Council tax is set to double for property owners in one London borough

Council tax paying Londoners (and, to be honest, that’s most of you), you know what time of year it is. That’s right, councils are gearing up to reveal how much tax you’ll be paying to your local authority for the 12 months from April. The joy. The sheer joy.. 

Most boroughs haven’t confirmed how much council tax rates will be going up in April (though a few could be increasing by much more than others). But we do know that some residents in one London borough could be paying twice as much as they did in 2025/26.

The Royal Borough of Kensington and Chelsea is considering doubling council tax bills for second home owners in the area.

If it goes ahead with the proposals, the borough would follow in the footsteps of the likes of Wandsworth, Westminster and Hackney, which all already have council tax premiums for second homes. The aim of the policy is to raise revenue and discourage properties from sitting empty. 

So why is Kensington and Chelsea introducing the higher fees, and why now? Well, the proposal comes as the council grapples with an estimated potential £139 million budget shortfall by 2030. The forecast deficit follows planned cuts to local authority funding by the central government.

But it’s not just second home owners that could be impacted by higher taxes in K&C. The council are suggestions that some of the it’s poorest residents, who currently receive full council tax support, could be forced to pay for the first time. Funding support is expected to be cut by 10 percent for around 8,000 low-income residents and pensioners.

The council’s draft papers read: ‘Given the financial position the Government’s funding cuts have put the council in, we are now also reluctantly considering charging a council tax premium on second homes within the borough as well as exploring difficult options around reducing our council tax reduction scheme.’

Exactly which council tax changes will be implemented in Kensington and Chelsea for the next tax year (April 2026 to March 2027) are yet to be confirmed. Watch this space for updates.

This east London borough could increase council tax by 9 percent in 2026.

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