Communities and Local Government written question – answered at on 14 October 2009.
To ask the Secretary of State for Communities and Local Government whether a council is compensated via the local government finance settlement for a smaller tax base as a consequence of households successfully appealing against their council tax banding and moving to a lower band.
The distribution of formula grant to local authorities in England takes account of the socio-economic and demographic characteristics of the authority, together with its relative ability to raise council tax, expressed in terms of the council tax base. We then ensure that every authority receives at least a minimum percentage increase (the 'floor') year-on-year on a like-for-like basis. In order to pay for the cost of the floor, we scale back the increase in grant above the floor for other authorities.
Since the introduction of multi-year settlements, we have used projected tax base data in the calculation of formula grant. The starting point for the tax base projections used in the current three-year settlement, covering 2008-09 to 2010-11, is the tax base as at
If a household moved into a lower band before the
Yes0 people think so
No0 people think not
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