Delivering Tax Cuts for Families and Pensioners

Official Government figures released this week confirm that council tax bills have been cut in real terms across England this year, thanks to the Government’s third year council tax freeze initiative.

Overall, this means that council tax has fallen in real terms by 9.7 per cent under this Government.

The statistics show there is only a 0.8 per cent average change in council tax across England this year, with two-thirds of local authorities freezing their bills.  In London, bills are falling by -0.2 per cent. A number of local authorities are going further and cutting council tax in cash terms, including Boris Johnson in London.

• Council tax doubled under Labour: Under Labour, council tax bills in England hit a record £1,439 a year on an average Band D home in April 2010. Bills more than doubled under Labour.  By contrast, the cumulative effect of the three council tax freezes is worth up to £425 compared to a five per cent rise in each of the last three years for residents in Band D homes
• Labour want higher council tax: In Government, Labour Ministers opposed a council tax freeze.  In Opposition, Labour’s Shadow Ministers still continue to oppose the council tax freeze
• Conservative councils cost you less: Analysis of the figures show that Conservative councils continue to provide lower levels of council tax than Labour or Liberal Democrat councils.  Averaged across tiers, Conservative-controlled councils charge £69 a year less than Labour-controlled councils on a Band D home, and £100 a year less than Liberal Democrat-controlled councils
• Local Conservatives supporting the freeze: A total of 131 Conservative councils are freezing council tax, compared with 51 Labour and 10 Liberal Democrat. 7 out of 10 Conservative councils are freezing, compared to only half of Labour councils.  In addition, almost two-thirds of Conservative Police and Crime Commissioners in England are freezing council tax, but no Labour Commissioners.

Commenting, Eric Pickles, Secretary of State for Communities and Local Government, said, “Council tax more than doubled under Labour.  But Conservatives in Government have worked to freeze council tax for three years, helping hard-working families and pensioners with their cost of living. Over the last three years, council tax bills have fallen by almost 10 per cent.

“Ed Miliband’s Labour Party opposes freezing council tax, which shows how Labour remain addicted to higher taxes, and are on the side of bureaucracy, wasteful spending and not the taxpayer.”