House residents in more than 100 counties will receive an average bill in excess of £ 2,000 next week as town halls levy council tax 11 times higher than inflation.
Across England, the average bill for a typical Band D house will be £ 1,898 – £ 80 more than last year, according to figures released yesterday.
In total, 104 districts will charge families more than £ 2,000, compared to just 36 last year. For the most expensive Band H houses in these areas, it will be over £ 4,000.
The most expensive council tax bills will be in Nottingham, where Band D’s bills will increase £ 107 to £ 2,226. That works out to £ 42.81 a week.
Bournemouth, Dorset, where the annual council tax will be £ 2,223 on properties in Band D
Rates will rise 4.4 percent, 11 times the current inflation rate of 0.4 percent, at a time when millions of families have had their finances hit by the Covid pandemic.
It means that the average bills are now almost a third higher than a decade ago.
Much of the increase is due to ministers transferring responsibility for raising funds for English social welfare to the town halls, rather than increasing Whitehall grants.
Yesterday, a damning report by the government spending watchdog found that despite this, the number of older people supported by the health care system is still lower than five years ago.
Old Market Square in Nottingham where bills will be £ 2,226 for Band D properties
Last night Harry Fone, grassroots campaign leader of the TaxPayers’ Alliance said: “These punitive increases will hit the residents hard. Crushing council tax bills are the last thing taxpayers need as we emerge from the coronavirus crisis that has squeezed family budgets.
“The country needs every advice to get real and tackle wasteful spending, scrapping pointless pet projects and halting pay rises for top employees.”
Bills are sent by districts, but also include charges levied by county councils, police and crime commissioners, fire departments, and agencies such as the Mayor of London.
Parish and city council regulations were not included in the totals released yesterday, meaning the bills will be even higher for some. The higher rates are due from the beginning of April. Households pay the tax in bands, from band A for the cheapest homes to band H for the most expensive. Band D is used as the average grade.
Chancellor Rishi Sunak announced last year that councils could raise bills by 2 percent without a referendum.
Local authorities of the higher rank, such as provincial councils, were also allowed to add an additional 3 percent to pay for social care.
Figures published yesterday by the Ministry of Housing, Neighborhoods and Local Government show that most municipalities opted for a maximum or almost maximum increase.
They showed that the average Band D council tax in England for 2021/22 will be £ 1,898, up £ 80 from the 2020/21 figure of £ 1,818. Of the 152 authorities in charge of social care, five have raised their levy to 3 percent to pay for it. A total of 100 used the full 3 percent.
The highest increases were in London, where bills were up 4.7 percent, partly due to a rise from Mayor Sadiq Khan. For the first time, a town in the capital, Kingston upon Thames, exchanged bills worth over £ 2,000.
Oakham Market Place, Rutland – where bills will be £ 2,195 for Band D properties
Across England, 104 municipalities have issued bills over £ 2,000 – nearly three times the number last year. The document also reveals that average bills have increased by a third over the past decade – from £ 1,439 in 2011/12 to £ 1,898 in 2021/22. The lowest municipal tax bills are in or near London. Of the ten authorities charging less than £ 1,600, nine are in the capital, with the other close to Windsor and Maidenhead.
Figures like these have led Tory MPs in northern seats to demand a reform of the municipal taxes, saying it is unfair for people in poorer areas to pay more.
Some have called for a proportional property tax to replace it, levied at a rate of 0.48 percent of the home value, leading to declines across the country, but rising in London. Caroline Abrahams, of Age UK, said it was wrong for councils to pay the bill for Covid. She said: ‘The social care system is in dire need of reform and unfortunately raising municipal taxes will fail.
“The prime minister has a once in a generation chance to do the right thing, so that the elderly get the care they need.”
A spokesperson for the Department of Housing, Communities and Local Government said: “We have pledged more than £ 36 billion to help councils support their communities and local businesses during the pandemic.”