Council Tax Debate
Full Debate: Read Full DebateDepartment: Ministry of Housing, Communities and Local Government
Richard Holden
Main Page: Richard Holden (Conservative - Basildon and Billericay)Department Debates - View all Richard Holden's debates with the Ministry of Housing, Communities and Local Government
Council Tax
Richard Holden Excerpts(2 days, 16 hours ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Matthew Pennycook
I am more than happy to commit the Local Government Minister to a meeting with my hon. Friend.
Mr Richard Holden (Basildon and Billericay) (Con)
During Prime Minister’s questions yesterday, the Government accepted that they were giving councils a maximum of £600 million, but the Local Government Association has said that there is £2.4 billion worth of pressure. Does the Minister accept that councils will have to increase their tax by about £1.8 billion to fill the gap between what the Government are offering them and what they need to provide local services?
Matthew Pennycook
As I have made clear, we do not recognise the £2.4 billion figure. It fails to take into account increases that I have already mentioned, such as the £300 million increase in business rates income and the £300 million increase in income from new, additional houses. The hon. Gentleman is absolutely right that we expect council tax to raise £1.8 billion in 2025-26, but that is in line with the previous Government’s spending plans and baked into the OBR forecast as of March 2024.