• Privacy policy
  • T&C’s
  • FAQ
  • Meet the Team
  • About The London Economic
  • Advertise
TLE ONLINE SHOP!
NEWSLETTER
SUPPORT THE LONDON ECONOMIC
  • TLE
  • News
  • Politics
  • Opinion
  • Business
  • Sport
  • Entertainment
  • Film
  • Food
  • Lifestyle
  • Property
  • Travel
  • Tech/Auto
No Result
View All Result
The London Economic
  • TLE
  • News
  • Politics
  • Opinion
  • Business
  • Sport
  • Entertainment
  • Film
  • Food
  • Lifestyle
  • Property
  • Travel
  • Tech/Auto
No Result
View All Result
The London Economic
No Result
View All Result
Home News

‘Economically illiterate’ – Government slammed over plans to ‘increase council tax’

“This Government should not be making families pay the price for their broken promises to support councils."

Joe Mellor by Joe Mellor
January 25, 2021
in News

Labour is calling on the Prime Minister to “drop the Government’s plans to force local councils to increase council tax” in the middle of the Covid pandemic.

The party will use an Opposition Day Debate in the Commons on Monday to urge Boris Johnson’s administration to provide councils with “funding to meet the Government’s promise to do whatever is necessary to support councils in the fight against Covid-19”.

Labour claimed approximately one million workers in England “could face unemployment just as they get hit with Boris Johnson’s £100 council tax hike”.

The Government’s Coronavirus Job Retention (furlough) scheme is due to finish at the end of April. The Office for Budget Responsibility forecast that unemployment will peak at 2.6 million in the second quarter of this year, a rise of one million since the fourth quarter of 2020, Labour added.

Citing estimated council tax rises per region, according to the think tank the Centre for Progressive Policy, Labour warned families living in Band D “will face an average rise of £93 next year”, adding it would “hit hardest” in the North West and North East, which have high proportions of people on furlough.

Bombshell

Shadow communities and local government secretary Steve Reed said: “The Prime Minister’s £2 billion council tax bombshell will hit many hard-pressed families at the worst possible time – just as many receive their P45s.

“This Government should not be making families pay the price for their broken promises to support councils.

RelatedPosts

Britain will unilaterally change its Brexit deal with the EU

Former Tory MP loses appeal against two-year jail term for sexual assault

Budget: Lack of action on sick pay and key worker wages ‘abrogation of duty’

Nazanin Zaghari-Ratcliffe’s detainment a ‘blot on British diplomacy’

“The Prime Minister must scrap this economically illiterate council tax rise – and if he doesn’t, Conservative MPs need to do the right thing and vote with Labour to protect families’ incomes and help secure our economy.”

Labour’s second Opposition Day Debate on Monday calls on the Government to maintain “all existing employment rights and protections” including the 48-hour working week and set out a timetable by the end of January to “introduce legislation to end fire and re-hire tactics”.

The party warned scrapping the 48-hour week may be the “thin end of the wedge and risk hours spiralling out of control for hundreds of thousands more workers if a reverse 15% increase occurs”.

Shadow business secretary Ed Miliband
Shadow business secretary Ed Miliband (PA)

Shadow business secretary Ed Miliband said: “The 48-hour week is a vital right for workers. Scrapping this hard-won protection would be the thin end of the wedge, causing working hours to spiral up, risking safety and wellbeing, and meaning many people could have less time to spend with their families.”

In December Communities Secretary Robert Jenrick announced that councils in England can continue to increase tax by up to 2% without a referendum and boost the social care precept by up to 3% in 2021/22.

Spending power

Mr Jenrick also insisted local authorities are in position to decide whether or not to enforce the increases, claiming they will see their core spending power increase in cash terms by up to 4.5% under the Government’s plans.

The debate comes amid speculation that the Treasury is eyeing up a rise in corporation tax at the Budget in March and is looking at an overhaul of council tax.

The Government has laid amendments to both motions.

A Ministry of Housing, Communities and Local Government spokesman said: “Council tax levels are a matter for locally elected representatives, but we have been clear that councils should take into account the financial circumstances of their residents.

“The Government is not imposing any increase – rather, it sets a ceiling above which a local referendum is required. This protects residents against excessive increases.”

Related: MEPs vote to add British overseas territories to tax haven blacklist after Brexit

Since you are here

Since you are here, we wanted to ask for your help.

Journalism in Britain is under threat. The government is becoming increasingly authoritarian and our media is run by a handful of billionaires, most of whom reside overseas and all of them have strong political allegiances and financial motivations.

Our mission is to hold the powerful to account. It is vital that free media is allowed to exist to expose hypocrisy, corruption, wrongdoing and abuse of power. But we can't do it without you.

If you can afford to contribute a small donation to the site it will help us to continue our work in the best interests of the public. We only ask you to donate what you can afford, with an option to cancel your subscription at any point.

To donate or subscribe to The London Economic, click here.

The TLE shop is also now open, with all profits going to supporting our work.

The shop can be found here.

You can also SUBSCRIBE TO OUR NEWSLETTER .

Support fearless, free, investigative journalism Support fearless, free, investigative journalism Support fearless, free, investigative journalism

Subscribe to our Newsletter

View our  Privacy Policy and Terms & Conditions

Trending fromTLE

  • All
  • trending

What If We Got Rid Of Prisons?

Stress, fear and homelessness: The threat looming over families confronted with eviction

File photo dated 07/11/03 of a prison cell.

The Other Prison Pandemic

Latest from TLE

Britain will unilaterally change its Brexit deal with the EU

Beavertown The Rule of Three

Beer of the Week: Beavertown The Rule of Three

Credit;PA

Former Tory MP loses appeal against two-year jail term for sexual assault

Budget 2021: Rishi Sunak or John McDonnell?

About Us

TheLondonEconomic.com – Open, accessible and accountable news, sport, culture and lifestyle.

Read more

Address

The London Economic Newspaper Limited t/a TLE
Company number 09221879
International House,
24 Holborn Viaduct,
London EC1A 2BN,
United Kingdom

Contact

Editorial enquiries, please contact: jack@thelondoneconomic.com

Commercial enquiries, please contact: advertise@thelondoneconomic.com

SUPPORT

We do not charge or put articles behind a paywall. If you can, please show your appreciation for our free content by donating whatever you think is fair to help keep TLE growing and support real, independent, investigative journalism.

DONATE & SUPPORT

© 2019 thelondoneconomic.com - TLE, International House, 24 Holborn Viaduct, London EC1A 2BN. All Rights Reserved.




No Result
View All Result
  • Home
  • News
  • Politics
  • Opinion
  • Business
  • Sport
  • Entertainment
  • Film
  • Lifestyle
  • Food
  • Property
  • Travel
  • Tech & Auto
  • About The London Economic
  • Meet the Team
  • Privacy policy

© 2019 thelondoneconomic.com - TLE, International House, 24 Holborn Viaduct, London EC1A 2BN. All Rights Reserved.