Labour plan another huge Council tax rise

11.17.20am BST (GMT +0100) Wed 12th Oct 2005

Council Tax is set to rise way above inflation again under Labour

Sheffield's Liberal Democrats have warned the people of Sheffield that the Labour controlled Council are planning another 4.75% Council tax increase for the next financial year. This would see annual bills in a Sheffield band D area rise by over £60 a year.

In a report which will be considered by Cabinet today, it is noted that the Council are assuming an increase of 4.75% for the financial year 2006/07. This means that the Council tax bill will have gone up by a total of £564 since Labour came to power in 1997 (based on a band D property), this equates to a 74% increase.

The news comes just weeks after the Labour Government announced they will postpone any change to local Government taxation until after the next election. This also means that the planned revaluation which was due to take place in 2006/07 will be postponed.

Liberal Democrats in Sheffield have attacked Labour both locally and nationally in their support for the current Council tax system. They believe that nationally the Labour Government are ducking the issue, and locally the Labour Council are 'crying crocodile tears' over the unfair tax whilst still imposing huge increases.

Lib Dems believe that the tax is the most unfair operating in the UK today and would rather see a system of local income tax introduced to replace the outdated Council tax.

Cllr Andrew Sangar

Cllr Andrew Sangar, Shadow Cabinet member for Finance and Performance, said: -

"This news will come as no surprised to Sheffield as we are now used to getting these huge increases year after year from the Labour Council. This doesn't make things any easier for pensioners and those on fixed incomes who are finding Council tax increasingly difficult to afford"

"Locally we have a Labour Council who cry crocodile tears over the Council tax whilst wasting money on the mushrooming bureaucracy within the Town Hall. Nationally we have a Labour Government who continue to duck the reform of this unfair tax"

"We need a fair local tax based on the ability to pay, not one which is based on outdated property values. Labour promised to reform the unfair Council tax in 1997, but only recently they have postponed any reform until after 2008. How much longer will we have to suffer this unfair tax?"

Note: -

Sheffield Council Tax (band D) level in 1997/98 - £767

Planned Sheffield Council Tax (band D) level in 2006/07 - £1332