Council tax bills to rise by up to 25%

Both Ealing and Hounslow are telling residents that unless they are willing to accept significant cuts their tax bills will rise by a quarter

 

LB Hounslow's tax consultation

OPTION ONE 12.2% INCREASE
£102 for band D properties - Cuts and savings of £4.118 million including:

  • Staffing reductions across all services
  • Reduced maintenance of parks
  • Cuts to support services for teachers
  • Cost efficiencies and investing to save, such as investigating whether an independent sector organisation can run domiciliary care
  • Reduction in daycare support
  • Reduced funding for voluntary sector
    Increases in charges for leisure centres and land charges

OPTION TWO 18.5% INCREASE
£3 per week for a band D property -This would avoid most of the cuts in option one
Both the local councils that cover the Chiswick area are set to stun residents with massive increases in tax from this March.

The London Borough of Hounslow is to ask residents to choose how much tax they pay with the lowest option given to residents in a forthcoming consultation being 12.2% The alternative, which will avoid a series of planned cuts, envisages a stunning 18.5% increase. Hounslow already has the fourth highest taxes in London.

The Council will be consulting residents on decisions for next year’s budget over the coming weeks. Around 75% of funding for local services, such as schools and libraries, comes from the Government in the form of grants whilst the balance is paid by Council Tax. This year sees a new ‘Formula Spending Share’ (formerly Standard Spending Assessment) which both Councils claim has reallocated resources from London to other parts of the country.

The precept levied by the Mayor for London to cover the services operated by the Greater London Authority will be announced in mid February and this will be in addition to the boroughs' Council Tax. This is expected to be announced in mid February and the indications are that it will be raised by 38% bringing the total rise in tax bills to around 25% in both boroughs.

Cllr John Chatt, Leader of the London Borough of Hounslow said “Like all London boroughs, Hounslow faces tough choices this year. London’s settlement has been below other parts of the country, which does not allow us to continue funding our services at existing levels. As a result many London boroughs are looking at higher than usual tax increases this year."

He said that the proposals are based on the recommendations of the cross-party Scrutiny Committee who looked in detail at the cuts and saving proposals. He added, "Based on this cross-party view we have put forward two budget options that we believe will limit the impact on vital community services and give the Council the chance to modernise and look to the future. I know that no tax rise is ever welcome but we also know that protecting local services is a priority for our residents.”

John Cudmore leader of Ealing Council said, "In order to make sure there are no significant cuts in services, there could be an estimated council tax rise of up to 25%.". The figure is likely to be finalised towards the end of February.

Residents of Ealing borough pay a lower level of tax than those in Hounslow but Ealing was recently given a "weak" rating by an audit commission report whereas Hounslow was rated "fair".

LBH will be giving residents the chance give their preferred budget option with a postcard and telephone survey and online via their web site.

January 30, 2003

Participate in the consultation on-line for Hounslow

Sign up for our free weekly newsletter

Current Council tax rates

Tax rises for both Ealing and Hounslow Boroughs (2002)

Does Chiswick pay the highest tax in London?