Bolton Council could increase council tax by 6%

The rise, which has already been agreed by ministers, is expected to be announced by Communities Secretary Sajid Javid today.

It would mean an additional £90 to the average bill for a band D property.

Former chancellor George Osborne announced last year that town halls would be permitted to add a 2% “social care precept” onto bills to raise £2 billion a year to help deal with the growing crisis in the sector.

Now authorities will be able to impose the total 6% rise over two years.

Charities supporting elderly and disabled recipients of social care welcomed the change as a “step in the right direction”, but said it would not fill a black hole in funding estimated to reach £2.6 billion by 2020.

The chief executive of Leonard Cheshire Disability, Neil Heslop, said: “We are pleased that the Government has acknowledged the severe strain that social care is under.

“Giving local councils more flexibility to raise revenue locally is a step in the right direction.

“However it is not an answer on its own and risks creating a postcode lottery.

“While extra money is always welcome, this will do little to plug the £2.6 billion social care funding gap by 2020, particularly as the areas with the greatest need for extra funding will raise the least through the precept.”

Mark Atkinson, chief executive at disability charity Scope, said the crisis in social care amounted to a “national emergency.”

He added: “Following the omission of social care in the Autumn Statement, the reported 6% increase in council tax won’t go far enough and isn’t the long term solution needed to meet rising demand and costs.”

The social care precept comes on top of annual rises in council tax, which are capped at 2% unless the authority wins residents’ support for a higher rise in a referendum.

Councils are not obliged to impose the precept and areas where councils take full advantage of the permitted rises and precepts could see total bills rise by 10% over the next two years.