COUNCIL tax payers in Somerset could see an increase in the money they pay to Somerset Council.
The cash-strapped authority announced it will seek ‘exceptional financial support’ from the government as part of its budget settings for 2025/26.
It says it has been taking emergency actions to reduce costs since its creation in April 2023, but rising pressures in adult and social care in the county mean the council is facing a gap of around £66m for 2025/26.
The leader of Somerset Council, councillor Bill Revans, has written to Angela Rayner MP, Secretary of State for Housing, Communities and Local Government, to highlight the challenge and request exceptional financial support.
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One option being considered is for the government to allow Somerset to raise council tax above the cap of 5%, which the council says would enable council tax to be at a comparable level to other local authorities.
A request for this last year by Somerset Council was rejected by the previous Conservative Government.
Another option would be to approve a further Capitalisation Direction, a form of one-off assistance offered last year that allows councils to sell assets or borrow money and use the proceeds to fund the budget gap and day-to-day running costs.
“We need urgent financial help now”
Cllr Revans said he recognises that any increase in council tax would impact residents significantly and has promised to increase support for those on the lowest incomes.
“We have been saying for some time that the funding model for local government is broken,” he said. “The new government has acknowledged this and promised reform and additional funds in key areas like social care by 2028.
“But 2028 is too late. We need urgent financial help now.
“We have done everything we can to reduce our costs with a series of unprecedented and heart-breaking decisions since 2023. Without additional funding, we have had no choice but to ask the government for permission to increase Council Tax above the 5% cap.
“This is not a decision taken lightly, but our council tax base is below the average nationally, and the feedback from our residents suggests they would rather pay more than see services cut.
“Last year the previous government rejected our request for a 5% increase – we warned that without reform this would mean deeper cuts and steeper tax increases in future. Sadly, this is now the reality.
“We are determined to take decisions locally, remaining accountable to our residents, rather than calling in expensive commissioners who would take the same actions without local knowledge or accountability.
“We recognise that any increase in council tax will have a significant impact on our residents and have pledged to increase funding to our exceptional hardship fund, in place to provide support for residents on the lowest incomes.”
READ MORE: Click here for more political news from your Somerset Leveller
While discussions with the government are ongoing, the council has revised its budget-setting timeline with meetings moved to align with expected decisions.
The budget will now be discussed at the following meetings:
- Extraordinary meeting of Scrutiny Corporate & Resources – 17 February
- Extraordinary meeting of the Executive – 19 February
- Revised Full Council meeting date for budget proposals – 26 February
- Reserve Full Council meeting date – 5 March.
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