Proposals for a near 5% Council Tax increase set to be approved in just weeks, but at what cost to those already struggling ?
27th Jan 2025
Hartlepool Borough Council's poised to drag even more households into unimaginable levels of financial destitution as it looks to address decades worth of financial mismanagement coming at the cost to local tax payers in the form of yet another sharp council tax hike in April 2025...
Documents presented at the council's latest finance committee meeting revealed the harsh reality that local taxpayers are set to be handed the bill for years of financial blunders, failed pet projects and poor decision-making by a series of unelected 'failed' council directors.
Facing a reported £16.5 million budget shortfall for the 2025/26 financial year, Hartlepool Borough Council has received millions in additional funding from central government. Yet, the Labour-led council—declared a “council of no public confidence” just two years ago—has reportedly rubber-stamped plans for a 4.99% council tax increase in April 2025, which will generate an additional £2.6 million in revenue.
What Does This Mean for Local Taxpayers?
Sources close to HBC Exposed reveal that borrowing by the so-called "cash-strapped" council has been suspended due to soaring interest rates. This leaves Hartlepool Borough Council grappling with a financial nightmare of its own making. Years of kicking the can down the road has resulted in a larger bill for residents, compounded by delayed decisions and systemic mismanagement of council finances.
The scale of the crisis reportedly only became apparent following a recent change in the council’s finance director, with a fresh pair of eyes revealing the full extent of what some are calling Hartlepool’s impending financial catastrophe.
Even with the planned council tax hike, it is claimed the council will still need to dip into at least £1.5 million worth of reserves—a move auditors have previously slammed as “unsustainable.”
How Much More Will You Pay?
For the average Band A household, which accounts for 52% of properties in Hartlepool, the annual council tax bill will increase by £66.01, not including any parish precepts or additional charges like those funding Cleveland Police.
For residents in Band D households, the situation is even bleaker. The basic council tax element will inch ever closer to the £2,000-a-year mark, sparking widespread concern among locals, some of whom report that council tax payments are now overtaking their mortgage costs.
Labour’s U-Turn on Council Tax is a win for Reform....
The Labour Party, which regained control of Hartlepool Borough Council in May 2024, spent years in opposition resisting any council tax increases. Yet, after seizing power, they’ve approved what many see as a crippling hike that disproportionately punishes low-income earners.
This apparent hypocrisy has enraged residents, with many predicting Labour will pay the price at the ballot box & would send a chilling message to the Labour Government.
Whilst Hartlepool itself is not due to see any local elections until 2026, insiders suggest a by-election could soon take place in one of the town’s council wards after the recent revelation of a councillors conviction for assault. If this happens, Reform UK—already predicted to gain 255 council seats across the country in other elections—could claim its first council seat in Hartlepool, marking a seismic political shift in the town.
A Tax Hike Too Far?
With Labour’s tenure in Hartlepool described by many as “on borrowed time” and their decision to hike council tax labelled “unforgivable,” the fallout is only beginning. For many locals, April 2025 represents not just higher bills, but a deeper sense of betrayal by those elected to serve their interests.
As household budgets are stretched to breaking point, the question remains: how much longer can Hartlepool residents endure the financial consequences of their council’s mismanagement?