Local MP Quizzes Government On Council Tax

22.10.03

Davey urged Ministers to save 'hundreds of millions for taxpayers'

Kingston and Surbiton's MP Edward Davey at this week's ODPM Questions urged Ministers in the House of Commons to scrap Council Tax and save the taxpayers hundreds of millions of pounds. In light of new Liberal Democrat analysis that shows collecting and administrating the Council Tax cost over half a billion pounds last year, the local MP used today's question time to the Office of the Deputy Prime Minister to press the Government to consider Liberal Democrat proposals.

Local Government Minister, Nick Raynsford, confirmed in answers to Liberal Democrat Questions in the Commons today that the Government would now study local income tax, and Edward Davey has written to the Ministers offering Liberal Democrat assistance but warned that any local income tax policy must include scrapping council tax.

Edward Davey Commented:

"It is very welcome that the Liberal Democrats' local income tax policy is now to be looked at by Ministers, as it's the only fair local tax. Yet the Government has still failed to pledge to scrap the unfair council tax.

"Labour inherited this unfair tax from the Conservatives, so what is stopping Ministers addressing the council tax problem directly? Council tax is now so unfair to millions of pensioners and people on low incomes that it must be scrapped.

"The danger of the Minister's position is that it could lead to Labour adding local income tax on top of council tax. That would be a two tax solution, to a one tax problem.

"Local income tax is about fairer tax, not more tax, so Liberal Democrats will be pressing the Government to scrap council tax too."