Council Tax

Department for Communities and Local Government written question – answered on 22nd December 2015.

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Photo of Lord Beecham Lord Beecham Shadow Spokesperson (Housing), Shadow Spokesperson (Communities and Local Government), Shadow Spokesperson (Justice)

To ask Her Majesty’s Government what steps they will take to ensure that local authorities with a low council tax base are not disadvantaged in relation to authorities in more affluent areas by the new power to raise council tax by 2 per cent in order partially to offset cuts in social care following the Comprehensive Spending Review.

Photo of Baroness Williams of Trafford Baroness Williams of Trafford The Parliamentary Under-Secretary of State for Communities and Local Government

The Government recognises that councils have varying capacity to raise money through council tax. The Secretary of State for Communities and Local Government set out, in the provisional local government finance settlement 2016-17, proposed changes to rebalance support, including to those authorities with social care responsibilities, by taking into account the main resources available to councils. In particular, he published illustrative allocations for the extra funding we are providing to local authorities for adult social care through the improved Better Care Fund: these allocations directly take into account the council tax-raising capacity of authorities.

I refer the noble Lord to information accompanying the Oral Statement made on 17 December, Official Report, Column 2238-2239 (attached).

Further details are available on the Government website at https://www.gov.uk/government/publications/council-tax-in-2016-to-2017 and https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/486708/Core_spending_power_supporting_information.xlsx

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