Council Tax to Rise by 4.99%

Newcastle City Council met last Wednesday to agree the budget for the coming year and to set the Council Tax rate for 2026/27.

Labour and Green councillors combined to set the Council Tax rise for Newcastle's residents for 2026-27 at 4.99%, the maximum allowed by Government.

Liberal Democrats councillors proposed amendments to the budget that would have seen capital spending to accelerate repairs to roads and pavements, more investment to repair all parks and play areas across the city, and improvements to council houses. We also proposed additional funding for day-to-day activities and maintenance in our parks. However, Labour and Green councillors ensured that all these proposals were rejected.

Lib Dem councillors tried to work "across the Chamber" to seek consensus, including supporting a Green amendment on the HMO Licensing framework, which reflected the HMO licensing policy proposals made by Lib Dem councillors at a meeting a few months ago. However, despite offering amendments in the meeting, Lib Dem proposals to improve the budget setting process in future in order to help lower future council tax rises, were also rejected.

Labour councillors spent much of the evening criticising the Lib Dems, even though they still run the Council. They also "forgot" to acknowledge the successful national campaign, led by Newcastle Lib Dems, that ensured that the Council's grant settlement for the next three years now covers the more than £20 million per year Student Council Tax gap.