increases in 2026
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Somerset Council is considering raising council tax for local residents as it works to stabilize its finances. The authority is proposing a minimum 4.99% increase in its share of the precept next year and may seek government approval to exceed this rate.
The council's draft budget for the upcoming financial year highlights a projected funding shortfall of 73 million, even after implementing the proposed tax rise, which the council says it is actively trying to reduce.
Earlier this year, the council was permitted to raise council tax by 7.49%, while other councils across the UK have been given a 10% ceiling. Somerset Council has attributed the budget gap to rising demand for services, inflation, and increased operating costs.
The authority is awaiting confirmation of government funding, as well as outcomes related to business rates and reforms for Special Educational Needs and Disabilities (SEND). Interim Chief Financial Officer Clive Heaphy told an executive meeting that specific details were not expected until mid-December.
"None of the announcements from government are likely to have a positive impact, and may even worsen the situation," he said. "We are in challenging territory." Councillors have agreed to request additional financial assistance from the government, with informal discussions already underway.
Since declaring a financial emergency in November 2023, Somerset Council has relied heavily on central government support. The authority plans to achieve 20 million in efficiency savings and increase fees for services such as marriage registration. Recent measures have included cutting 555 full-time positions and making 292 redundancies, resulting in 33 million saved on salaries.
A public consultation on the proposed tax increase will take place before a final decision is made at a full council meeting in February 2026.
Author: Zoe Harrison
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