Council tax bills to rise 380 for certain UK households in band D

Ms Rayner is understood to be exploring council tax reform.

James Rodger Content Editor

06:21, 21 Aug 2025

[Council tax bills to rise 380 for certain UK households in band D]

Council tax bills to rise 380 for certain UK households in band D

Council tax bills could rise by 380 for rural UK households under a so-called "spiteful" Labour Party Deputy Prime Minister Angela Rayner proposal. Ms Rayner is understood to be exploring council tax reform.

Households in England's rural communities will see their council tax bills increase by between 376 and 380 over the next four years as a result, though.

The County Councils Network has calculated that families living in band D properties in countryside areas will pay 2,756 annually by 2029, compared to 2,380 currently.

Tim Oliver, who leads Surrey County Council and chairs the County Councils Network, stated: "Surrey county council will lose something in the region of 160million of funding over three years."

"In the meantime, money is flowing out of Surrey to other parts of the country," Mr Oliver added.

He explained: "They have bigger houses so they are in a higher tax band. It disproportionately affects higher value houses that already pay more council tax."

Conservative Party leader Kemi Badenoch accused the Labour government of displaying "utter contempt for people living in rural Britain."

The Tories leader said: "This latest spiteful change will steal more money out of the hands of county councils and send it straight into Labour-run urban areas. Only the Conservatives are serious about standing up for our rural communities."

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Reform UK's deputy leader Richard Tice said: "The bottom line is Governments can't keep foisting extra requirements and servics on councils and expect people to just continue to pay regardless."

A spokesman for Ms Rayners department said: "We do not recognise this analysis. The current, outdated way in which local authorities are funded has left communities behind and damaged local services.

"This must change and is why we are taking decisive action as part of our Plan for Change to reform the funding system so we can improve public services, while maintaining the previous governments referendum threshold on council tax rises so taxpayers have the final say and are protected from excessive increases."

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