Data from the Ministry of Housing, Communities and Local Government (MHCLG) reveals that the council’s debt now stands at £607,589,000 as of the end of March 2025.
This marks an increase of 34 per cent – or £155,212,000 – from its debt levels in the previous financial year.
Analysis of these figures from the BBC Shared Data Unit shows that this debt rise equates to £578.84 per person in the borough, bringing the total debt per head to £2,265.90.
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However, Havering Council said this increase will not be reflected in council tax or other changes, adding that this is not the same as “borrowing from your bank account without being able to pay it back”.
A spokesperson told the Recorder: “This is about long term investment to repair and build new homes and make other council-wide improvements, including roads.
“This means we need to borrow money over a longer term (secured debt against our assets) which means it will be paid back when the asset is built, or when it comes to council homes, will be covered off by rent.”
Other east London boroughs, such as Newham and Barking & Dagenham, have also recorded a rise in debt levels between April 2024 and March 2025.
Barking & Dagenham Council has built up more than £1.5 billion worth of debt in total, while Newham saw the second largest rise in overall debt at £312,306,000.
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Overall, UK councils owe a combined £122.2 billion to lenders, as of the end of March 2025, which is up seven per cent from a year ago.
A MHCLG spokesperson said: “While councils are responsible for managing their own budgets, we know that the current funding system is broken which is why we are taking decisive action so local leaders can deliver the public services their communities rely on.”
To get the debt total for each area, the BBC Shared Data Unit added up all the borrowing categories listed in the Department for Levelling Up, Housing and Communities borrowing and investment live tables.
