Part of: UK Council Tax 2026 — Complete Guide to Bands, Discounts, Exemptions & Appeals → Council Tax Bands 2026 — Bands A to H Explained
TL;DR: Nottingham City Council's Band D charge for 2026-27 is approximately £2,439, among England's highest, following a 4.99% increase. Nottingham issued a Section 114 notice in November 2023 due to the Robin Hood Energy collapse and other cost overruns. The East Midlands Combined Authority adds a small precept. Nottingham operates a percentage-of-bill working-age Council Tax Reduction scheme. Pay at nottinghamcity.gov.uk/counciltax.
Last reviewed: 27 April 2026
Council Tax Bands A to H 2026-27 in Nottingham
Nottingham City Council set its 2026-27 Band D at approximately £2,439. This is among the highest Band D charges of any English city council, reflecting the combination of high service demand, a small tax base, and the financial legacy of the Section 114 situation.
| Band | 1991 Property Value | Multiplier | 2026-27 Charge (approx.) |
|---|---|---|---|
| A | Up to £40,000 | 6/9 | £1,626 |
| B | £40,001 - £52,000 | 7/9 | £1,897 |
| C | £52,001 - £68,000 | 8/9 | £2,168 |
| D | £68,001 - £88,000 | 9/9 | £2,439 |
| E | £88,001 - £120,000 | 11/9 | £2,981 |
| F | £120,001 - £160,000 | 13/9 | £3,523 |
| G | £160,001 - £320,000 | 15/9 | £4,065 |
| H | Over £320,000 | 18/9 | £4,878 |
The Band D figure includes a small East Midlands Combined Authority (EMCA) mayoral precept and the Nottinghamshire Police and Crime Commissioner precept. The EMCA was established following the 2024 East Midlands mayoral elections.
Note that Nottingham City Council is a unitary authority within the larger county of Nottinghamshire. Residents of Nottinghamshire county (outside the city boundary) pay separately to Nottingham City Council's county neighbours (Broxtowe, Gedling, Rushcliffe, etc.) with their own different Band D rates. This article covers Nottingham City Council's area only.
Check any Nottingham city property band at gov.uk/council-tax-bands.
2026-27 Increase: 4.99% and the Section 114 Context
Nottingham City Council raised its 2026-27 Band D by 4.99%: 3% core and 2% adult social care precept. The increase is the standard maximum for most English councils, but it takes place against the backdrop of Nottingham's November 2023 Section 114 notice.
Nottingham's Section 114 notice was triggered by a combination of factors documented in published MHCLG and IFG analysis:
Robin Hood Energy collapse: Nottingham City Council had established Robin Hood Energy as a municipal energy company in 2015. The company accumulated losses and ultimately collapsed, leaving the council with liabilities of approximately £38 million from the energy venture. This was a significant and unusual financial loss for a local authority.
Oracle ERP cost overrun: Nottingham, like Birmingham, had issues with an ERP system implementation that cost significantly more than budgeted.
Structural deficit: Beyond the specific triggers, Nottingham had a structural funding gap that built up over several years as demand for services (adult social care, homelessness) grew faster than available funding.
The Institute for Government (IFG) has published analysis of Nottingham's Section 114 alongside Birmingham's as cases illustrating different pathways to local authority financial distress.
Under government commissioner intervention since 2023-24, Nottingham has been implementing a financial recovery plan. The 4.99% increase in 2026-27 sits within normal parameters (unlike Birmingham's special dispensation), but from a higher starting point than most comparable cities.
How Nottingham Compares to Regional and National Averages
Nottingham's Band D of approximately £2,439 sits:
- Substantially above the England average of approximately £2,280 - among the highest for an English city council
- Well above East Midlands neighbours (Derby, Leicester typically lower)
- Comparable to some rural high-rate councils such as Rutland
MHCLG annual Council Tax level statistics consistently show Nottingham as one of England's highest-rate non-metropolitan cities. The combination of a small Band D equivalent tax base (Nottingham City has approximately 130,000 chargeable dwellings, a small base for a city of 330,000 people), high service demand, and financial recovery costs explains the elevated rate.
Nottingham's Council Tax Reduction Scheme
Nottingham City Council operates a percentage-of-bill working-age CTR scheme. The maximum reduction percentage and taper rate are set in Nottingham's published scheme document for 2026-27.
