Hull residents to face 4.99% hike in Council Tax
Councillors agreed to the rise on 27th February
Residents in Hull are set to pay more in council tax as Hull City Council has passed its budget for the 2026/27 financial year. The budget includes a 4.99% increase to council tax – the highest rate at which councils can raise the tax without a referendum.
The council’s deputy leader, and portfolio holder for finance, Cllr Jackie Dad, moved the budget plans of the ruling Liberal Democrat group. In her speech she told the chamber the plans before them were that of a “realistic, carefully throughout, balanced, and well planned budget that maintains service delivery and staffing without any cuts to services or staff.”
Cllr Dad explained the budget includes funding to give council tax relief to the terminally ill and money to support the homeless, among other funding commitments. Cllr Dad added that the increase to council tax, 2% of which is for the adult social care precept, is done out of necessity.
2026/27 Council Tax bands
Band A – £1,248.97
Band B – £1,457.14
Band C – £1,665.30
Band D – £1,873.46
Band E – £2,289.78
Band F – £2,706.11
Band G – £3,122.43
Band H – £3,746.92
The leader of the opposition in the council, Labour’s Cllr Daren Hale, celebrated an increase in the council’s spending power following the Government’s Fair Funding reforms which see Hull City Council getting more funding from central government than previously. He said: “It’s been very easy for the Lib Dems to settle this budget because of the huge amount of increases given by the Government. Cllr Hale added that whilst the funding is still “not enough”, it is, “a step in the right direction.”
The revenue element of the budget, which includes the increase to council tax was passed by 53 votes to 1. The one vote against came from Cllr Julia Conner who sits as an Independent councillor after having spent time in both the Labour and Lib Dem groups in the Guildhall.
The Housing Revenue Account (HRA) element, which includes a 4.8% rise in council rents was more contentious amongst councillors. The Labour councillors voted against the plans after their amendment which suggested freezing council rents was rejected.
The capital element of the budget, which involves major spending commitments in the city, was passed by 50 votes to 2. The plans include funding commitments to a number of projects such as at Victoria Pier, Freetown Way, and Albion Square.