Department for Communities and Local Government
100 councils set to freeze Council Tax as authorities sit on £30 billion
Local authorities take up the government's Council Tax freeze grant and keep bills down for taxpayers.
Local Government Secretary Eric Pickles yesterday (10 February 2015) welcomed the news that over 100 local authorities are set to freeze or lower their Council Tax this year.
New figures showed that 114 town halls and police authorities will take up the offer of the government’s freeze grant, with 8 set to reduce bills for taxpayers.
And the news came as a government analysis showed councils’ have at least a further £30 billion available to them in reserves and uncollected income.
Council reserves stood at £21.4 billion at the end of the last financial year – up from £14.3 billion in 2010 to 2011 – an increase of 50% in just 4 years.
During the same period, town halls failed to collect some £2.5 billion of Council Tax and arrears and lost £2.1 billion to fraud. They also have £220 billion worth of assets on their books, of which £2.5 billion is earmarked as ‘surplus to requirements’.
Speaking ahead of a vote by MPs on the Local Government Finance Settlement for 2015 to 2016, the Secretary of State said the figures showed that it was still possible to provide good frontline services and keep Council Tax down.
Eric Pickles said:
It’s great news that so many local authorities have already promised to keep bills down for taxpayers and take up our support for freezing or reducing Council Tax.
Councils account for a quarter of public spending and every bit of the public sector must do its bit to pay off the deficit. But there are more than enough sensible savings to be made before hardworking families should have to foot any more of the bill.
Reserves have rocketed up in the past few years and councils could be making better use of assets to keep taxes down and protect frontline services, while at the same time doing more to stop the billions they are losing to fraud and collecting more Council Tax arrears.
The government has provided potential savings worth up to £1,100 for the average band D bill payer with 5 successive years of Council Tax freezes, keeping Council Tax bills down by 11% in real terms since 2010.
Public satisfaction with local authority services has increased – 6 out of 10 people think services are the same or better than 5 years ago.
Spending power reductions for local authorities this year average 1.7%.
- Local authorities reserves, uncollected income and authorities intending to freeze or reduce Council Tax. (PDF, 385KB, 5 pages)
Office address and general enquiries
2 Marsham Street
Contact form http://forms.communiti...
General enquiries: please use this number if you are a member of the public 030 3444 0000
Please use this number if you're a journalist wishing to speak to Press Office 030 3444 1201
Latest News from
Department for Communities and Local Government
Proposals for unitary local government in Cumbria, North Yorkshire and Somerset23/02/2021 08:10:00
Residents, businesses and service providers will have the opportunity to have their say on what will work best for their area.
Jenrick confirms Housing Department Wolverhampton HQ in historic move22/02/2021 14:20:00
The Ministry of Housing, Communities and Local Government will create a second headquarters in Wolverhampton.
Government plan to transform Oxford-Cambridge Arc into UK's fastest growing economic region19/02/2021 08:10:00
Spatial framework plan will help to create thousands of jobs, drive investment, protect and enhance the environment.
Housing Secretary extends support for renters during pandemic16/02/2021 08:10:00
Renters will continue to be supported during the ongoing national lockdown restrictions, with an extension to the ban on bailiff evictions.
£125 million allocated to councils to support domestic abuse victims and their children15/02/2021 08:10:00
Funding will help ensure victims and their children who need it are able to access life-saving support in safe accommodation.
Funding boost provides councils with certainty to plan for year ahead with £51 billion funding package11/02/2021 12:10:00
Local government finance settlement confirmed for next year with councils to share £51.3 billion, an increase of £2.3 billion.
Government to bring an end to unsafe cladding with multi-billion pound intervention10/02/2021 16:10:00
Housing Secretary unveils a 5-point plan which will provide reassurance to homeowners and confidence to the housing market.
Top local entrepreneurs help plan boost to Midlands' economy09/02/2021 16:10:00
Communities Secretary brings together entrepreneurs and business leaders from across the Midlands as part of the government’s plan to level up the regions.