Apply at nottinghamcity.gov.uk/counciltax or call 0115 718 1777. UC claimants must apply separately. Pension-age residents use the nationally prescribed scheme.
How to Pay Nottingham Council Tax
Online portal: nottinghamcity.gov.uk/counciltax - Direct Debit, card payment, account management.
Direct Debit: Set up online or call 0115 718 1777.
Phone: 0115 718 1777 - staffed Monday to Friday, automated 24/7.
PayPoint and Post Office: Use the barcode from your demand notice.
Council Tax Discounts and Exemptions in Nottingham
Single person discount (25%): Apply at the Nottingham portal.
Student exemption: Nottingham has two major universities (University of Nottingham, Nottingham Trent University). Properties occupied entirely by full-time students are exempt. Exemption certificates from the institution are required.
Severely mentally impaired: Disregarded with appropriate evidence.
Disabled band reduction: Available where the property has adaptations for a disabled resident.
Care leavers: Nottingham has provisions for care leavers - check the current policy.
Council Tax Support for Pensioners and Working-Age Households
Nottingham's percentage-of-bill scheme provides CTR for working-age claimants. The exact maximum and taper are in the published scheme. Pension-age residents use the nationally prescribed scheme. Section 13A discretionary relief is available for exceptional hardship.
The 2026-27 Budget Context
Nottingham City Council's gross revenue budget for 2026-27 is approximately £400 million to £500 million. The dominant expenditure areas are adult social care, children's services, and the ongoing costs of the financial recovery plan.
The financial recovery plan, overseen by government-appointed commissioners, requires Nottingham to reduce expenditure, improve financial management, and build reserves. The 2026-27 budget paper is available on nottinghamcity.gov.uk.
Property Stock Profile by Band in Nottingham
Nottingham has approximately 130,000 chargeable dwellings - a relatively small base for a city of approximately 330,000 people, reflecting the significant proportion of the city that lies outside the city council's unitary authority boundary (the broader Nottinghamshire county covers surrounding areas).
According to MHCLG CTB1 statistics, Nottingham's band distribution:
- Band A and B are prevalent in the city's ex-council estates and older Victorian terraced stock in St Ann's, Bulwell, Bestwood, and Aspley.
- Band C and D cover a wide range of interwar and post-war residential stock in the middle ring of the city.
- Band E and above are concentrated in West Bridgford (just outside the city boundary but relevant for comparison), and in Wollaton, Beeston (outskirts), and the university area.
Nottingham's small Band D equivalent tax base relative to its population and service demand is the fundamental structural reason for its above-average Band D rate. With only approximately 130,000 chargeable dwellings to spread costs across, each dwelling must contribute more per year than in a larger-based city.
East Midlands Combined Authority (EMCA) Precept
The East Midlands Combined Authority (EMCA) was established following the 2024 East Midlands mayoral elections, covering Nottingham, Derby, Leicestershire, Derbyshire, and Nottinghamshire. For 2026-27, the EMCA precept at Band D is small - approximately £15 to £25 - as the new combined authority establishes its functions. The EMCA mayor's responsibilities include transport, economic development, and devolved adult education. The precept will likely grow as further devolution occurs.
Empty Property and Second Home Premiums in Nottingham
Nottingham City Council has adopted:
- Long-term empty properties: 100% premium after one year.
- Second homes: 100% premium from April 2025 under the Levelling-up and Regeneration Act 2023.
Challenging Your Band Through the Valuation Office
Check your Nottingham band at gov.uk/council-tax-bands. Submit a proposal to the Valuation Office (formerly VOA, now part of HMRC since 1 April 2026) at gov.uk/challenge-council-tax-band with April 1991 comparable evidence. Appeal to the Valuation Tribunal for England (VTE) if rejected.
Collection Rate and Arrears Enforcement
Nottingham typically achieves an in-year collection rate of approximately 94 to 96%. The IRRV (Institute of Revenues, Rating and Valuation) provides professional enforcement standards. The statutory enforcement sequence applies: reminder, final notice, liability order (approximately £60 to £90 court costs), then enforcement agents, Direct Earnings Attachment, or benefit deductions. Nottingham's below-average collection rate reflects the financial challenges many city residents face.
