Shetland Islands Council Tax 2026/27
Band D council tax in Shetland Islands is £1,487.90 for 2026/27, up 7.3% (£101.23) on last year. That is £165.54 below the Scotland average of £1,653.44 — the 2nd lowest of 32 councils. Most homes here are in Band A (25%), so the average bill per home is about £1,368.
Updated 2026-10-03 · Scottish council · Official Scotland government statistics
Shetland Islands council tax bands 2026/27
| Band | Property value (1991) | Annual | 10 instalments | 12 instalments | Living alone (−25%) | Homes |
|---|---|---|---|---|---|---|
| A | Up to £27,000 | £991.93 | £99.19 | £82.66 | £743.95 | 2,848 |
| B | £27,001 to £35,000 | £1,157.26 | £115.73 | £96.44 | £867.94 | 1,812 |
| C | £35,001 to £45,000 | £1,322.58 | £132.26 | £110.21 | £991.93 | 2,842 |
| D | £45,001 to £58,000 | £1,487.90 | £148.79 | £123.99 | £1,115.93 | 1,902 |
| E | £58,001 to £80,000 | £1,954.94 | £195.49 | £162.91 | £1,466.20 | 1,535 |
| F | £80,001 to £106,000 | £2,417.84 | £241.78 | £201.49 | £1,813.38 | 326 |
| G | £106,001 to £212,000 | £2,913.80 | £291.38 | £242.82 | £2,185.35 | 73 |
| H | More than £212,000 | £3,645.36 | £364.54 | £303.78 | £2,734.02 | 1 |
- Shetland Islands
- Scotland average
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Shetland Islands council tax history
Band D in Shetland Islands has risen from £1,053.00 in 2016/17 to £1,487.90 in 2026/27 — 41% in 10 years. Over the last five years it rose 23.3%, the 27th biggest increase of 32 councils in Scotland.
- Shetland Islands Band D
| Year | Band D | Change | Band A |
|---|---|---|---|
| 2026/27 | £1,487.90 | +7.3% | £991.93 |
| 2025/26 | £1,386.67 | +10.0% | £924.45 |
| 2024/25 | £1,260.61 | +0.0% | £840.41 |
| 2023/24 | £1,260.61 | +4.5% | £840.41 |
| 2022/23 | £1,206.33 | +0.0% | £804.22 |
| 2021/22 | £1,206.33 | +0.0% | £804.22 |
| 2020/21 | £1,206.33 | +4.8% | £804.22 |
| 2019/20 | £1,150.64 | +3.0% | £767.09 |
| 2018/19 | £1,117.13 | +3.0% | £744.75 |
| 2017/18 | £1,084.59 | +3.0% | £723.06 |
| 2016/17 | £1,053.00 | – | £702.00 |
Homes by council tax band in Shetland Islands
Shetland Islands has 11,339 homes on the valuation list (chargeable dwellings, September 2025). 41% are in Bands A or B. The most common band is A, which costs £991.93 a year (£99.19 a month over 10 instalments).
Shetland Islands compared with Scotland
Shetland Islands is the 2nd cheapest of 32 councils in Scotland, where the average Band D across councils is £1,661.92 (£174.02 more than here). Cheapest: South Lanarkshire (£1,468.47); most expensive: Midlothian (£1,816.16).
| Council | Band D 2026/27 | Change |
|---|---|---|
| South Lanarkshire | £1,468.47 | +6.5% |
| Shetland Islands | £1,487.90 | +7.3% |
| Na h-Eileanan Siar | £1,505.50 | +8.5% |
| North Lanarkshire | £1,554.56 | +7% |
| Fife | £1,573.70 | +5% |
Discounts and reductions
- Living alone: 25% off — a Band A bill in Shetland Islands drops from £991.93 to £743.95.
- Council Tax Reduction: Shetland Islands runs its own scheme for people on low incomes or benefits under the national Scottish rules.
- Disregards and exemptions: full-time students, student halls, some carers and people with a severe mental impairment are not counted; all-student homes pay nothing.
- Disabled Band Reduction: if your home has been adapted for a disabled person you may be billed one band lower.
Shetland Islands's 7.3% rise compares with a Scotland average of about 7.1%. Scottish councils set their own rates, and water and sewerage charges are added on top.
