Council tax payments to go up by greater than £100 subsequent yr, No 10 confirms

The average family faces inflation-busting council tax rises of more than £100 in April, the Government has announced.

The Prime Minister’s press secretary said town halls would be told they could put up the levy by as much as 5 per cent next year – three times the rate of inflation.

Across England this year, the average Band D council tax bill stands at £2,171.

The Government’s decision means local authorities will be able to increase the band D levy by up to £109 next year. For those in the most expensive Band H households, last year’s £4,342 bill will increase by £217.

The huge rise, which is three times the 1.7 per cent rate of inflation, comes despite Angela Rayner’s claim in September that council tax would not be increasing.

The vast majority of councils will have to put up bills by the maximum amount as the result of a £2.4 billion shortfall in the amount of money expected to be required by local authorities to pay for social care and other priorities next year.

In the most expensive area, Rutland, the increases would be even higher: up £127 to £2,670 for Band D and up £254 to £5,340 for Band H.

The Government’s clarification of its council tax policy comes after Sir Keir Starmer was challenged on the issue during Prime Minister’s Questions.

Asked by Conservative leader Kemi Badenoch whether the current 5 per cent cap on council tax rises would be maintained, he declined to answer.

She asked: “Will the Prime Minister confirm that he will keep the cap on council tax?”

Sir Keir replied: “On the question of councils, she knows what the arrangements are.”

The Tory leader said: “I think the House will have heard that the Prime Minister could neither confirm nor deny whether the cap on council tax was being raised.”

Source: telegraph.co.uk