The areas where council tax rises are biting the hardest on household finances

From groceries to utilities, the rising cost of living is causing financial instability for homeowners and renters across the country. New research from estate and lettings agent, Barrows and Forrester, shows that the cost of council tax has soared by as much as £145 in parts of the country, putting a further squeeze on our household finances.

Related topics:  Finance
Property Reporter
20th April 2022
Tenants Gutted 211

At £1,493, the average household in England is now paying 4.5% more than they were last year - that’s an increase of £64.

The biggest percentage increase in the country has been seen in Ashford, Kent, where this annual cost has climbed by 9.1%. As a result, Ashford has also seen the largest monetary increase at £145, one of 18 areas of England where the annual cost of council tax has increased by more than £100.

Other areas to have seen this cost climb by more than £100 include Runnymede, Woking, Elmbridge, Bedford, Croydon, St Albans, Reigate and Banstead, Broxbourne, Mole Valley, Craven, Guildford, Mid Devon, Rutland, East Cambridgeshire, Watford, Waverley and South Oxfordshire.

In terms of the percentage increase versus last year, Manchester (8.7%), Bedford (8.1%), Salford (8.1%), Croydon (7.8%), Hyndburn (7.6%), Broxbourne (7.4%), Islington (7.4%), Runnymede (7.4%), Haringey (7.2%) are the areas to have seen the largest increase in council tax costs.

The smallest yearly increases have been seen in South Somerset (1.3%), Eden (1.5%), and Bristol (1.8%).

James Forrester, Managing Director of Barrows and Forrester, commented: “It’s certainly shaping up to be a bleak year for many households with the increasing cost of living squeezing our finances on all sides, whether it be the price of petrol, our weekly food shop, energy prices or council tax.

"There’s a very strong chance we will also see mortgage costs continue to climb as the year goes on, while the cost of renting also looks set to increase and this will put further strain on those that are already cutting back to the extreme in order to get by.

"At the same time, wages have failed to keep pace and the Government has done little to help, with the most significant offering being a very marginal reduction in National Insurance which isn’t due to be implemented until July. For those really up against it, this meagre offering is likely to be far too little too late and we need to see more action being taken now to address this dire situation.”

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