The Journal reported in September that B&NES Council Chiefs were to focus savings in the Council Tax rebates on those of working age. The Council wants to recover the full amount of the reduced support from Government and has a number of strategies for doing that.
The Government has ordered Councils to protect the elderly etc. from the effect of these cutbacks, meaning that any cuts passed on by the Council will fall heavily on those of working age. B&NES Council initially was looking for around 20% savings from this group, but two months later, that has risen to 25%.
The Council is also planning a number of changes to its Council Tax rules to raise about an extra £500,000.
At the moment, second home owners are entitled to a 10% discount, this is to be abolished, increasing revenue by £118,000, claim B&NES.
An empty property tax of 150% is to be introduced to generate £140,000.
Homes which are not habitable while awaiting structural repairs will no longer be Council Tax free – producing a further £150,000.
Empty properties up for sale etc., which currently qualify for up to six months free of Council Tax will lose this exemption and this will produce £69,000 p.a. for B&NES.
Town and Parish Councilrates may have to rise, even if B&NES manages to hold its Council Tax steady, according to figures published by B&NES. The situation is not yet clear as the Government is still considering how to deal with Parish precepts. The worst case scenario would see most Parish and Town rates rise by 9–11% for the same level of expenditure.
However, in Radstock, the potential rise could be around 17%. Radstock Band D properties currently pay £1,566, including £135 for their Town Council. This would rise to around £158, making the Council Tax on a mid-range home £1,589.
The highest Council Tax paid in Westminster for a £100 million home is £1,369. Let's all be clear, there is something very wrong here!