Local Government Finance

Published On: 30th December 2025

A report sets out details of the final Local Government settlement for 2026 to 2027 requiring approval by the House of Commons early in 2026.

In this multi-year settlement, the first for a decade, the Government will set allocations for financial years 2027-28 and 2028-29.

Local Authorities and other interested parties have been responding to a consultation which has full details.

The tables setting out the allocations to each council are accessible via this link and show that of the four councils given power to increase their council tax above the 5% threshold, the increases in core spending power between 2024-25 and 2026-27 are Hammersmith and Fulham 2.9%; Kensington and Chelsea 2.3%; Wandsworth 2.5% and Westminster 3.7%.

Hounslow Council expects its portion of grant funding will increase 52.1% by 2028/29.

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Local Government Finance