Council tax to rise 4.3 per cent
Tuesday, 27 Mar 2007 11:46
The average tax on a band D property will be £1,321 in the next year
The average amount of council tax to be paid on dwellings in England will rise by 4.3 per cent in 2007-08, the government has revealed.
Today's official figures, a requirement of last week's Budget, show that two adults living in a band D property will have to pay £1,321 in council tax, compared to £1,268 last year.
In London the average bill will be £1,258, lower than that of both other metropolitan (£1,284) and shire areas (£1,348).
Although the annual increase is the lowest for 13 years, the rise is still above the current level of consumer price index (CPI) inflation, which currently stands at 2.8 per cent.
In the capital, council tax growth is less pronounced with an increase of 3.1 per cent, although this in itself goes up to 3.6 per cent when the Greater London Authority precept is included.
The government's figures also reveal that Londoners will pay £20 on their council tax bills to supplement the 2012 Olympics.
Earlier this month Sir Michael Lyons published his long-awaited review on local government, calling for "unfair" council taxes to be reformed.
"Council tax is not 'broken' but is seen as unfair and has been put under too much pressure," he said, explaining that a "radical" transition to a local income tax should be seen as a long-term solution.