It appears Cheshire East Council’s bid to hike up council tax by 9.99% in 2026-27 has been rejected by the Government.
The cash-strapped authority had applied for the extraordinary measure, way above the normal cap of 4.99%, due to its massive funding gap.
But announcing the Local Government Finance Settlement 2026-27 yesterday, only seven local authorities were granted the cap-busting tax hike – including neighbouring Shropshire.
In their statement, the Government said: “We have taken a similar approach to previous years and have considered requests for bespoke council tax referendum principles from councils with low council tax levels that are in financial difficulty.
“We have carefully considered requests from these councils and only agreed to small additional flexibilities in seven councils – less than the councils requested in all but one area.
“The government has agreed to bespoke referendum principles of an additional 4% in Shropshire, North Somerset and Worcestershire, an additional 2.5% in Trafford, Windsor and Maidenhead, and Warrington, and an additional 1.75% in Bournemouth Christchurch and Poole.
“These are difficult decisions that are not taken lightly. We have not agreed to any requests that could lead to households in those areas paying above the average council tax level.”
Cheshire East is now likely to impose the capped increase of 4.99% – of which 2% is ring-fenced for adult social care.
A Cheshire East Council spokesperson said today: “The request to increase council tax was one option for councillors to consider through the council’s budget setting process, which the council recognised as requiring permission from central government.
“Councillors will now work to agree a budget through the remaining options, including a request for additional Exceptional Financial Support, which is subject to a further government decision, and a range of budget proposals for savings, income and growth, and feedback from public consultation and engagement through the annual budget setting process.
“Also announced by government yesterday was the High Needs Stability Grant which is due to bring a betterment of £2.7 million in 2026/27 and the £5.3 million in 2027/28 to the council’s financial position.”
Nantwich will be hit hard by the cuts as it’s mainly full of old people who use the most resources (and moan the most).
The Public Sector believe just pouring money at an issue solves the problem. It is about effective management, measuring results, outcomes and targets within a budget. Management is about being effective within a budget. Sadly increases in gross domestic product in the public sector has been poor compared with the private sector. The lack of responsibility and accountability still prevails.
Success is measured in outcomes.
This does not imply or mean there won’t be some good people in the Public Sector.
However the culture needs to change and I believe it won’t.
They will go from one crisis to the next.
Directors, Executives and Managers in the Private Sector culturally think differently. I know enough to know. I was one myself.
They think they are as good as last month’s pay day. They know they are continually under the microscope.
The increase in Council Tax is still above the rate of inflation and specifically it is net increase where increases in income is based on gross income prior to tax and national insurance.
For those members of Society who are retired ask what percentage of net pension income is now taken up by council tax?
This has increased considerably over the years as council tax bites harder into net income.
Pleased that there is someone who can reign this Dick Turpin of a council in.
They might sell that car park in Crewe that they use for themselves for free.
What, in English please, B
Thank god for that,you could give these idiots 50% and they would still find a way to underdeliver and still want more the following year.
Time to manage the budget and do what your payed for,deliver a cost effective service.
Common sense prevailing. CEC will just have to start managing their budget and STOP wasting money through carbuncle ideas. About time CEC get into the real world that working people and pensioners cannot sustain huge rate increases. Not every person is entitled to benefits to reduce their rates bill. Currently my rates bill is £2038+ (2025/26 period) and will increase massively for forthcoming 2026/27 period – just waiting for notification from the council AND I am not entitled to anything off. Water has just gone up another £57+ a year. With all other utility/household increases, I am going to be at a deficit on Pensioner April increase (WOW remind myself, it’s triple lock) – so what money I get is being stretched further and further.
This post will them form a prompt, for all those that think they know better than Cheshire East Councillors to whinge about how
Queue up, Ian, Ron and Brian…..