Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 20
20
Rejected
Paragraph: 101
Ministerial commitment to reviewing essential council tax reform has become uncertain.
Conclusion
In November 2022, the Secretary of State agreed there was a case for reforming council tax and said he had asked the previous Minister to look into it. Unfortunately, the previous and current Ministers have since cast doubt on the Department’s commitment to reviewing council tax.
Government Response Summary
The government rejects undertaking a revaluation of council tax bands, citing costs and potential negative impacts on residents, and states it is prioritizing stability in this Parliament while committing to improving the local government finance landscape in the next Parliament.
Paragraph Reference:
101
Government Response
Rejected
HM Government
Rejected
The Government has no plans to conduct a revaluation of council tax bands. A revaluation would be expensive to undertake and it would particularly risk penalising those on a lower income, including pensioners, who have seen their homes appreciate in value, and might face a substantial increase in tax without having the income to pay it. It may also increase council tax for households where home improvements have been made since they moved in. The Government remains committed to improving the local government finance landscape in the next Parliament. The Government confirmed in the Policy Statement published ahead of the provisional Local Government Finance Settlement that in response to calls for stability the Government is prioritising stability in this Parliament and will work with local government and the wider sector on the new challenges and opportunities they face in the next Parliament.