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21/03/2007
Council tax report recommends changes
People living in the most expensive properties in England should pay more council tax, a report has recommended.
The review of local government funding, conducted by Sir Michael Lyons, recommends the creation of two new council tax bands - a new top rate band and a new bottom rate, which would reduce bills for those people living in the cheapest houses.
Launching the report, Sir Michael said: "Council tax is not 'broken', but is seen as unfair."
The report also recommended ending council tax capping, the introduction of a new power to levy a supplementary business rate, an automatic rebate for those entitled to council tax benefit, an increase in the savings limit for pensioners to £50,000, improved transparency of the tax system and new powers for councils to charge for domestic waste.
Local government minister Phil Woolas said: "Sir Michael has said that there is no magic bullet or simple solution to local government funding. We agree. We also support his conclusions that the council tax is not broken. Of course, no tax will ever win a popularity contest, yet council tax collection rates - at 96.8% - are at their highest level ever."
However, the Conservatives described the report as a "tax bombshell" for working families and pensioners. Shadow Local Government Secretary Caroline Spelman said: "Nice neighbourhoods and the rising value of homes will all mean higher council tax bills.
"I fear the elderly, struggling with soaring council tax bills, will be pressured into signing away their homes to the taxman. Vulnerable people face either forfeiting their children's inheritance or have the baliff knocking on their doors for non-payment of rising council taxes."
Liberal Democrat local government spokesperson Andrew Stunell said the report was "disappointing". He said: "Far from taking decisive action to help people, the government has been even more fainthearted and put the proposals on the shelf until after the next election. As a result, millions of pensioners and poorer families will continue to struggle to pay their Council Tax bills.
"The Council Tax should be scrapped immediately and replaced with a fair tax based on people's ability to pay."
(KMcA/JM)
The review of local government funding, conducted by Sir Michael Lyons, recommends the creation of two new council tax bands - a new top rate band and a new bottom rate, which would reduce bills for those people living in the cheapest houses.
Launching the report, Sir Michael said: "Council tax is not 'broken', but is seen as unfair."
The report also recommended ending council tax capping, the introduction of a new power to levy a supplementary business rate, an automatic rebate for those entitled to council tax benefit, an increase in the savings limit for pensioners to £50,000, improved transparency of the tax system and new powers for councils to charge for domestic waste.
Local government minister Phil Woolas said: "Sir Michael has said that there is no magic bullet or simple solution to local government funding. We agree. We also support his conclusions that the council tax is not broken. Of course, no tax will ever win a popularity contest, yet council tax collection rates - at 96.8% - are at their highest level ever."
However, the Conservatives described the report as a "tax bombshell" for working families and pensioners. Shadow Local Government Secretary Caroline Spelman said: "Nice neighbourhoods and the rising value of homes will all mean higher council tax bills.
"I fear the elderly, struggling with soaring council tax bills, will be pressured into signing away their homes to the taxman. Vulnerable people face either forfeiting their children's inheritance or have the baliff knocking on their doors for non-payment of rising council taxes."
Liberal Democrat local government spokesperson Andrew Stunell said the report was "disappointing". He said: "Far from taking decisive action to help people, the government has been even more fainthearted and put the proposals on the shelf until after the next election. As a result, millions of pensioners and poorer families will continue to struggle to pay their Council Tax bills.
"The Council Tax should be scrapped immediately and replaced with a fair tax based on people's ability to pay."
(KMcA/JM)
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18 September 2003
Charity groups demand reform of council tax charges
Help the Aged and The Royal British Legion have joined forces today to demand a reform of council tax and Council Tax Benefit. The two charities say that "annual inflation-busting" increases in council tax "unfairly discriminate" against older people, whose incomes tend to be fixed or linked to inflation.
Charity groups demand reform of council tax charges
Help the Aged and The Royal British Legion have joined forces today to demand a reform of council tax and Council Tax Benefit. The two charities say that "annual inflation-busting" increases in council tax "unfairly discriminate" against older people, whose incomes tend to be fixed or linked to inflation.
31 March 2005
Lib Dems pledge to scrap 'unfair' council tax
The Liberal Democrats have vowed to scrap the "unfair" council tax, on the 15th anniversary of the poll tax riots. The party said that the council tax should be replaced with a local income tax, based on the ability to pay.
Lib Dems pledge to scrap 'unfair' council tax
The Liberal Democrats have vowed to scrap the "unfair" council tax, on the 15th anniversary of the poll tax riots. The party said that the council tax should be replaced with a local income tax, based on the ability to pay.
20 April 2005
Tories & Lib Dems launch council tax plans
The Conservatives and the Liberal Democrats have both unveiled plans to tackle council tax. The Conservatives have pledged to cancel Labour’s planned revaluation of homes in England for the council tax.
Tories & Lib Dems launch council tax plans
The Conservatives and the Liberal Democrats have both unveiled plans to tackle council tax. The Conservatives have pledged to cancel Labour’s planned revaluation of homes in England for the council tax.
30 November 2010
Corporation Tax Reform To Create 'Competition'
The Government has published details of its Corporate Tax Reform programme consisting of a series of essential reforms designed to improve the UK's tax competitiveness. Measures include the introduction of new Controlled Foreign Company (CFC) rules and a commitment to introduce a Patent Box.
Corporation Tax Reform To Create 'Competition'
The Government has published details of its Corporate Tax Reform programme consisting of a series of essential reforms designed to improve the UK's tax competitiveness. Measures include the introduction of new Controlled Foreign Company (CFC) rules and a commitment to introduce a Patent Box.
28 September 2006
Millions struggling to pay council tax
More than two million households are struggling to pay council tax bills, according to a report by the Joseph Rowntree Foundation. The report found that those on low incomes were particularly badly affected, because they had to pay a larger percentage of their take-home pay than those on higher wages.
Millions struggling to pay council tax
More than two million households are struggling to pay council tax bills, according to a report by the Joseph Rowntree Foundation. The report found that those on low incomes were particularly badly affected, because they had to pay a larger percentage of their take-home pay than those on higher wages.
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