Politics
Islington Voters Decide: 4.99% Council Tax Rise Adds £105 Yearly
Voters will decide on a proposed 4.99 per cent council tax rise that would add roughly £105 annually to the typical band D bill in the borough.
How we reported this
The 2026 Islington Council Tax Referendum asks residents to approve or reject a 4.99 per cent increase in the local council tax rate for the 2027-28 financial year, directly affecting the annual bills paid by the borough's 108,000 households.
Why the measure reaches the ballot now
Islington Council faces a £12.4 million shortfall in its 2027-28 revenue budget after central government grants failed to keep pace with inflation-linked service costs, according to the authority's medium-term financial strategy published in March 2026. National rules require a referendum when a proposed rise exceeds the 2 per cent threshold set by the Department for Levelling Up, Housing and Communities.
Policy analysts note that the extra revenue would fund adult social care and children's services, which together account for 62 per cent of the council's net expenditure. Without the increase, the council would need to draw further from reserves already projected to fall below £25 million by 2028.
What the change would mean for daily budgets
For a household in council tax band D, currently paying £2,104, approval would lift the bill to £2,209. Band C properties, which represent 28 per cent of Islington homes, would see an £82 rise, while band E properties would face an additional £128. Local advocates note these amounts sit on top of separate increases in energy and water charges already announced for April 2027.
The legislation states that pensioner households receiving council tax support would see their net increase capped at £35, shielding roughly 14,000 residents. Working-age households without discounts would pay the full amount through ten monthly instalments starting in April 2027.
The government says the policy will generate £11.8 million in additional income, sufficient to avoid cuts to 180 adult care packages currently funded at £4,200 each per year. Residents can check their band and any discounts on the council website before voting opens on 15 October 2026.