🔍 A large hike in council tax to help cut the country’s £60bn deficit would hit the poorest households hardest, analysis by theipaper has found 🔴 SteveRobson04
A large hike in council tax to help cut the country’s £60bn deficit would hit the poorest households hardest,Rishi Sunak and Jeremy Hunt are understood to be considering scrapping the current cap on the amount local authorities can raise council tax as part of a range of measures to plug the gap.
Since then, the difference between the cheapest and the most expensive homes has widened dramatically but councils have been unable to adjust their bands accordingly. By contrast, the authorities where the council tax burden is the smallest are among the most affluent parts of London. In Westminster, the average price of a property is £1.4m, and most are in Band G.
A CCN spokesperson said: “The County Councils Network has long argued that local authorities should have the ability to set their own levels of council tax, in consultation with their local residents. Azhar Ali, Labour group leader on the council, said the idea of significant council tax rises gave him “a feeling of horror.”
He said Lancashire was not expecting an increase in central government funding and was instead “dreading” further cuts that would put basic services at risk. “I’m just hopeful that we get a good settlement in what are very difficult times. What we will always be doing as Conservatives is making sure people get value for money out of every penny they spend on council tax.”campaign, said it was time for council tax to be scrapped and replaced with a “proportional property tax’.
Mr Dixon said that “due to the dysfunctionality of council tax households with fewer assets – especially those in the regions – are already paying a higher tax rate than the better off. The Government appears to want to exacerbate the problem.
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