Shetland compared with the other island councils
Shetland raised council tax by 7.3% for 2026/27, taking Band D from £1,386.67 to £1,487.90. That is the lowest Band D of Scotland's three island councils. Orkney's budget papers set the three rises side by side: Orkney 6%, Shetland 7.3% and the Western Isles 8.5%. The table uses official data to compare them.
| Council | Band D 2026/27 | Rise | Second homes (share) | Long-term empty (share) | Collected in year 2024-25 |
|---|---|---|---|---|---|
| Shetland Islands | £1,487.90 | 7.3% | 200 (1.7%) | 497 (4.2%) | 97.1% |
| Orkney Islands | £1,669.07 | 6% | 427 (3.6%) | 325 (2.7%) | 96% |
| Na h-Eileanan Siar | £1,505.50 | 8.5% | 903 (5.9%) | 678 (4.4%) | 89.5% |
Empty homes are a bigger issue than second homes in Shetland
Shetland has few second homes but many empty ones. National Records of Scotland counted 200 second homes in September 2025 (1.7% of 11,702 dwellings). It counted 497 long-term empty homes, 4.2% of the stock and the fourth-highest rate in Scotland. Second homes rose from 178 in 2023, the opposite of the national trend after councils started doubling the charge.
Since 1 April 2024, Shetland Islands Council has charged second homes a 100% supplement, a 200% bill, instead of the old 10% discount. A Band D second home pays £2,975.80 in council tax. A property not lived in for at least 25 days in the last 12 months counts as unoccupied, not a second home. From 1 April 2026, Scottish councils can set premiums above 100%, so check each year's bill for the current rate.
Collection, appeals and help
Shetland collected 97.1% of 2024-25 bills in the year, well above the Scottish average of 95.5%. Bands are set by the Orkney and Shetland Valuation Joint Board, not the council. Council Tax Reduction can cover up to the full council tax for low-income households but never the water and sewerage charges. The A-band bill for 2026/27 is £991.93.
Frequently asked questions
How much is Band D council tax in Shetland Islands?
£1,487.90 a year in 2026/27, or £148.79 a month over 10 instalments. Water and sewerage charges from Scottish Water are billed on top.
What council tax band are most homes in Shetland Islands?
Band A: 2,848 of 11,339 homes (25%). A Band A bill is £991.93 in 2026/27.
How much has Shetland Islands council tax gone up?
7.3% this year, from £1,386.67 to £1,487.90 at Band D. Since 2016/17 it has risen 41%.
How do I find my council tax band?
Search your address on the Scottish Assessors website (saa.gov.uk). You can appeal within six months of moving in.
Is Shetland council tax cheaper than Orkney?
Yes. Band D in 2026/27 is £1,487.90 in Shetland and £1,669.07 in Orkney. The Western Isles is £1,505.50.
Do second homes in Shetland pay double council tax?
Yes, since 1 April 2024. A Band D second home pays £2,975.80 council tax in 2026/27.
Who decides my council tax band in Shetland?
The Assessor at the Orkney and Shetland Valuation Joint Board. Search your band on the Scottish Assessors website.
Sources
Figures are taken from official government publications and were last reviewed on 2026-10-03.
- Scottish Government: Council Tax by band 2026-27 (XLSX)
- Scottish Government: Council Tax by band 2025-26 (XLSX), used for Scotland % change
- VOA / GOV.UK: Understand how Council Tax bands are assessed
- GOV.UK: Council Tax – who has to pay (single person discount)
- legislation.gov.uk: Council Tax (Substitution of Proportion) (Scotland) Order 2016
- Scottish Government: Number of chargeable dwellings, September 2025 (CTAXBASE 2025)
- Shetland Islands Council – Discounts and Exemptions (second homes)
- Orkney Islands Council – Budget Setting for 2026/2027: Explainer (island council comparison)
- Orkney Islands Council – Council tax banding and charges (Orkney and Shetland Valuation Joint Board)
- Scottish Government: Local government finance circular 6/2026 – council tax on second and long-term empty homes
- National Records of Scotland: Households and Dwellings in Scotland, 2025 (tables 5 and 6c)
- Scottish Government: Council Tax Collection Statistics, 2024-25