Council Tax by Area: Cheapest and Most Expensive Councils (2026/27)
There is a £1,567 gap between the cheapest and most expensive council tax in England. Westminster charges £971 for Band D while Rutland charges £2,538. Here is how every type of council compares.
Cheapest (Westminster)
£971
England Average
£2,392
Most Expensive (Rutland)
£2,538
10 Cheapest Councils in England
All London boroughs. They benefit from higher business rates income and government grants.
| # | Council | Type | Band D 2026/27 | Change |
|---|---|---|---|---|
| 1 | Westminster | London borough | £971 | +3.99% |
| 2 | Wandsworth | London borough | £980 | +4.99% |
| 3 | City of London | London borough | £1,091 | +3.50% |
| 4 | Hammersmith and Fulham | London borough | £1,178 | +4.99% |
| 5 | Tower Hamlets | London borough | £1,284 | +4.99% |
| 6 | Kensington and Chelsea | London borough | £1,301 | +4.99% |
| 7 | Newham | London borough | £1,364 | +4.99% |
| 8 | Southwark | London borough | £1,392 | +4.99% |
| 9 | Hackney | London borough | £1,418 | +4.99% |
| 10 | Greenwich | London borough | £1,445 | +4.99% |
10 Most Expensive Councils in England
Rural and unitary authorities dominate. Higher social care costs and fewer ratepayers push bills up.
| # | Council | Type | Band D 2026/27 | Change |
|---|---|---|---|---|
| 1 | Rutland | Unitary | £2,538 | +4.99% |
| 2 | Nottingham | Unitary | £2,475 | +4.99% |
| 3 | Dorset | Unitary | £2,451 | +4.99% |
| 4 | Lewes | District | £2,434 | +4.99% |
| 5 | North Northamptonshire | Unitary | £2,412 | +4.99% |
| 6 | Weymouth and Portland | Unitary | £2,398 | +4.99% |
| 7 | West Northamptonshire | Unitary | £2,395 | +4.99% |
| 8 | Bristol | Unitary | £2,389 | +4.99% |
| 9 | Bournemouth, Christchurch and Poole | Unitary | £2,384 | +6.74% |
| 10 | North Somerset | Unitary | £2,376 | +8.99% |
Regional Averages
Average Band D rates by council type for 2026/27.
| Council Type | Average Band D | Note |
|---|---|---|
| London boroughs | £1,648 | Lowest due to business rates and grants |
| Metropolitan districts | £2,124 | Large urban areas outside London |
| Unitary authorities | £2,218 | Combined county/district councils |
| Shire districts (total) | £2,287 | County + district + parish precepts |
| England average | £2,392 | Weighted Band D average |
Why London Is Cheaper
It seems counterintuitive that the most expensive properties in the country have the cheapest council tax, but there are several reasons:
- Business rates: London generates enormous business rates income. Commercial properties in the Square Mile alone generate billions, and some of this is redistributed to boroughs.
- Higher government grants: London receives more per-capita government funding, partly due to higher costs of delivering services.
- More ratepayers per council: Dense populations mean costs are spread across more households.
- GLA precept structure: The Greater London Authority precept is relatively modest because the GLA is partly funded through other means.
Rural councils have the opposite problem: fewer households to tax, higher costs for delivering services across large areas, and proportionally less government funding.
Councils with the Biggest 2026/27 Increases
Seven councils received special government permission to raise bills above the 4.99% referendum threshold.
| Council | Increase | Reason |
|---|---|---|
| North Somerset | 8.99% | Special government permission |
| Shropshire | 8.99% | Special government permission |
| Worcestershire | 8.99% | Special government permission |
| Bournemouth, Christchurch and Poole | 6.74% | Special government permission |
| Trafford | 7.49% | Special government permission |
| Warrington | 7.49% | Special government permission |
| Windsor and Maidenhead | 7.49% | Special government permission |
Frequently Asked Questions
Which council has the cheapest council tax in England?
Westminster, with a Band D rate of £971 for 2026/27. Most of the cheapest councils are London boroughs because they receive more funding from other sources including business rates.
Which council has the most expensive council tax?
Rutland, with a Band D rate of £2,538 for 2026/27. Rural and unitary authorities tend to charge more because they have fewer ratepayers and higher per-head costs for services.
Why is council tax cheaper in London?
London boroughs benefit from significant business rates income, higher government grants, and the Greater London Authority precept structure. This means council tax covers a smaller proportion of their total spending.
Can councils raise council tax as much as they want?
No. In England, councils can raise by up to 4.99% without a referendum (plus a 2% social care precept). Anything above that requires either a referendum or special government permission. In 2026/27, seven councils received special permission.