Angela Watkinson

Conservative Party | Upminster

Tax question

Angela Watkinson (Upminster): What assistance can the Secretary of State offer this year to local authorities such as the London borough of Havering, which receive a perversely low settlement under the current system? What help can he offer the council tax payers who suffered the third highest increase in the country last year—12.5 per cent.—and who face a possible increase this year of more than 20 per cent? Why is he not receiving any delegations this year?

Mr. Byers: As for Havering, on any judgment the settlement announced last week is obviously generous. The local council in Havering will have to explain why it is even considering a council tax increase at the suggested level.

Given the funding that is being made available and, indeed, the additional funds that may be made available as a result of the abolition of the council tax benefit subsidy limitation scheme—which will benefit a number of local councils—the council needs to consider the level of council tax increase that it should be setting. There is no good reason for that proposed increase, as we have made clear. On receiving representations, we are adopting the same policies as successive Governments—Conservative as well as Labour.