Nottingham's Structural Fiscal Position
Beyond the specific Section 114 triggers, Nottingham City Council faces a structural fiscal challenge that predates the Robin Hood Energy collapse: the city's chargeable dwelling base is small relative to its population, meaning the tax base cannot generate the revenue required to fund the full range of city services without above-average Council Tax rates.
With approximately 130,000 chargeable dwellings serving approximately 330,000 residents, Nottingham's ratio of dwellings per 1,000 residents is lower than most comparable cities. This is partly explained by the geography of the city boundary (the suburban Nottinghamshire districts surrounding Nottingham City are separate billing authorities with different rates), and partly by the density of Nottingham's housing stock and its social housing provision.
The IFG has published analysis noting that Nottingham's structural position made it disproportionately vulnerable to financial shocks - a large enough shock (like Robin Hood Energy) could tip a structurally constrained authority into crisis, whereas a city with a larger tax base relative to population might have absorbed the same shock without needing a Section 114 notice. The MHCLG published its assessment of Nottingham's financial position and the required recovery measures in its intervention documents, available on gov.uk. The IRRV's professional body publications have also discussed Nottingham's enforcement position and the challenge of maintaining collection rates during a financial crisis.
The 2026-27 Budget Context in Nottingham
Nottingham City Council's gross revenue budget for 2026-27 is approximately £400 million to £500 million. The dominant expenditure areas are:
Adult social care: Nottingham's adult social care budget is the largest single net expenditure area. The city has significant care demand driven by deprivation indicators and an aging population.
Children's services and SEND: Nottingham has a substantial looked-after children population and high SEND demand. These costs have grown significantly.
Financial recovery plan costs: A meaningful portion of Nottingham's budget in 2026-27 is directed at implementing the government-mandated recovery plan - including legal and professional costs, restructuring, and building reserves that were depleted during the crisis period.
The 2026-27 budget paper is available on nottinghamcity.gov.uk from the February 2026 full council meeting. The recovery plan requires both Council Tax increases and significant service reductions.
Collection Rate and Enforcement in Nottingham
Nottingham City Council's in-year Council Tax collection rate is typically in the range of 94 to 96%, below the English average of 97 to 98%. The IRRV (Institute of Revenues, Rating and Valuation) provides enforcement standards. The statutory sequence: reminder, final notice, liability order (approximately £60 to £90 court costs), then enforcement agents, Direct Earnings Attachment, or benefit deductions. Nottingham's below-average collection rate reflects financial vulnerability among many city residents and the high CTR caseload.
Historical Band D Increases 2020-21 to 2026-27
- 2020-21: approximately £1,974
- 2021-22: approximately £2,052 (+4.0%)
- 2022-23: approximately £2,127 (+3.7%)
- 2023-24: approximately £2,215 (+4.1%)
- 2024-25: approximately £2,272 (+2.6%)
- 2025-26: approximately £2,323 (+2.2%)
- 2026-27: approximately £2,439 (+4.99%)
Cumulative increase since 2020-21: approximately 23.6%. Nottingham's Band D has been consistently among the highest in England throughout this period.
Nottingham Contact Details
- Phone: 0115 718 1777
- Online portal: nottinghamcity.gov.uk/counciltax
- In-person: Nottingham City Council, Loxley House, Station Street, Nottingham NG2 3NG
Nottingham's University City Dynamic and Council Tax
Nottingham is a major university city with two large institutions: the University of Nottingham (Russell Group, with a campus in Malaysia) and Nottingham Trent University, together enrolling over 60,000 students. The student population has significant Council Tax implications.
Full-time students are disregarded for Council Tax across all Nottingham City Council postcodes. Properties occupied entirely by full-time students are exempt (Class N). The University of Nottingham's main campus is in the NG7 postcode area (Lenton, Dunkirk), while Nottingham Trent occupies buildings in the city centre and Clifton. Student residential areas include Lenton, Beeston (just outside the city boundary), Radford, and the Arboretum area.
A distinctive feature of Nottingham's student housing market is that significant volumes of student accommodation are in Nottinghamshire county areas (Beeston, West Bridgford) rather than within the Nottingham City Council boundary. Students living in these areas pay Council Tax to the relevant county district council (Broxtowe, Rushcliffe) rather than Nottingham City Council - which is a further constraint on Nottingham's already small tax base.
