Local
residents across North East
Cambridgeshire will be given new powers
to stop high council tax increases,
under proposals announced by
Conservatives.
In a new
initiative on council tax launched by
David Cameron, and welcomed this week by
Malcolm Moss MP, any local authority -
including fire and police authorities -
that wanted to introduce a high council
tax increase would have to receive the
support of local people in a referendum.
Council tax bills have soared across the
country under Labour. In Fenland,
overall bills have risen by 123% since
1997, from £614 to £1,370 on a Band D
home. These increases are a direct
result of the Labour Government reducing
grant to local authorities at the same
time as widening their service
responsibilities and obligations
considerably.
Under the
proposed plans, the local authority
would have to explain to taxpayers why
they wanted to raise taxes by so much
and they would have to show what they
would do – a shadow budget – in the
event of their plans being rejected. Tax
referendum ballots would be sent out
with the annual council tax bill. If
people voted against the high rise, the
rebate would be credited to them at the
end of the year, to avoid the cost of
posting out new bills.
In addition
to the plans for direct democracy,
Conservatives have pledged to:
·
Relieve
councils of the unfunded burdens,
regulations, inspection and red tape
that have forced up council tax, through
decentralisation and deregulation.
·
Give
councils more freedom and discretion to
fund their own local priorities not
Whitehall’s, ending the ring-fencing of
local authority budgets.
·
Give power
back to local people, such as through
the abolition of the unelected and
unwanted regional assemblies, allowing
more local discretion on planning and
licensing, and introducing directly
elected police commissioners.
·
Scrap
Labour’s ongoing plans for a council tax
revaluation in England, and abolish
council tax inspectors’ rights of entry
into people’s homes.
Malcolm Moss
MP said:
“Council tax
has become so unpopular under Labour
because of the year on year rises that
have been cooked up by Gordon Brown. We
need to end Labour’s fiddled funding and
burdens which have forced up councils’
costs. Local councils deserve more
freedoms.
“But these
new powers need to be backed up with a
stronger voice for local people, so they
have the final say on whether or not
local taxes are going to rise. We need
to replace state control with social
responsibility and democratic
accountability.”
PUBLIC TO HAVE VETO ON COUNCIL TAX RISES
David Cameron has announced that the
next Conservative Government will use
direct democracy to control council tax
bills, through council tax referendums.
Any proposed excessive council tax rise
above a set rate would require the
approval of a local referendum. This
will ensure there is a greater
connection between the spending
decisions of town halls and the wishes
of local residents.
The independent campaigning group, the
Taxpayers’ Alliance, have welcomed the
policy proposal, remarking:
“A system like this would be a great
step in the right direction - localising
tax control, increasing democratic
accountability and bringing a number of
other benefits... Instead of the
everlasting blame game, or simply
allowing councils to force higher taxes
on their electorates without adequate
explanation or consultation, let’s do
what democracy is about: ask the people.
It’s our money, and it is us who will be
receiving the services it pays for - on
principle, taxpayers deserve the final
say on whether council tax should rise.”
http://tpa.typepad.com/campaign/2007/11/welcoming-democ.html
POLICY DETAIL
·
The trigger threshold for an excessive
rise would be set by Parliament. In
Wales, it would be set by the National
Assembly for Wales. Conservatives would
consult with local government and the
public over the precise level of this
threshold.
·
Each precept that makes up a bill would
be assessed separately. The proposals
would apply to all precepting
authorities, including the Greater
London Authority, fire authorities and
police authorities, in England & Wales.
·
The yearly council tax bill sent to
householders would ask taxpayers whether
they support any excessive increase. If
there was a proposed high increase, the
bill would include voting form(s). The
electorate would be the same as per
local elections.
·
Councils and precepting authorities
would be required to prepare a ‘shadow
budget’ in case their above-threshold
tax plans were rejected. In the event of
the referendum coming down against the
increase, the consequential reduction in
council tax would be credited to
residents’ bills at the end of the
financial year to avoid the cost of
re-billing.
