Authorities across Tyne and Wear, Northumberland, and County Durham are taking different approaches to their budgets this year and the tax increases they will impose from 1 April.
While many are going for the maximum 4.99% rise, the highest uplift allowed without holding a referendum, that is not the case everywhere.
Here is what we know so far about what to expect from your council tax bills for 2026/27.
Northumberland – 4.99% rise confirmed
Northumberland County Council agreed its 2026/27 budget this week, including a 4.99% council tax rise from April and budget cuts of £18.5 million. The county’s Conservative administration saw their plans backed by Reform and Labour councillors, after accepting a series of amendments from the opposition parties,
Reform requested formal validation of saving assumptions before they are included in the budget and clearer rules around reserves, while Labour called for damp and mould prevention work on council houses to be brought forward and greater transparency around cuts.
Newcastle – 4.99% rise proposed
A 4.99% council tax rise in Newcastle has been proposed and will be put to a vote on Wednesday, 4 March. Final versions of the plans, presented to cabinet members this week, include £4.9 million worth of budget savings in the next 12 months – with the loss of 75 jobs.
The council has proposed a “streamlining” of services, making more use of AI, and capping its spend on agency workers.
Labour council leader Karen Kilgour has described the budget as transformational for the city, with the intention of delivering long-term improvements. However, opposition councillors have expressed fears that major savings will need to be found in the next couple of years – as a budget gap of more than £40 million is predicted by 2029.
Gateshead – 4.99% rise proposed
The maximum 4.99% is also proposed in Gateshead. The Labour-run authority announced its plans this week, ahead of a full council vote on February 26.
It is also proposing almost £11 million in budget cuts, which are expected to result in job losses, and the use of £4 million of its reserves to balance the books.
North Tyneside – 4.99% rise confirmed
Councillors voted to approve a 4.99% council tax increase in North Tyneside earlier this month, alongside £25 million worth of budget cuts. That includes an ongoing redundancy programme aiming to slash 200 jobs, a review of the council’s buildings, and an increase its charge for garden waste bin collections by £5 this year.
Durham – 1.99% rise confirmed
In its first budget since taking power last year, Durham’s Reform UK administration is increasing council tax by only 1.99%.
The uplift was reduced from a previously proposed 3.1% rise after the local authority received additional funding from the government last week.
Proposals voted through at County Hall this week include £12.9 million worth of budget cuts and savings, plus changes to the Council Tax Reduction Scheme which mean people on low incomes will lose their previous exemption and most residents will have to pay at least 10% of their bills.
South Tyneside – 4.95% rise proposed
A 4.95% council tax rise and more than £11million of savings are due to be signed off at South Tyneside Council on 26 February. The Labour-led authority announced this week that it had been able to adjust a small number of its planned cuts – including removing a proposed saving on library opening hours and The Word shop, which accounts for around £150,000 of the savings target.
Sunderland – 4.5% rise proposed
Sunderland City Council recently announced its plans for a 4.5% council tax rise and £600,000 of savings, which are expected to be agreed at full council on 4 March. The budget plan includes a proposed increase in car parking charges and spending more than £9 million of reserves.