Frequently Asked Questions
Why is Nottingham's Council Tax so high compared with nearby cities like Derby or Leicester?
Nottingham's elevated Band D reflects several structural factors: a small chargeable dwelling base (approximately 130,000 dwellings for 330,000 residents) that must cover the same range of city services as larger cities with bigger tax bases; the financial legacy of the Robin Hood Energy collapse and other cost overruns that contributed to the November 2023 Section 114 notice; and high adult social care and homelessness demand. The IFG has published analysis of Nottingham's financial situation.
What was the Robin Hood Energy collapse and how does it affect my Council Tax?
Nottingham City Council established Robin Hood Energy as a municipal energy company in 2015 to provide cheaper energy to residents. The company accumulated losses and collapsed, leaving the council with liabilities of approximately £38 million. This contributed to the November 2023 Section 114 notice. The recovery of these losses, combined with the cost of the commissioner intervention and structural deficit reduction, has informed Nottingham's above-average Council Tax rate in recent years.
Is Nottingham under government commissioner intervention?
Yes. Following the Section 114 notice in November 2023, MHCLG appointed commissioners to oversee specified Nottingham City Council functions. The council continues to operate under elected councillors and sets Council Tax within the normal statutory framework, but commissioners have oversight of specified governance and financial management functions. The recovery plan involves both Council Tax increases and service reductions.
I'm a student at the University of Nottingham or Nottingham Trent - do I pay Council Tax?
Full-time students are disregarded. Properties occupied entirely by full-time students are exempt. Obtain a Council Tax Exemption Certificate from your institution. If you live with non-students, those residents are liable, and you remain disregarded individually.
How do I get Nottingham Council Tax Reduction?
Apply at nottinghamcity.gov.uk/counciltax or call 0115 718 1777. Provide income evidence (payslips or benefit award letters), bank statements for all accounts, and details of all adults living in the household. UC claimants must apply separately to Nottingham City Council - Universal Credit does not include any Council Tax element. Processing typically takes 14 to 28 days. If approved, the council issues a revised demand notice showing the reduced bill. Given Nottingham's high Band D rate, a CTR award can significantly reduce the bill for eligible households. Pension-age residents use the nationally prescribed scheme (up to 100% reduction); working-age residents are assessed under Nottingham's local percentage-of-bill scheme.
How we verified this
Band D figures are from Nottingham City Council's published 2026-27 budget and MHCLG Council Tax level statistics. The Section 114 context (Robin Hood Energy, Oracle ERP, structural deficit) is from published MHCLG intervention documents and IFG analysis of the Nottingham case. The Valuation Office (formerly VOA, now part of HMRC since 1 April 2026) is referenced for band challenge information. MHCLG CTB1 statistics inform the property stock profile. IRRV professional standards inform the enforcement section. The Local Government Finance Act 1988 (s114) provides the statutory basis for Section 114 notices.
Nottingham residents now challenge their band through the Valuation Office (formerly VOA, integrated into HMRC on 1 April 2026). The East Midlands Combined Authority handles the mayoral precept but does not touch valuation matters. Given Nottingham's relatively high Band D figure and small tax base highlighted in IFG analysis, banding accuracy matters more for individual household budgets here than in many comparable cities. The IRRV publishes practitioner guidance on the evidence councils and HMRC weigh during the proposal-and-appeal process.
Sources & Verification
- Nottingham City Council Council Tax: https://www.nottinghamcity.gov.uk/counciltax
- MHCLG Council Tax statistics and intervention documents: https://www.gov.uk/government/collections/council-tax-statistics
- Local Government Finance Act 1988 (s114): https://www.legislation.gov.uk/ukpga/1988/41/section/114
- Local Government Finance Act 1992: https://www.legislation.gov.uk/ukpga/1992/14/contents
- Institute for Government local government finance analysis: https://www.instituteforgovernment.org.uk/
- Valuation Office (formerly VOA): https://www.gov.uk/government/organisations/valuation-office-agency
- IRRV (Institute of Revenues, Rating and Valuation): https://www.irrv.net/
- East Midlands Combined Authority: https://www.eastmidlands-ca.gov.uk/
This article is for informational purposes only and does not constitute legal, financial, or tax advice. Council Tax rules vary by local authority and change annually. Always verify current rates and rules with your local council and gov.uk before making any decision.
