Fair Funding Reforms: Richmond warns of council tax rise

Admin

July 1, 2025
3 min read

Fair Funding Reforms: Richmond warns of council tax rise

The Fair Funding Reforms introduced by the government are drawing sharp criticism from Richmond Council, which warns these changes could push up Council Tax and leave local families struggling. The Council’s Deputy Leader and Finance Lead, Councillor Jim Millard, says that without proper adjustments, the reforms risk penalising well‑run boroughs and saddling residents with a heavy financial burden.

Richmond Council points out that, under the current proposals, Council Tax could rise by 5% annually just to maintain core services. Costs in adult social care and homelessness support are climbing fast, but the funding shift doesn’t match this demand, Millard adds. He fears that redistributing already tight budgets means residents miss out further.

Garden of Sanctuary Honours Richmond’s Refugee Heritage

Celebrating Richmond’s community history and refugee support through a peaceful new green space.

Friends of Street Trees Join to Help Young Trees Thrive

Richmond residents rally around young trees, boosting local biodiversity and community pride.

Enjoy Green Spaces Responsibly This Summer, Says Richmond Council

A timely reminder for residents to look after Richmond’s parks during the warmer months.

At the heart of the concern are the new formulas for social care, children’s services, and the “Foundation Formula” which covers everyday services including waste collection and park maintenance. Richmond argues these formulas don’t accurately reflect the borough’s demographics or spending needs. The Council emphasises that its prudent financial record, saving nearly £50m since 2018, avoiding borrowing, and building reserves, should not result in being penalised. Instead, Millard believes councils that manage well deserve protection, not punishment.

The Council will formally respond to the government’s consultation, working closely with local MPs Munira Wilson and Sarah Olney to lobby for a fairer distribution. Their goal is to ensure the Fair Funding Reforms truly reflect the cost of services in different communities.

For more updates on Richmond upon Thames, visit EyeOnLondon Richmond upon Thames.