Council tax only frozen for a year, who will pay next year??? Options

[Richard Garvie]

So Alan Law says the Conservertive administration should be congratulated for being able to "freeze" council tax for the coming year. Isn't it true that this has nothing to do with the local council, who have actually raised council tax by 2.5%??? It's only a grant from the Government that is freezing council tax for a year, but who will pay the extra 2.5% per tax payer next year?

That means that we face a council tax rise of at least 2.5% next year, so realistically it could be 3, 4 or even 5%??? Hardly the picture perfect image you present via the NWN then Cllr law!!!

[dannyboy]

That means that we face a council tax rise of at least 2.5% next year

Do we? How can you know this? What if the economy bounces back?

[Biker1]

All that sticks in my mind is how much it went up by when the Libdems were in power at West Berks!

[Darren]

All that sticks in my mind is how much it went up by when the Libdems were in power at West Berks!

Got to pay for the yearly renewal of road bricks somehow.

[NWNREADER]

Richard,

Whoever is the controlling party, locally or centrally, the citizens pay. If central Government support LAs with a grant, the citizens have provided that fund too. The only difference is how much is spent overall, from all sources. That is the amount we stump up one way or another.

There are no points to be scored here, as already explained elsewhere.

[Bofem]

Richard,

You may wish to look at the current WBC Medium Term Financial Strategy (p17), which was modelled on 1.9% this year and next.

[user23]

That means that we face a council tax rise of at least 2.5% next year, so realistically it could be 3, 4 or even 5%??? Hardly the picture perfect image you present via the NWN then Cllr law!!!

Why does it have to be at least 2.5% next year, if it's 2.5% this year?

I don't follow.

[Simon Kirby]

Why does it have to be at least 2.5% next year, if it's 2.5% this year?

I don't follow.

I guess the arithmatic is that the 2.5% government grant disappears and that creates a 2.5% deficit that needs to be filled.

Weren't we meant to be getting a 20% cut in council tax? Or am I getting confused? Was that a 20% cut in the grant which was meant to be covered by cuts?

[Richard Garvie]

I guess the arithmatic is that the 2.5% government grant disappears and that creates a 2.5% deficit that needs to be filled.

Weren't we meant to be getting a 20% cut in council tax? Or am I getting confused? Was that a 20% cut in the grant which was meant to be covered by cuts?

The grant from Central Government to West Berks is being cut by 28% over four years, so that money has to be found through savings and taxation.

As for point scoring, I was just highlighting that Alan Law claims that we should be praising the council for freezing council tax. Every council in the UK who raises council tax upto 2.5% will get a grant to cover it. The onlt thing is, with no grant next year, we will have to pay the difference. Unless of course the ruling administration cuts even further to ensure council tax in real terms falls by 2.5% from the coming year.

Either way, this council tax thing is happening because it is an election year. Has nothing to do with our local council in reality, and Alan Law is misleading people by claiming it's down to Graham Jones and Co.

[user23]

The grant from Central Government to West Berks is being cut by 28% over four years, so that money has to be found through savings and taxation.

As for point scoring, I was just highlighting that Alan Law claims that we should be praising the council for freezing council tax. Every council in the UK who raises council tax upto 2.5% will get a grant to cover it. The onlt thing is, with no grant next year, we will have to pay the difference. Unless of course the ruling administration cuts even further to ensure council tax in real terms falls by 2.5% from the coming year.

Either way, this council tax thing is happening because it is an election year. Has nothing to do with our local council in reality, and Alan Law is misleading people by claiming it's down to Graham Jones and Co.

What do you mean "it is an election year"?

Last year was an election year too.

[Richard Garvie]

What do you mean "it is an election year"?

Last year was an election year too.

Yeah, and what was the average council tax rise in the UK last year?

[dannyboy]

Yeah, and what was the average council tax rise in the UK last year?

I think it was under 2% - lowest increase since '93.

[Richard Garvie]

I think it was under 2% - lowest increase since '93.

Forget this year because of the locals, but what do you think the average increase will be next year if there isn't a general election?

[dannyboy]

Forget this year because of the locals, but what do you think the average increase will be next year if there isn't a general election?

Forget this year ? You asked the bloody question about last year! Under 2% was for 2009/2010.

Next year - no idea. an impossible question to ask. IF I was being paid a nice lump sum to come up with some economic forecasts I'd have to do some research & then I might be able to make an estimate.

But with the price of Brent Crude on the up & up ( 3 year high today ) purely on the possibility Libya's oil might stop flowing, who can tell?

[Richard Garvie]

Forget this year ? You asked the bloody question about last year! Under 2% was for 2009/2010.

Next year - no idea. an impossible question to ask. IF I was being paid a nice lump sum to come up with some economic forecasts I'd have to do some research & then I might be able to make an estimate.

But with the price of Brent Crude on the up & up ( 3 year high today ) purely on the possibility Libya's oil might stop flowing, who can tell?

What I meant was, it was under 2% last year as an election year. This year is 2.5% in West Berks but the UK average isn't important as we've established that a government grant is paying for any increase upto 2.5% so would be hard to establish the UK average at present until all councils have published budgets etc. Next year is a non election year, I would suspect there will be a much higher average next year.

[user23]

What I meant was, it was under 2% last year as an election year. This year is 2.5% in West Berks but the UK average isn't important as we've established that a government grant is paying for any increase upto 2.5% so would be hard to establish the UK average at present until all councils have published budgets etc. Next year is a non election year, I would suspect there will be a much higher average next year.

Next year is an election year too. The next year with no scheduled elections is 2013.

[Richard Garvie]

Next year is an election year too. The next year with no scheduled elections is 2013.

Here in West Berks, we don't have any locals or general elections though, do we?

[user23]

Here in West Berks, we don't have any locals or general elections though, do we?

No, but you were saying that "Every council in the UK who raises council tax up to 2.5% will get a grant to cover it." because this year was an election year.

I was pointing out, so is next year too.

[Richard Garvie]

No, but you were saying that "Every council in the UK who raises council tax up to 2.5% will get a grant to cover it." because this year was an election year.

I was pointing out, so is next year too.

My point still stands.

[user23]

My point still stands.

You said "Every council in the UK who raises council tax up to 2.5% will get a grant to cover it." and inferred that this wouldn't be the case next year because you thought there weren't any elections planned.

This of course isn't true, there are local elections next year.