Council tax to be freezed

Published on Monday, 03 October 2011 09:10
Posted by Scott Buckler

Money to extend a council tax freeze in England to 2012-13 is being unveiled by Chancellor George Osborne


The government cannot force councils to freeze bills but it is offering to give those that limit spending rises to 2.5% the money they need.Money would also be offered to the Scottish and Welsh administrations, which will choose how it is spent.

The £805m move will be funded by efficiency savings but Labour said it would save people just £72 a year.A similar pledge was included in the coalition agreement and resulted in all local authorities in England freezing or reducing their council tax bills in 2011-12.

"Instead of just keeping that [spare Whitehall] money, we're going to use it to help families," Mr Osborne told BBC Breakfast, adding that the devolved administrations in Scotland and Wales would also be given equivalent amounts.

"It shows that this government is absolutely committed to helping people through these difficult global times, absolutely committed to helping people with the cost of living, helping families not only get into jobs and stay in work, but also help them pay those family bills."

Source: BBC

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