Brent Council is proposing a 4.99% increase in council tax for the 2026-27 financial year, a move intended to protect vital frontline services. The decision, which includes a 2% increase for the adult social care precept, will be subject to public consultation.

The proposed council tax rise would raise £9.1 million to protect those vital frontline services.

At a Cabinet meeting on Monday, 17 November 2025, Councillor Mili Patel, Deputy Leader and Cabinet Member for Finance & Resources, presented the draft budget, highlighting the difficult financial landscape facing local government. She noted that many councils are struggling, but Brent aims to remain resilient through careful planning.

Our proposal of 4.99% of council tax rise in 2026-27 is not a decision that we take lightly, said Councillor Patel, but we will raise £9.1 million to protect those vital frontline services.

The proposed increase aims to address a budget gap of around £30 million over the next three years, with rising demand for temporary accommodation and adult social care placing immense strain on local services. The council has expanded its housing portfolio and is reforming social care to mitigate these pressures.

Councillor Patel emphasised the importance of value for money and Labour values in the budget, highlighting efforts to shield households from the cost-of-living crisis through council tax support schemes and hardship funds.

The Draft Budget 2026-27 includes an overview of the current economic outlook, government funding, and key budget themes. The report forecasts modest GDP growth for the UK in 2026 at 1.3%. CPI inflation is expected to average 2.5%, lower than the 2025 average of 3.4%. The UK unemployment rate is forecast to rise to just over 5% by the first half of 2026, up from its current level of 4.8%. The government has also committed to fundamental reform of local government financing from 2026/27, focusing on diverting resources to authorities that need them most and delivering the first reset of the business rates retention system since it was created in 2013.

The council will consult on new budget proposals, as detailed in the Savings Schedule 26-27 and Cabinet Savings Proposals 26-27. The Savings Schedule summarises the new budget proposals for 2026/27, while the Cabinet Savings Proposals provides detailed budget templates for these proposals. These proposals include cross-cutting themes such as commissioning and procurement, digital transformation, efficiency improvements, workforce productivity, income maximisation, resident experience, and service-specific proposals. Taken together, these will deliver over £10m of savings required to keep our budget balanced while improving how residents experience council services.

The consultation process will take place between November 2025 and February 2026, with the final budget to be set in February 2026.