·
Councils would still be subject to the
regular elections – providing a
democratic check against councils which
closed or cut popular frontline services
in response to losing a referendum.
·
There would be a de minimis
threshold in absolute cash terms. This
would prevent a tiny cash terms change
(but large in percentage terms) forcing
a referendum – such as for most parish
councils with a tiny precept.
·
Conservatives will consult over this
proposed mechanism, including whether
there should be a minimum turnout or
threshold for the referendum to be
valid, and whether there should be
different trigger for different types of
authority.
·
We will also consult over whether the
test should consider previous
below-threshold council tax changes. If
a council held its council tax to below
the threshold, or frozen the level for a
few years, it should not be penalised if
it subsequently needs to increase its
rate by a slightly higher level,
otherwise, the system might serve to
discourage councils from cutting or
freezing council tax.
COUNCIL TAX RISES UNDER LABOUR
The table below shows the overall rise
in council tax under Labour in England
and Wales.
|
Band D council tax bill |
1997-98 |
2007-08 |
% rise under Labour |
|
England |
£688 |
£1,321 |
+92% |
|
|
|
|
|
|
East Midlands |
£705 |
£1,348 |
+91% |
|
East of England |
£639 |
£1,349 |
+111% |
|
London |
£651 |
£1,258 |
+93% |
|
North East |
£782 |
£1,380 |
+77% |
|
North West |
£798 |
£1,345 |
+69% |
|
South East |
£641 |
£1,331 |
+108% |
|
South West |
£667 |
£1,352 |
+103% |
|
West Midlands |
£701 |
£1,297 |
+85% |
|
Yorkshire & the Humber |
£710 |
£1,286 |
+81% |
|
|
|
|
|
|
Adur |
£687 |
£1,432 |
+108% |
|
Allerdale |
£748 |
£1,401 |
+87% |
|
Alnwick |
£734 |
£1,369 |
+87% |
|
Amber Valley |
£732 |
£1,370 |
+87% |
|
Arun |
£659 |
£1,373 |
+108% |
|
Ashfield |
£762 |
£1,489 |
+95% |
|
Ashford |
£626 |
£1,285 |
+105% |
|
Aylesbury Vale |
£644 |
£1,346 |
+109% |
|
Babergh |
£652 |
£1,354 |
+108% |
|
Barking & Dagenham |
£635 |
£1,278 |
+101% |
|
Barnet |
£665 |
£1,350 |
+103% |
|
Barnsley |
£674 |
£1,278 |
+90% |
|
Barrow-in-Furness |
£790 |
£1,435 |
+82% |
|
Basildon |
£678 |
£1,417 |
+109% |
|
Basingstoke & Deane |
£644 |
£1,247 |
+94% |
|
Bassetlaw |
£760 |
£1,490 |
+96% |
|
Bath & North East Somerset |
£708 |
£1,318 |
+86% |
|
Bedford |
£762 |
£1,443 |
+89% |
|
Berwick-upon-Tweed |
£735 |
£1,370 |
+86% |
|
Bexley |
£624 |
£1,362 |
+118% |
|
Birmingham |
£794 |
£1,189 |
+50% |
|
Blaby |
£719 |
£1,340 |
+86% |
|
Blackburn with Darwen |
£835 |
£1,381 |
+65% |
|
Blackpool |
£729 |
£1,359 |
+86% |
|
Blyth Valley |
£715 |
£1,337 |
+87% |
|
Bolsover |
£767 |
£1,431 |
+87% |
|
Bolton |
£787 |
£1,321 |
+68% |
|
Boston |
£661 |
£1,293 |
+96% |
|
Bournemouth |
£612 |
£1,330 |
+117% |
|
Bracknell Forest |
£584 |
£1,210 |
+107% |
|
Bradford |
£714 |
£1,206 |
+69% |
|
Braintree |
£639 |
£1,358 |
+113% |
|
Breckland |
£602 |
£1,327 |
+120% |
|
Brent |
£554 |
£1,299 |
+135% |
|
Brentwood |
£631 |
£1,345 |
+113% |
|