Council tax rise funding obstacle

Date published: 01 February 2013


THIS year’s council tax rise could see Oldham Council lose out next year.

The Chronicle reported how the council is proposing to raise the rate by 3.5 per cent - but has dodged a referendum as the basic tax rate would only increase up to an allowed two per cent, the rest being levies on transport, waste, fire and police services.

Communities Secretary Eric Pickles has threatened that councils using loopholes on the rules “will lose out next year.”

He added: “Authorities have a duty to support their residents. I don’t have a problem with councils that want to put up council tax if they have a good reason, to fund local opportunities.

“But I do have an issue if they don’t ask permission first. If the public believes you’ve got a sensible case, they might well listen. But councils should also stop treating residents with contempt.

“We will take into consideration anybody cheating their taxpayers. Anybody using loopholes will lose out next year.”