Fife approves 8.2% council tax increase

Council Tax in Fife will increase by 8.2% after councillors approved the local authority’s 2025/26 budget.

Councillors debated between the minority Labour administration’s 8.2% or SNP’s 6.4% proposals. Ultimately, Labour’s plans – with unanimous support from Conservatives and Lib-Dems – won 40-31.

The increase will cause council tax bills for band D properties in Fife to rise by about £113 a year – which is about £9.40 per month.

“This has been one of the most challenging budgets we’ve faced during my time as a councillor,” council leader David Ross (Labour) said.

“We know asking people to pay more on council tax is going to have an impact for families, but cutting back on vital local services is going to have more of an impact – particularly on the most vulnerable.”

He added: “We have to strike a balance between making savings, raising council tax and continuing essential investment in our services for local people.”

However, SNP opposition group leader Craig Walker argued that Council Tax should be kept as low as possible to protect residents in Fife.

“[Our 6.4% increase] represents a more responsible and balanced approach to the financial pressures we face and it ensures we’re not passing on an excessive cost to our residents – and we’re still maintaining quality services that are essential to us all,” he said.

Even with the 8.2% increase, Labour is anticipating a 5% increase in Council Tax rates in both 2026 and in 2027.

“That’s a cumulative increase of nearly 20% in council tax,” councillor Walker highlighted.

However, councillor Altany Craik (Labour for Glenrothes West and Kinglassie) pointed out that the difference between the SNP proposals and Labour’s equates to around 50P per week – or about £25 a year.

“For 50p a week, Fife Coast and Countryside Trust can continue to improve the service it provides, road maintenance – potholes – are getting an extra £3.5m this year,” he said.

“For 50p a week, the Health and Social Care Partnership is getting £9.9m extra to keep caring for our most and elderly with care packages and other services, funding digital transformation.”

He added: “As you can see, we’ve managed to get a lot out of that extra 50p a week.”

SNP councillor John O’Brien (Buckhaven, Methil and Wemyss Villages) argued: “It’s been spoken about 50p here and 50p there, but where I come from every penny is a prisoner to put food on the table.”

After nearly three hours of debating, Fife councillors finally put the budget proposals to vote. With unanimous support from both Lib-Dem and Tory councillors, the Labour proposals won 40-31.