The Local Government Association, which represents local authorities, is warning of cuts to services in order to plug the growing shortfall in adult social care.
Services including road repairs, parks, children's centres, leisure centres and libraries will experience deep cuts.
Local authorities are allowed to raise council tax by up to 2% a year, without going to ratepayers in a referendum, and an additional 3% social care precept on top of this.
According to the LGA, 147 of the 151 local authorities responsible for adult social care will raise £540m more over the next financial year through the use of this social care precept.
However, higher council tax bills are unlikely to avoid the need for making deep cuts to services elsewhere.
With a funding gap of £2.6m expected by 2020, it will be interesting to see if central government allocate any additional money for local authorities in the Spring Budget next month.
“Social care faces a funding gap of at least £2.6bn by 2020. It cannot be left to council taxpayers alone to try and fix this crisis.”