Thursday 21 January 2021 / 1:30 PM Steve Reed

Labour forces vote to stop Government’s planned council tax hike that will add almost £100 a year to household bills

Labour will force a vote in the House of Commons demanding that the Government reverse its plans to force councils to raise council tax by 5 per cent, a rise which would see council tax bills rise by £93 on average.

The move follows an appeal from Labour leader Keir Starmer to stop the council tax rise and provide certainty to millions of families who face additional blows to their incomes from frozen pay and a cut to Universal Credit.

Under the Government’s proposals set out in the Comprehensive Spending Review, families living in Band D will face an average rise of £93 next year. It means council tax will have risen by 33 per cent under the Conservatives.

Councils face a severe funding gap because of income lost during the pandemic and the additional costs of keeping communities safe from covid-19.

Communities Secretary Robert Jenrick previously said councils would be funded to do “whatever it takes” to support their communities but later backtracked and suggested councils should share the burden of their lost income.

 

Steve Reed MP, Labour’s Shadow Communities and Local Government Secretary, said:

“The Conservatives’ council tax rise will hit families right at the very time millions are worried about the future of their jobs and how they will get through the next few months.

“With Britain having experienced the worst recession of any major economy this is simply the wrong time for this tax rise. This Government should not be making families pay the price for their mishandling of the Covid crisis and their broken promises to support councils.

“The Prime Minister must cancel this hike. If he refuses, Conservative MPs will have the opportunity to vote with Labour to protect family incomes and secure our economy.”