Kingston residents are facing another 5 per cent hike in their council tax this year as 'tougher than ever' economic challenges squeeze the council's budget.

Kingston Council plans to raise council tax by the maximum amount allowed in 2025/26 to meet spiralling costs and demand for services.

The authority has set out plans to balance the books for 2025/26, including a proposed 4.99 per cent rise in its share of council tax – the maximum increase allowed without holding a referendum. 

This includes a 2.99 per cent increase for general use and an extra 2 per cent for adult social care.

The proposed hike means the average band D household in most areas of Kingston would pay total council tax of £2,489.34 in 2025/26.

This includes an increase in the council's share of the bill by £95.01 to £1,998.96.

Mayor of London Sadiq Khan's share is set to increase by £18.98 to £490.38 for the average band D household to help fund police, fire and transport.

The authority is proposing a budget of £190.6m for 2025/26 to spend on services for residents, with increased spending to meet spiralling demand for care packages for vulnerable adults, placements for children in care and temporary accommodation for homeless families.

A total of 1,110 families are expected to be living in temporary accommodation in Kingston by 31 March.

The council has found £6.66m in savings to ease these pressures in 2025/26, with plans to deliver services more efficiently.

Proposals it has outlined to achieve this include digitalising more services, cutting jobs, limiting paper use and completing its rollout of LED street lighting across the borough.

The authority also plans to adopt a new demand-led pricing model across its car parks based on use, capacity, location and competitor offers, while it will stop subsidising the management of Kingston Ancient Market as a new operator will take over under different arrangements from April.

A council report on the budget proposals said: "This budget is designed to support the council in meeting the significant challenges it faces in delivering services for residents, as well as supporting vulnerable communities and those most in need.

This is set against a backdrop of an economic cost-of-living crisis, coupled with the national picture of increasing demand in terms of both volume and complexity, and insufficient funding within the sector, producing a tougher than ever operating environment for local authorities."

The authority will publish a breakdown of the total council tax residents in each band will pay, if the proposed 4.99 per cent hike is applied, in due course.

It will also outline the total council tax residents subject to the Wimbledon and Putney Commons Conservators' (WPCC) levy are set to pay, once the levy is confirmed.

The government lifted the referendum cap in November 2022, which means councils can raise taxes by 4.99 per cent annually without the need for it to be voted in by residents.

Residents on a low income or claiming certain benefits can get help on their bills through the council tax reduction scheme.

The council's people committee considered the proposals yesterday, Wednesday 5 February, before they are decided at a full council meeting on 27 February.