Council Tax

Clive Betts Excerpts

Thursday 14th November 2024 Commons Chamber

[Matthew Pennycook]

The Government certainly recognise the pressures on local authorities and the burdens placed on households as a result of 14 years in which local government was run down. We are determined to turn that situation around, as I have said, by providing the headroom that local authorities need to get ahead of some of the challenges that they have faced for many years. That is why the more than £4 billion in new local government funding announced at the Budget, including an additional £1.3 million in the local government finance settlement, has been so warmly welcomed. That brings the total real-terms increase in core spending to around 3.2%. We remain committed to the 5% referendum cap—we believe that is the right threshold. To protect the most vulnerable, we are also committed to the single-person discount and local council tax support schemes, under which, as I am sure the hon. Gentleman is aware, more than 8 million households do not pay a full council tax bill.

[Mr Clive Betts (Sheffield South East) (Lab)]

I really do not know how the Opposition spokesperson, the hon. Member for Ruislip, Northwood and Pinner (David Simmonds), can stand there and talk about cuts and shortfalls with a straight face. We know where responsibility lies—and on the Lib Dem Benches as well. [Interruption.]

[Mr Speaker]

Order. I think that the hon. Member for Thirsk and Malton (Kevin Hollinrake) will want that Yorkshire cup of tea. It will come very quickly if he carries on. I call Clive Betts—another Yorkshireman.

[Mr Betts]

Let me take my hon. Friend on a trip down memory lane. When I first became a councillor—only 48 years ago—councils had the freedom to raise rates for domestic and non-domestic property. Should we not, at some point, start a conversation with councils and the wider public about whether thresholds at all are appropriate? Councils in this country have less freedom to raise local taxation than virtually any other councils in western Europe. Council tax itself is regressive, both between individuals and between different local authorities. Can we not start that conversation at some point?