Households in two-thirds of London boroughs will face council tax bills exceeding £2,000 a year from April, according to research by The Standard.
A total of 22 out of 33 boroughs will issue Band D bills surpassing £2,000, with seven crossing this threshold for the first time.
Kingston will remain the most expensive borough, with bills nearing £2,500, while Wandsworth and Westminster will have the lowest, at £990 and just over £1,000, respectively. Despite being under Labour control since 2022, Wandsworth continues to have the cheapest council tax in London and the UK by partially freezing its rates for the third consecutive year.
The average Band D bill across London will rise by about £90, though this is tempered by the relatively low rates in Wandsworth, Westminster, and the City of London. The increase includes an £18.92 hike in the mayoral precept, bringing the Greater London Authority’s contribution to £490.38—4% higher than the current year.
Most councils plan a 4.99% increase, though Kensington and Chelsea will limit theirs to 4%. Ten boroughs have proposed hikes exceeding £100, with Newham—facing a financial crisis due to rising homelessness—seeking the largest increase at £131.62.
Currently, 15 boroughs already charge over £2,000 annually for Band D properties, including Barking and Dagenham, Bexley, Brent, Camden, Croydon, Enfield, Haringey, Harrow, Havering, Kingston, Lewisham, Redbridge, Richmond, Sutton, and Waltham Forest. From April, Barnet, Bromley, Ealing, Greenwich, Hounslow, Merton, and Islington will join them.
Westminster, also under Labour control since 2022, will surpass the £1,000 mark for the first time but will remain among the cheapest councils, with a Band D bill of £1,017.
Across London, the majority of households will now pay over £2,000 annually, or around £200 per month, as council tax is typically paid over 10 months.
Newham’s mayor, Rokhsana Fiaz, initially sought a 9.99% increase but was forced to reduce it to 8.99% following intervention by Deputy Prime Minister Angela Rayner. Newham, one of seven boroughs applying for emergency government funding, faces an £84m deficit next year, with £52m attributed to homelessness and temporary accommodation costs.
Croydon, in ongoing financial crisis since 2020, will have the second-highest council tax, rising by £113 to £2,480. The borough is also requesting £136m in additional government aid for 2025/26.
Lambeth has managed to keep its total Band D bill under £2,000, though residents will see an average £88 increase. Meanwhile, Tory-run Harrow expects bills to rise to £2,395, citing reliance on council tax revenue for 80% of its budget due to limited government grants.
Barnet, setting its Band D bill at £2,035, has requested £55.7m in “exceptional financial support” to balance its budget. Hillingdon, the last borough to announce its plans, will also implement a 4.99% increase, bringing its Band D bill to £1,952—the lowest in outer London.
Many councils have been forced to cut tax relief for low-income residents due to financial strain, and some are considering doubling charges on second homes to raise additional revenue.