District Council charge increases by less than 10p a week for most

The District Council’s council tax charge for the coming year will increase by between £3.50 and £4.44 for most households in North Kesteven, after councillors again voted to balance affordability and financial sustainability.

The government has allowed councils to increase rates for 2025/26 by 3% or £5 at Band D, whichever is the highest.

By taking a position of need, not want, North Kesteven District Council has chosen to pursue a lower increase of 2.61% on its portion of the overall bill. North Kesteven’s remains the third lowest of all Lincolnshire charges.

At Band D the increase in the NKDC charge will be £4.95 for the year ahead, making the total paid to the District Council by a Band D household £194.40 for a full year of services. This equates to £3.74 a week – which is less than 10 pence more a week than last year.

In reality though, three quarters of all homes in North Kesteven are banded A to C which means a lower increase of £3.30, £3.85 or £4.40, to give a District Council rate of £129.60, £151.20 or £172.80 over the year. Dependent on the specific band, this is £2.49, £2.91 or £3.32 a week for all District Council services (less than 7, 8 or 9 pence more per week).

The final bill also includes charges for Lincolnshire County Council, Lincolnshire Police, parish and town councils in most areas, and in some areas for footway lighting. 

Lincolnshire County Council has increased its charge by 2.99% – which is £47.16 more at Band D to make its Band D rate £1,625.85 for the year; and the Police Commissioner has increased its part by 4.59% – which is £13.95 more at Band D to make its Band D charge £318.15. Town and parish councils apply rates determined individually and specific to local needs and services – on average these have increased 7.24% for the coming year.

The level of Council Tax applied to individual households varies, dependent upon which Band and in which town or parish area the taxpayer lives. The average bill combining the county, district, police and parish charges will be £2,255.39 at Band D – which is a 3.39% increase of £73.96 – but each household’s specific amount will be made clear on their Council Tax Bill sent out in mid-March.

Although North Kesteven collects the full amount, the District Council’s share is less than 9%, meaning that it only keeps between 8 and 9 pence from every pound paid to fund its own service provision.

Council Leader Cllr Richard Wright said, “While the Council will continue to face difficult times over the next three years, through our ongoing proactive financial management we have a balanced budget up to 2027/28 and are making decisions based on need not want.

“A steady small progressive rise in council tax contributions helps to offset the impacts of increased National Insurance contributions, core operating costs and inflation, whilst also providing for opportunity to continue investing in and delivering critical services, community improvement and essential support.

“The continuing impacts of inflation, financial volatility, global conflicts, and cost of living challenges create a financial environment that makes it difficult to plan further into the future with any certainty. But through an established and respected financial strategy predicated on investing in opportunities that also build income potential – such as the Sleaford Moor Enterprise Park, Carre Arms, solar panels on our buildings and expanding private rental options – we seek to engineer as best we can the smoothest possible route through the financial pressures without putting the burden on our taxpayers."

There are several discounts and support mechanisms available to help people to meet their charge.

Additionally, empty homes may receive a discount or a premium charge depending on the length of time they have been empty, and second homes will be charged double through a new premium applied from April 1, 2025. Exceptions may apply. 

For further information on these, see our Council Tax webpage.

Contact us if you think you should be getting a discount or if you are getting one and your circumstances change so that you should no longer get it.

An overview of council tax breakdown at Band D is presented below.

A table of each parish’s Band D charge can be found at Appendices 6 and 7 (pages 156 to 158) of the Agenda Reports Pack papers for the Executive Board meeting on February 6 2025. See the report papers here.