Politics
Hackney Council Raises Council Tax 4.99%, Increasing Household Bills October 2026
The decision directs extra revenue to adult social care while residents across the borough face higher payments from October.
How we reported this
Hackney Council passed its 2026/27 budget on 7 July with a 35-12 vote that sets a 4.99% council tax increase for all residential properties. The rise adds an average £78 to Band D bills and raises total collections by £8.4 million, according to the finance report presented at the meeting.
Why the vote happened now
Central government grant reductions and rising demand for adult social care forced the council to close a £12 million gap in its revenue budget. The approved plan allocates £6.1 million of the new tax income to home-care contracts and day centres, leaving £2.3 million for street maintenance and the remainder for inflation on existing services.
Residents in council-owned sheltered housing will see no change to their rent but will face the full tax increase on their council-tax element. Private tenants whose landlords pay the bill can expect rent adjustments at the next review cycle, while owner-occupiers in Clapton and Dalston will pay the extra amount directly through direct debit from October.
Who receives funding and who pays
The adult social care allocation covers an extra 180 home-care packages per month for people over 65, according to the council’s commissioning plan. Youth centres and library opening hours receive no new money and will operate on existing budgets, meaning some evening sessions in Stoke Newington and Haggerston are projected to close by March 2027.
Business-rate payers in the borough receive no relief under the new budget. Small retailers on Kingsland Road will continue to pay the standard multiplier, while the extra household tax revenue will not flow to commercial waste collections.
The council will publish the final council-tax notices by 1 September and begin billing in October. Any resident wishing to apply for council-tax support must submit forms by 15 August to receive reductions from the first payment date.