Millions of cash-strapped Brits face “inflation-busting” rises of up to £107 in council tax, the Government has announced.
Communities Secretary James Brokenshire said local authorities would be given permission to increase annual bills by up to three per cent in 2019, about £50 on the average Band D fee of £1,671.
But in another blow to households’ finances, he added that some town halls would be allowed to add a further two per cent on top of that to pay for social care, equal to about £33.
Taxpayers also face an extra 1.5 per cent police levy, roughly £24, to pay for the vast majority of a £670 million hike in neighbourhood policing.
Together it means a typical Band D bill will go up next year by £107 to £1,778, which is 25 per cent higher than 10 years ago despite inflation remaining extremely low throughout that time.
The Government was criticised for “shifting the burden” onto council tax payers to make up its own lack of funding.
Nearly 80 per cent of the additional £510 million for community police work will come from the police precept, paid by households.
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Mr Brokenshire told the House of Commons yesterday that the announcement permitted councils to “rise to new opportunities and challenges” and “to grow their economies and ensure there is opportunity for all”.
He said the Government was providing an extra £1.3 billion for local authorities to share.
But Ministers were criticised by the Local Government Association which warned that councils would have to “scale back” services because it wasn’t enough money.
Labour’s Shadow Communities Secretary Andrew Gwynne said the Government’s decision risked worsening inequality across the country.
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Taxpayers Alliance Councils chief executive John O’Connell called on local authorities to try to find more savings rather than land residents with even higher bills.
He said: “Councils always claim they are cut to the bone, but there are still numerous examples of wasteful spending and inefficiencies that still need to be addressed.
“Councillors should remember that council tax is a major burden on residents and a huge contributor to the cost of living, especially for families on lower incomes.
“Councils should look to get better value for money before hitting taxpayers with yet another round of painful tax hikes.”
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