The Camden Council has agreed to raise Council Tax by 4.99% for the 2025-2026 financial year at the annual budget meeting.
Camden Council has reaffirmed its commitment to creating a fairer borough as councillors approved a budget designed to sustain essential services and support residents most in need.
At the annual budget meeting yesterday, the Council agreed to raise Council Tax by 4.99% for the 2025-2026 financial year. This increase aims to maintain vital public services while continuing investment in social care and welfare initiatives that provide a safety net for Camden’s most financially vulnerable residents.
A significant portion of this budget—£32 million—will be allocated to Camden’s Council Tax Support scheme, one of the most generous in the country. This means 22,000 residents will receive some level of assistance with their Council Tax bills, with approximately 16,000 residents paying nothing at all. Additionally, the Council will renew its £2 million Cost of Living Fund, which last year provided financial relief to over 2,400 households through more than 3,300 awards of up to £500 each.
Councillor Camron Aref-Adib, Cabinet Member for Finance and Cost of Living, emphasised the importance of this budget in delivering both financial stability and social equity.
“Camden is stepping up to deliver a balanced budget that sustains services, invests in our residents, and ensures that our most vulnerable are protected,” he said. “We want residents to see for themselves that every pound is put to good use and that we are delivering on our promise to ensure no one in Camden is left behind.”
He pointed to the Council’s new tax on second homes as a bold step in addressing inequality. “This tax will directly support homelessness prevention, demonstrating our commitment to tackling one of the most pressing challenges facing our borough.”
Despite Camden’s strong financial management, Councillor Aref-Adib acknowledged the pressures on the budget. “We are not in the same extreme financial position as some other councils, but we still face tough decisions. Our priority is balancing the books while protecting those who would be most affected by an increase in Council Tax.”
The approved 4.99% rise in Council Tax includes a 2.99% increase to support general Council funding and a 2% increase ring-fenced for adult social care. These funds contribute to a range of frontline services, including libraries, youth and family centres, street cleaning, and support for vulnerable residents. A separate levy within Council Tax payments is allocated to the Greater London Authority, which funds Transport for London, the Metropolitan Police, and the London Fire Brigade. This levy has increased by 4.03% this year.
“We want residents to see for themselves that every pound is put to good use – and that we are delivering our agenda to ensure no-one in Camden is left behind.”
Camron Aref-Adib, Cabinet Member for Finance and Cost of Living
As part of the 2025-2026 budget, Camden Council has set out key spending commitments:
Nearly £75 million will be invested in early years and school education, maintaining Camden’s ‘Outstanding’ rating from Ofsted for Children’s Services. The Council will allocate £33.7 million to street cleaning, with increased environmental enforcement to tackle fly-tipping and littering. Homelessness prevention remains a priority, with £24.5 million earmarked to support individuals in securing long-term housing.
Further commitments include £11.1 million for new children’s social care residential properties, £10 million for expanding social housing, and £5 million in funding for Camden’s voluntary and community sector. This investment will help provide crucial support services, such as food and debt advice, community activities, and ‘warm welcome’ spaces.
The Council is also dedicating £400,000 to assisting households struggling with energy costs by helping them reduce energy usage. Additionally, £250,000 will go towards the Family Crisis Fund, which ensures no child in Camden goes hungry. This includes free breakfast clubs and supermarket vouchers for those in need.
By prioritising these initiatives, Camden Council aims to ensure that every resident benefits from a fairer, more inclusive borough, despite the financial challenges ahead. Councillors remain determined to deliver essential services while providing targeted support to those who need it most.
