Sheffield City Council proposes 4.99% council tax increase
It would take the bill for a Band A property up to £1,352.66 annually
The council has published its budget report for the 2025-2026, including the proposal to increase council tax in Sheffield by the maximum amount.
Members of Sheffield City Council’s strategy and resources policy committee next week (February 19) will discuss the budget for the next financial year from the increased pressure the council is facing to the “difficult decision” that has to be made.
For 2025/26, the council is forecasting pressures of £71.7million for the budget and approximately £54m of these pressures relate to social care services.
The “difficult decision” highlighted in the report is the proposed increase of 4.99 per cent – 2.99 per cent for the core council tax and 2 per cent for the adult social care precept – in council tax.
The report says the majority of Sheffield homes fall into band A, and as such will see an increase of the equivalent of £1.23 per week. That means people living in a band A home will have to pay £1,352,66 to the city council next year, an increase from £1,288.37 for 2025/26.
That does not include precepts paid to the fire authority, mayoral police and crime commissioner or any parish councils, all of which will be confirmed before bills are finalised.
Based on the calculations, people will have to pay:
Band A: £1,352.66
Band B: £1,578.10
Band C: £1,803.55
Band D: £2,028.99
Band E: £2,479.88
Band F: £2,930.76
Band G: £3,381.65
Band H: £4,057.98
This also means the council will receive £301.3m of income via council tax, which is £17.2m greater than 2024/25.
According to the calculations, the increases in business rates income and associated grants will generate £4.4m, along with the increase in council tax, will mean that Sheffield is going to have a balanced budget for 2025/26.
The report said: “For council tax, the extra 4.99 per cent including the adult social care precept, delivers approximately £17.2m for Sheffield and is vital to close the budget gap.
“This is a difficult choice and will place an additional financial burden on the households of Sheffield. Most homes will see an increase of £1.23p per week.”
The authors added the increase in council tax is necessary as the other options would have too great an impact on vital services in the city.
This will be further discussed at 2pm next Wednesday (February 19) at Sheffield Town Hall.