District authority agrees ‘modest’ increase as average Uttlesford band D council tax bill to rise £88.49 to £2,237.45

Uttlesford District Council (UDC) has approved its 2025-26 budget with a 2.99% increase in its portion of council tax amid “unusually challenging” circumstances.

Cuts in Government funding coupled with the proposed reorganisation of local government meant tough decisions had to be made at short notice, said the Residents for Uttlesford (R4U) administration.

The increase equates to an extra £5.28 for UDC services for the year from April for households in a band D property. The Uttlesford portion of their overall council tax bill will rise by £5.28 from £176.74 to £182.02. UDC’s total council tax yield will be £7.381 million.

UDC said the “modest increase” would maintain service levels, protect residents on low incomes and keep the rise in council tax bills at a below-inflation 2.99%.

But for the second year in a row it has hiked council tenants’ rents – the 2.7% rise will see the average council house rent increase from £125.74 a week to £129.61. It follows a 7.7% increase in 2024-25.

Cllr Neil Hargreaves, UDC’s portfolio holder for finance and local economy, said: “The budget process has been an unusually challenging one. The uncertainty, lateness and lack of clarity on funding announcements from Government, coupled with the announcement on local government reorganisation made late in the financial year, means we have needed to adapt and adjust plans at short notice.

“We have also had to put nearly £3 million aside to pay for our part of the reorganisation work that is to come.

“Despite the ongoing constraints, I am pleased that we have produced a balanced, prudent budget that protects services and our most vulnerable residents whilst including some additional resource for exciting projects.”

The council has pledged to put aside nearly £20 million for new council houses.

A household’s total council tax bill is a combination of precepts set by Essex County Council, the Police, Fire and Crime Commissioner for Essex, UDC and town or parish councils.

All authorities have now set their budgets, so a band D household in Uttlesford will pay an average of £2,237.45 from April, a 4.12% increase of £88.49, which compares favourably with the £2,304.60 a band D household in Bishop’s Stortford will have to pay.

The leader of Uttlesford’s Conservative group, Cllr John Moran, said of the budget: “I am disappointed that there is no monies allocated for new-build council houses, though we are promised once the council’s best asset, the 50% share in Chesterford Research Park, is sold they will borrow more money to then build.

“Conservatives have concerns regarding how the R4U administration has borrowed heavily to invest in commercial properties. We feel they have not got the balance between return and risk right.

“With the disastrous Norse maintenance contract [instituted by R4U] coming to an end, even the budget states the new contract ‘might lead to the cost of delivering a basic quality of service being greater than expected’. Our council house residents deserve more than just a basic service.”

Liberal Democrat group leader Cllr Geoffrey Sell said his party backed the budget, but voiced concerns about the 30% rise in fees for collecting garden waste. “[It’s] higher than neighbouring councils such as East Herts, Braintree and Chelmsford and no justification provided by the R4U administration,” he said.

“It is also outrageous we are being forced to pay the transformation costs of local government reorganisation.”