Council Tax: Disposable Income
The question
To ask the Secretary of State for Housing, Communities and Local Government, if he will make an assessment of the potential impact of above-inflation council tax increases in each year of the multi-year finance settlement on family disposable incomes.
Answered by Alison McGovern
Council tax levels are decided by local authorities. For the vast majority of councils, the government intends to maintain a core 3% referendum principle and a 2% adult social care precept for each year of the multi-year settlement. Councils are required to put in place council tax support schemes to support those on low incomes.
Referendum principles must be determined by the Secretary of State annually and approved by the House of Commons. This will be done each year as part of the annual local government finance settlement in the usual way.
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