Croydon Council has announced plans to increase the council tax rate again next year by the maximum amount allowed.
The council said council tax would rise by 4.99 per cent, the highest it can be increased without calling a referendum, meaning residents face a rise of about £118 a year.
If approved the tax rise will be instated from April next year.
The plans follow a 15 per cent increase in tax approved last year which added about £235 to the average annual household bill sparking protests in the borough.
Councillor Perry insists that the percentage does not surpass the government recommendation for councils across the country.
The tax increase is part of the council’s budget proposal released on October 9 and were featured in their Medium Term Financial Strategy considered by the cabinet on October 16.
Lib Dem Councillor Claire Bonham, told Eastlondonlines: “Croydon residents have suffered the highest council tax increases in Britain since 2023, and if the Conservative Mayor gets his way, it will have risen by over 26% by April 2025 since he came to office.
“This is not sustainable and the solution remains the same – a big intervention from this Labour government to get Croydon’s finances back on track,” she said.
“Until that happens, the council remains on the brink, and it is the residents who suffer through bigger bills and cuts to services,” she added.
Croydon resident Ruksana Mujeeb said: “I don’t personally deal with council tax as I am still living with my parents but it’s truly unfair that our tax is being increased due to negligence from those who were in charge previously.”
She told Eastlondonlines: “This could have been avoided before the bankruptcy if they had managed the council properly. Not just the increase in council tax but many of those waiting for help from the council are at risk because they are going to cut costs, and we are unaware of which areas they are planning to cut corners.”
Jonathan Birch, a resident and an employee of Croydon council told Eastlondonlines “Obviously it’s not a good thing. Despite the fact that we understand that the council is in a financial mess, that is not the fault of the residents of Croydon.”
“The council should find a way of sorting it out, not inflicting pain on its residents. It’s not a welcome idea at all for all the residents of Croydon. It’s not something people want to really go into.” Birch said.
“They should not increase it.”
The Executive Mayor is lobbying the government for a solution to the borough’s financial state and the debt he inherited.
Councillor Perry said in a statement attached to the budget proposal:
“.. as we develop our budget proposals for next year, we are being impacted by a recent and severe escalation in the financial pressures facing all councils. On top of these unprecedented challenges, Croydon is servicing a £1.4bn historic debt burden. That is neither sustainable nor fair on our taxpayers and I have written to the Secretary of State about the need for an urgent solution.”
Some names in this article have been changed to conceal the identity of sources.
