Households Face Paying £100 A Year More In Council Tax

West Lancashire Borough Council states “We aim to deliver the best possible services within the resources available and as a public body spending taxpayers’ money we work hard to ensure that the Council gets value for money from its spending. In 2020-21 we propose to spend a total of £86.411m on providing day to day services for the local community. This spending will be funded by £78.289m of income raised through grants, rents, interest, fees, charges and other sources resulting in a council tax requirement of £8.122m. The budget that has been set requires an increase in the council tax level of £5.00 for a Band D Property, which is equivalent to a 2.46% increase”. 

“The Council Tax for West Lancashire Borough Council for the average Band D property in 2020-21 will be £208.39 per year or £4.00 a week. Around 11% of the Council Tax comes to the Borough Council. The total council tax includes charges from Lancashire County Council, Lancashire Fire and Rescue Service and Lancashire Constabulary. The Council Tax for some areas will also include a parish Council precept”.

West Lancashire Borough Council£208.39£203.392.46%
Lancashire County Council£1,400.32£1,346.593.99%
Lancashire Combined Fire Authority£70.86£69.481.99%
Lancashire Police Authority£211.45£201.454.96%
Total£1,891.02£1,820.913.85%

From The Times

Council tax bills will increase by £1.8 billion from April under new rules that allow local authorities to put up rates without consultation, official forecasts have shown.

The Office for Budget Responsibility (OBR) estimates that two thirds of councils will increase their taxes by the maximum 5 per cent, costing households up to £100 a year. Over five years bills will increase by a total of about £7.5 billion.

In November the government loosened rules on the amount that local authorities could charge. Previously, any council wanting to increase taxes by more than 2 per cent would have to hold a referendum. That limit has been increased to 5 per cent. An average band D property will pay between £50 and £100 more council tax a year. The OBR projects that by 2025-26, the council tax take will rise from £38.1 billion to £45.6 billion.

The Local Government Association, the membership organisation representing local authorities, said “Councils face the tough choice about whether to increase bills to bring in desperately needed funding to protect our services at a time when we are acutely aware of the significant burden that this could place on some households. Council tax rises particularly the adult social care precept have never been the solution to the long-term pressures faced by councils, particularly in social care, which is desperately in need of reform.”

Labour has attempted to apply pressure on the issue of council tax rises in recent months. Reacting to the budget this week leader Starmer said that the increase would hit those on lower incomes “very, very hard”. But a recent survey showed that Labour councils were twice as likely as Conservative councils to increase taxes by the maximum amount. Eight in ten Labour authorities told the Local Government Chronicle that they would increase bills by 5 per cent, compared with four in ten Tory councils.

Public Comment? “Roughly a third is used to pay gold plated pensions to former councillors and employees. £9.5bn in the financial year 17/18. Most Council tax payers don’t have an employer-sponsored guaranteed index linked pension. My local council has made some questionable investments in property schemes yet no aparatchik is ever held to account for their cock ups”.

The West Lancashire Borough Council Staff Pension Liability?

“The value of the net pension liability in the 2019/20 accounts has reduced by £3.426m to £53.147m. The net pension liability represents the excess of long term accrued liabilities, assessed on a prescribed basis, compared with the market value of pension assets. Statutory arrangements for the funding of the pension scheme mean that the financial position of the Council remains healthy”.

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