Published: Wednesday 5 February 2025
Taxes are likely to be kept low and support made available for people on low incomes, as councillors in Kensington and Chelsea Council prepare for next year’s budget with one of the lowest anticipated council tax increases in the country.
How much will your council tax go up?
Council tax is expected to rise by four per cent in the borough, made up of two per cent for council tax and two per cent for the social care precept which is one per cent lower than the maximum of 4.99 per cent. This means an average Band D property (excluding Garden Squares) will see an increase from £1,037.58 to £1,079.08, an increase of £41.50 from last year. This increase is less than one pound a week. Kensington and Chelsea still has one of the lowest Band D rates in the country.
What support is available for low-income residents?
The Council is proposing to offer a one-off £50 support payment in spring this year for around 15,000 low-income households to help with the cost of living. There are also plans to extend the free schools meals offer for eligible pupils outside term time and retain the council tax reduction scheme to help low-income residents with council tax bills.
What are we investing in over the next three years?
The Council plans to invest £195.6 million in the borough’s housing needs, schools, highways, transport and public spaces and parks. A further £350.1 million is planned to be invested into the Council’s housing estates over the next three years.
Cllr Elizabeth Campbell, leader of Kensington and Chelsea Council said:
“Years of sensible management and focusing on what residents want means we can keep council tax low again – with one of the lowest proposed increases in London.
“Like other councils we have substantial budget pressures, with a £40 million gap over the next four years, but we will look at every option before raising taxes. Next year we will save £16 million, mainly through innovation and back office efficiency.
“We’re spending too, investing half a billion over three years in public spaces, building new homes, renovating our estates and keeping our streets clean. We know the cost-of-living still bites for some and we have set financial support for those who need it the most.”
Council's budget spend on local services
The Council is proposing to spend £677 million on the day to day running of local services including weekly bin collections, enforcement, and keeping our streets clean. This includes increased costs in delivering services such as children’s and adult’s social care, housing and pressures of temporary accommodation.
When will the budget be approved?
Kensington and Chelsea Council’s Leadership Team will discuss and agree the Council’s budget priorities for the year at a meeting on Wednesday 12 February 2025. You can see the reports for the meeting on our committee pages.
The final budget will go to Full Council for approval on Wednesday 5 March 2025.
The budget and Council Tax report will be published soon on the Council’s website.