Wandsworth announces shock £958 a year council tax bill rise in huge blow to thousands of households

THOUSANDS of households are in for a record bill rise as the council with the lowest tax rate in Britain has revealed it will hike bills by £958 a year. Wandsworth Council in South London is set to up council tax for a Band D property from £1,020 to £1,978 a year from next April. The 94% rise is Britain’s biggest annual increase ever. Residents of a typical Band D property in the UK pay £1,940 a year, or £2,392 once all costs from combined authorities and others are included. Sign up for the Money newsletter Thank you! The council said the increase was due to financial pressure following government reforms, which have cut its central government grant by £84million a year. The 40% cut is part of government reforms to divert cash to more deprived areas in the Midlands and the north. In a spending review the council said the cut is equivalent to the amount it spends on parks, libraries, leisure centres, bin collection and street cleaning. The council said the cut will place significant additional pressure on essential local services and means the council will need to make tough choices. Get FREE tax guidance about inheritance, property and capital gains worth £250 * If you click on this link we will earn affiliate revenue Are you sick of handing over your hard-earned cash to the taxman? You could slash your tax bill legitimately with the right planning, from inheritance tax on your home to savings and pensions. Award-winning financial advice firm Kellands Chartered Financial Planners are offering Sun Money readers a free one-hour consultation with their experts worth £250. Claim your free session today Kellands (Hale) Limited is authorised and regulated by the Financial Conduct Authority. FCA Firm Reference No: 193498 Peter Graham, deputy leader of Wandsworth Council and cabinet member for finance, said: “We do not want to do this, and we do not take this decision lightly, but the scale of the financial pressure facing Wandsworth means additional income is now needed to protect the services people rely on.” He added that the council is fighting for a fairer deal for residents and has made a case ahead of the Budget that it shouldn’t be punished for running efficient services and keeping tax low. Most read in Money Wandsworth is one of six councils in London and the South East with low bills where ministers have approved significant bill increases. Councils are facing significant financial pressure, with four in five warning they are struggling to balance their books despite modest improvements, according to Unison. Councils are forecasting a combined funding gap of almost £4billion in 2027/28, rising to £7.1billion by the following year. A funding gap is the difference between the amount a council needs to provide its current services and what it actually receives. Comment now