This week we revealed that inflation-busting council tax rises are costing taxpayers millions in unnecessary rate rises. District councils, which make up nearly half of all English councils and largely do not have responsibility for social care, still raised council tax by an average of 3.3 per cent. Had the rise been the same rate as inflation at 1.5 per cent, taxpayers would have saved £55 million in tax hikes this year.
We have compiled council tax data into an interactive heat map to highlight the severity of rate rises. It's a simple and easy way to judge which authorities are delivering the best value for money. You can compare your tax rises with every other council in Great Britain.
Nearly every local authority increased council tax last month, despite immense economic hardship imposed on residents by the coronavirus crisis.
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Key findings (figures quoted are band D average)
- Not a single council in Britain cut council tax this year, with the average band D bill in England now reaching £1,817, in Scotland, £1,301 and Wales, £1,696.
- Basildon, Corby and Chorley were the only local authorities to freeze council tax this year.
- Mendip council’s 8.3 per cent rise was the highest, at more than 5 times the rate of inflation.
- Midlothian had the highest council tax bill in Scotland at £1,409.
- Of the 17 British councils imposing the highest cash terms increases on residents, 16 of them are in Wales.
- The highest council tax bill was £2,009 set by Blaenau Gwent.
Tax hikes hit hardest in times of extreme economic turmoil. Despite the devastating effect of the coronavirus crisis on many household incomes, local authorities raced ahead with council tax rises regardless. They should have acted in the interests of their residents and frozen council tax.
Well remunerated local authority bosses need to put their affairs in order and start rooting out wasteful spending and end these inflation-busting tax hikes.
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TaxPayers' Alliance in the news
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'Costa cutter' axed
Readers may recall the story of management consultant Phillip Burns who was paid £2,000 a day by an NHS trust in an attempt to save money. The Betsi Cadwaladr University Health Board, in North Wales hired him 9 months ago and his contract allowed working from home, once a week, from his luxury home in the Costa del Sol!
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At the time our chief executive John O’Connell called out this ridiculous waste of taxpayer's cash in the Daily Mail saying "..the fastest way for Mr Burns to save money would be to sign his own P45." Finally the NHS board heeded our advice and Mr Burn's contract has been terminated two months early.
It's mixed news for taxpayers though. Whilst this will bring savings of £30,000 it still means his wages totalled around £300,000 during his employment as "recovery director" - enough to pay for 14 nurses. Cash-strapped health boards should learn a thing or two from this sorry saga.
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Council tax fury
Our analysis of council tax rises was featured in the Daily Express which described them as "crippling." James Daly, member of parliament for Bury North also voiced his support and called for council tax freezes.
Asked for comment our policy analyst Jeremy Hutton said, "Taxpayers across Britain are being battered by inflation-busting rate rises, with millions of pounds being collected over and above what would be normally expected from residents."
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Wrestling with politics
Our media campaign manager Sam Packer has written a fascinating blog about former professional wrestler turned Mayor of Knox County, Tennessee, Glenn Jacobs (aka Kane to wrestling fans). "Mayor Kane" has recently published his autobiography detailing his life in wrestling and politics.
TPA supporters will be pleased to know that he is a passionate advocate for free markets and the importance of good local government. As Sam writes:
"Unlike the seemingly endless procession of well-meaning but ultimately vain and bossy Hollywood celebs who demand more socialism from their Malibu mansions, Kane relates the authentic support for capitalism that his steady rise to stardom as an independent contractor working the wrestling circuit gave him." Read the review in full.
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Open all hours
In March, one of the measures the TaxPayers’ Alliance suggested to tackle the coronavirus public health emergency was the suspension of Sunday trading restrictions. But there are plenty of reasons to support making any change permanent.
There is a growing sense in Britain that restarting the economy is a key priority. The chancellor and business secretary should realise that ending Sunday trading laws would aid this effort, providing a big boost to a recovering economy. As I explain in my blog removing restrictions would benefit the country to the tune of £20.3 billion over 20 years. Click here to read more.
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Council continues to splurge taxpayers' cash
North Lanarkshire council will be forced to pay out a substantial legal bill after losing a court battle over controversial plans to extend a retail park. The council had granted planning permission to Westway Retail Park for a new cinema, hotel and restaurants but failed to produce proper analysis for their decision.
A legal battle ensued which saw a court rule that the council had failed to fulfill their statutory duty. The taxpayer is now being asked to foot the legal bill for the council's failings and pay their challengers' costs as well. The bill is likely to run into the tens of thousands of pounds.
Supporters may recall that this is the same council that had the highest remunerated council employee in the country for 2018-19. Our recent edition of the Town Hall Rich List revealed that the chief officer for health and social care took home £615,550.
Taxpayers should not be expected to pick up the tab for council incompetence and fat cat salaries.
Let me know if your council is wasting taxpayers' money
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Harry Fone
Grassroots Campaign Manager
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