Birmingham’s residents hardest hit by increase in council tax

Birmingham’s residents are set to be hit hardest by rising council tax rates for 2025/26, new research by Go.Compare Home Insurance has found.

Households across the city will pay an extra £43.1 million this tax year – the largest overall increase of any local authority in England.[

The country can expect a total council tax rise of £2.1 billion in the 2025/26 period, with bills soaring for households in some areas. Windsor and Maidenhead residents will experience the largest increase per property, with eligible households seeing a jump of £169.43 compared to 2024/25.

This tax year’s rise represents 29% of the total increase across the last four years. During this period, residents in Birmingham have again seen the largest overall increase, with the city’s total council tax bill rising by £136.8 million since 2022/23.

Analysing official government data, the insurance comparison site found that authorities have raised council tax rates by an average of 4.9% in 2025/26. But, some struggling councils have pushed them higher to cope with financial strain.

Nathan Blackler, Home Insurance expert at Go.Compare, said “Council tax is an essential household expense, but for many, these rising costs are putting even more pressure on already stretched budgets. If you’re struggling, it’s worth checking if you qualify for council tax reductions or any support schemes in your area.”

The top five largest council tax increases in 2025/26 for eligible properties:

The top five largest average council tax increases in 2025/26 per eligible property: