Another week, another piece of TPA research hitting the headlines. After the success of our paper looking at the growing civil service headcount, our team has exposed the true burden council tax is placing on households, by comparing council tax rates with local average earnings and house prices..Â
Shockingly, some authorities are setting their Band D council tax rate at more than 10 per cent of local median incomes, and thatâs before other taxes are taken into account. In other places, the burden is only around 2 per cent, meaning that residents in some parts of the country are paying five times as much council tax relative to their salary compared to residents in other areas. Nationally, council tax has more than doubled in relation to median earnings since its introduction.Â
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Those facing the worst burden are residents in West Devon who pay 10.85 per cent of their median gross pay in council tax, compared to just 2.16 per cent in Wandsworth, where the burden is lowest. The North East is the highest paying region at 8.66 per cent, compared to Scotland where it is 5.1 per cent and London where it is 5.42 per cent.Â
Our findings caught the attention of news editors across the country and featured prominently in the Daily Mail, Telegraph, Sun, Times, Independent, Express, and Northern Echo. With our media phone ringing off the hook, our head of campaigns, Elliot Keck, was soon explaining our findings to Julia Hartley-Brewer and TalkTV viewers across the country. As Elliot said: âIt is one of the most onerous bills that a household and an individual has to pay⊠In some parts of the country an average earner, paying the average level of council tax in that authority, will be paying more than 10 per cent of their income in council tax!â
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Our media campaign manager, Conor Holohan, hammered the message home on GB News. Citing the dodgy goings on in some councils such as South Cambridgeshireâs four day week, Conor called on councils to get a grip on spending and freeze council tax to ease the burden on families: âWhatâs driving these massive burdens is out of control spending or failure to think of residents when budgets are being set.â
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These burdens are not simply unfair to households, theyâre unjustified. As our research has already shown, council tax has increased by 79 per cent in real terms since its introduction. Thatâs why weâre calling on councils to freeze council tax as a minimum next year to help ease the burden on families. If youâve not done so already, be sure to sign our petition to put a stop to council tax rises here. The more of you who speak back our campaign, the better chance we have!
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TaxPayers' Alliance in the news
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Stealth hikes strike again
The chancellorâs decision to freeze income tax thresholds continues to hammer Brits with the latest analysis showing 310,000 people will be dragged into the top tax bracket next year.Â
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Speaking to the Telegraph, our chief executive, John OâConnell, slammed the latest findings: âFrozen income tax thresholds are dragging more and more hardworking Brits into paying tax rates designed for a wealthier few. The Government should give taxpayers a break and increase thresholds in line with inflation.â
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Should HMRC staff be working from home?
It emerged this week that more HMRC staff are working from home than during the peak of the pandemic. With 95 per cent of staff absent from the office at least one day a week, itâs not surprising vital services are being culled.
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Writing in the Times, for their âBig Questionâ debate, Elliot didnât mince his words: âWhen performance in places like HMRC deteriorates, it can have a big impact⊠Itâs time to get workers back behind their desks and delivering for taxpayers.â Hear, hear!
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Empty costs
This week we teamed up with MailOnline to reveal the shocking cost of vacant properties owned by the supposedly âcash-strappedâ NHS. Over the last three years, taxpayers have shelled out ÂŁ4 million on business rates bill for these empty properties.Â
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Our digital campaign manager, Joe Ventre, told MailOnline: âHealth bosses need to quickly sell these sites if they aren't going to be brought back into use.â
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Global Quangos Uncovered: The IMF
Continuing our Global Quangos Uncovered campaign, TPA intern Callum McGoldrick this week turns his attention to the International Monetary Fund (IMF). Exploring its origins and examining its role in the present, the IMF has clearly strayed from its original purpose.
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Having been founded to help âensure economic stability and cooperation between nationsâ, the fund now finds itself pushing political agendas with little-to-no democratic oversight. Costing UK taxpayers ÂŁ20 billion a year, Callum points out that: âthe organisation uses this money in a multitude of ways, from promoting progressive social programmes to funding failing economies.â Click here to read this deep-dive blog in full.
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A TPA investigation this week revealed that local authorities managed to splash out over ÂŁ500,000 supporting pride events in June, with the money paying for things like drag story time, flags, t-shirts, and bunting.Â
With almost all councils having hiked bills this year, this kind of spending is a kick in the teeth for hard pressed taxpayers. Itâs time for town halls to get a grip on their out of control spending once and for all!
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Benjamin Elks
Operations Manager
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