Question to the Ministry of Housing, Communities and Local Government:

To ask the Secretary of State for Housing, Communities and Local Government, with reference to the answer of 2 March 2026, to Question 113737, on Council Tax: City of Westminster and Wandsworth, what assessment his Department has made of the financial viability of the six councils if they do not increase council tax by the assumed 5% + £150 on Band D in each of the next two financial years.

Government does not intend to set referendum principles for six authorities in 2027-28 and 2028-29 including City of Westminster and Wandsworth. Within our modelling, we made an assumption that these authorities increase their council tax by 5% plus an additional £150 in each of 2027-28 and 2028-29 for the purposes of calculating their funding floor allocations in these years. Decisions on council tax levels in these areas remain a matter for the individual local authorities.

The Local Government Finance Settlement ensured these councils were funded according to their needs, taking into account their ability to raise council tax, assuming 5% plus £150 in each of 2027-28 and 2028-29. We monitor the financial health of councils on a regular basis using a range of data as well as through extensive direct engagement. While councils are responsible for their own financial management, any council that has concerns about its ability to set or maintain a balanced budget should approach the department in the first instance where we will treat all discussions in confidence.