Council tax bills are set to rise by an average £70 next year (a 4% rise which is more than double the rate of inflation)
- Ministers will give town halls the power to put up the levy by 2 per cent in April
- On top of this, they will be able to add a further 2 per cent to pay for social care
- This combined 4 per cent increase could see the bill going up by £70 next year
- Housing Secretary Robert Jendrick revealed the plan in a statement yesterday
Families were hit with a pre-Christmas bombshell last night after it emerged that average council tax bills could soar by £70 next year.
Ministers revealed they would give town halls the power to put up the levy by 2 per cent in April. On top of this, they will be able to add a further 2 per cent to pay for social care.
This combined 4 per cent increase could result in the average Band D council tax bill going up from £1,750 in 2019/20 to £1,820 next year. Those in more expensive Band H homes could see their bill rising by £140.
Ministers revealed they would give town halls the power to put up the levy by 2 per cent in April. On top of this, they will be able to add a further 2 per cent to pay for social care
The announcement means local councils will be left footing the bill for elderly care, years after the Tories promised to solve the social care crisis.
Housing Secretary Robert Jenrick revealed the council tax settlement in a written ministerial statement yesterday. Such an important announcement is usually made by the minister speaking to the Commons in person.
Mr Jenrick did not announce whether police authorities will also be allowed to put up the amount they charge, meaning the rise could be even higher.
In his statement, he said town halls would be able to put up council tax by more than 2 per cent if they held a local referendum and that all councils would be able to add a further 2 per cent for social care.
He said: ‘We recognise the importance of addressing the challenges in our social care system.
‘We will do all we can to support local authorities. The proposals I have published today will allow local authorities to access an additional £1.5billion for social care.
Housing Secretary Robert Jenrick revealed the council tax settlement in a written ministerial statement yesterday. He said the proposal comprises ‘£1billion of additional grant’
‘This comprises £1billion of additional grant – for both adult and children’s social care – and a proposed 2 per cent council tax precept for adult social care, which will enable councils to access a further £500million.’
He added: ‘This package will mean that the average council tax increase for 2020/21 will be the lowest since 2016/17.’
The possible rise in council tax is more than double the current rate of inflation, piling pressure on family budgets.
The Conservatives have been promising a solution to England’s social care crisis since they were elected in 2010.
But nothing has come to light yet, leaving local authorities to deal with the issue.
In the general election, Boris Johnson pledged to hold cross-party talks to come up with long-term reforms.
He said any change must ensure that people do not have to use the value of their home to pay the cost of their care.
However, with the Opposition in disarray, it is unknown when the social care talks will get under way.