Council Tax Will Rise By Double The Inflation Rate

1.19.56pm UTC (GMT +0000) Wed 29th Nov 2006

Council Tax Bills may spiral

Council taxes are expected to rise by twice the inflation rate next April for millions of homeowners and tenants in England. The local government minister has accepted that the average increase will be up to 5%, compared with the current 2.4% rise in the consumer price index.

Commenting on the announcement of the local government finance settlement, Liberal Democrat spokesperson Chris Took said:

"Households hit by spiralling council tax bills will be disheartened by this flawed settlement. Next year, many councils, including Ashford, could be faced with putting up council tax or cutting services because of red tape issued from Whitehall.

"We need a new funding system based on fair local taxes, relocalising business rates, and addressing local needs rather than government targets.

"The Government does not trust local councils enough to devolve power properly. If they did then Ashford would be free to serve their communities most effectively."