Budget 2025-26 consultation

We are seeking views ahead of setting the next Council Tax, as we work to balance managing those feeling the impact of the cost of living and funding local public services.
Our proposal is to increase Council Tax by 2.99%, plus an extra 2% for the adult social care precept, which is in line with previous years and the Government's recommendations. Our financial settlement from government typically assumes that Council Tax and the precept will be increased in this way to help meet the growing costs of general services and adult social care.
We are working to ensure we have a balanced budget for the next financial year. To manage this, the proposal is to set Council Tax at this level and we now want to hear people's views on this.
Our latest funding forecast, in the Medium Term Financial Strategy, has identified a funding gap over the next five years of £34.4m. We face growing demand for adult and children's services, while other costs are also increasing. There are national proposals currently out for consultation on reforming how local government is funded centrally, but this will not impact the current funding arrangements for the next financial year.
However, government funding, Council Tax and business rates combined, are still not enough to cover the current cost of services, and we are looking at other ways to mitigate this.
Councillor Martin Gannon, Leader of Gateshead Council, said: "Asking residents about increasing council tax is never a decision we take lightly, and it is only one way that we are looking to balance our budget for the next year. Amongst other things, we will continue to use reserves, review our services to improve efficiencies, and look to reduce demand for our social care services.
"Sadly, increases in Council Tax are happening across the country and this will continue to happen until local government is financed in a sustainable way. However, in the meantime it is vital that we are able to provide the services we do for local people, especially for those who need it most. Council Tax supports funding for hundreds of services, from bin collections to libraries, housing to regeneration, social care to benefit support - although some people may only regularly access a few of our services, others will be dependent on our support.
"It's really important to us to get the views from our local communities so I'd be grateful if people can take the time to share their opinions with us."
The average Council Tax in Gateshead is £1,423 per dwelling, with 89% of properties across the borough falling within Bands A-C. The national average per dwelling is £1,668 with 65% of properties in Bands A-C. We also offer a Council Tax Support scheme to help those on a low income.
Between now and Sunday 9 February, local people can give their views on the proposals online or by emailing budgetconsultation@gateshead.gov.uk.
Following the public consultation, the budget will be recommended to Council by Cabinet on Tuesday 18 February and considered by full council on 20 February 2025.

We are seeking views ahead of setting the next Council Tax, as we work to balance managing those feeling the impact of the cost of living and funding local public services.
Our proposal is to increase Council Tax by 2.99%, plus an extra 2% for the adult social care precept, which is in line with previous years and the Government's recommendations. Our financial settlement from government typically assumes that Council Tax and the precept will be increased in this way to help meet the growing costs of general services and adult social care.
We are working to ensure we have a balanced budget for the next financial year. To manage this, the proposal is to set Council Tax at this level and we now want to hear people's views on this.
Our latest funding forecast, in the Medium Term Financial Strategy, has identified a funding gap over the next five years of £34.4m. We face growing demand for adult and children's services, while other costs are also increasing. There are national proposals currently out for consultation on reforming how local government is funded centrally, but this will not impact the current funding arrangements for the next financial year.
However, government funding, Council Tax and business rates combined, are still not enough to cover the current cost of services, and we are looking at other ways to mitigate this.
Councillor Martin Gannon, Leader of Gateshead Council, said: "Asking residents about increasing council tax is never a decision we take lightly, and it is only one way that we are looking to balance our budget for the next year. Amongst other things, we will continue to use reserves, review our services to improve efficiencies, and look to reduce demand for our social care services.
"Sadly, increases in Council Tax are happening across the country and this will continue to happen until local government is financed in a sustainable way. However, in the meantime it is vital that we are able to provide the services we do for local people, especially for those who need it most. Council Tax supports funding for hundreds of services, from bin collections to libraries, housing to regeneration, social care to benefit support - although some people may only regularly access a few of our services, others will be dependent on our support.
"It's really important to us to get the views from our local communities so I'd be grateful if people can take the time to share their opinions with us."
The average Council Tax in Gateshead is £1,423 per dwelling, with 89% of properties across the borough falling within Bands A-C. The national average per dwelling is £1,668 with 65% of properties in Bands A-C. We also offer a Council Tax Support scheme to help those on a low income.
Between now and Sunday 9 February, local people can give their views on the proposals online or by emailing budgetconsultation@gateshead.gov.uk.
Following the public consultation, the budget will be recommended to Council by Cabinet on Tuesday 18 February and considered by full council on 20 February 2025.