Politics
Eltham Referendum on Services Levy: Effects on Household Rates and Council Budgets
Voters in Eltham will decide on a proposed levy that the council estimates would generate additional revenue for roads and parks starting in the 2027 financial year.
How we reported this
Eltham Borough Council has placed a ballot measure before residents that would authorise a new services levy on properties valued above £250,000. The measure, if passed, would apply from April 2027 and direct funds to road maintenance and park upgrades within the borough boundaries.
Background to the July vote
The referendum arises from the council's 2026 budget papers, which projected a £4.8 million shortfall in capital works funding over the next three years. Council documents released in May state that existing rate revenue covers only 78 percent of scheduled infrastructure renewals. Residents in wards such as Eltham South and Well Hall have received voting packs that include a plain-English summary of the levy calculation and a map of proposed spending locations.
Local policy analysts note that the levy would be collected alongside existing council tax bills and would appear as a separate line item. For a typical semi-detached home assessed at £320,000, the additional annual charge would be calculated at 0.18 percent of the property value, according to the draft ordinance published on the council website.
Direct consequences for Eltham households
Residents who drive daily along the A20 or use Sutcliffe Park would see maintenance schedules tied to the new revenue stream. The legislation states that 60 percent of levy proceeds must go to road resurfacing contracts let within the borough, while the remaining share is ring-fenced for playground equipment replacement and tree planting. Community advocates have pointed out that households without cars would still pay the levy but would benefit only from the parks portion of the spending plan.
The Productivity Commission review of local government financing, cited in the council's explanatory note, recorded that similar levies in other boroughs have raised between £1.2 million and £3.1 million in their first full year. Eltham's finance officer has confirmed that the borough expects collections to begin in the 2027-28 financial year if the measure receives majority support.
Ballot papers will be counted on 22 July. The council has stated that a simple majority of valid votes cast will determine whether the levy takes effect, with no minimum turnout threshold required under current rules.