Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 40
40
Rejected
Stable council tax income and collection rates are insufficient reasons to avoid reform.
Conclusion
The Government’s arguments that council tax has high collection rates and leads to stable income levels are not sufficient reasons to avoid reforming council tax. (Conclusion, Paragraph 156)
Government Response Summary
The government notes the recommendation to reform council tax but states it currently has no plans to do so, though it is focusing on how council tax income is accounted for in funding allocations.
Government Response
Rejected
HM Government
Rejected
The Government notes the recommendation to reform or replace council tax as part of a wider review of local government funding. While the Government currently has no plans to reform Council Tax, the approach to accounting for Council Tax income in the allocation of Government funding is a key focus of this Government’s funding reform proposals. The government keeps all tax policy under review and the Chancellor makes tax policy decisions at fiscal events.