The Real Alternative to Council Tax
April 20, 2005 8:38 PM
"The Liberal Democrats are the only one of the three main parties offering a real alternative to the Council Tax," according to Crosby candidate Jim Murray.
"We are proposing to scrap the unfair Council Tax and replace it with a local income tax that will better reflect people's ability to pay," he said.
"In doing so, and in typical Liberal Democrat fashion, we have been honest enough to admit that there will be some people who would pay more under such a system. However, many would be better off and, crucially, the local income tax would better reflect each person's changing circumstances." For example, in a household with two adults working full time, local income tax would reduce if one of them took a career break, whereas their Council Tax would remain the same (unless their household income fell to such an extent that they qualified for Council Tax benefit).
Work has recently started on a re-evaluation exercise to set new Council Tax bands across England. Given the rise in property prices in recent years, this is likely to result in many people getting a rather unpleasant surprise when they discover their new Council Tax band in 2007. Jim Murray says: "All the parties are aware of this looming problem, but only the Liberal Democrats are offering a fair solution for the long term. Don't be fooled by those who have been driven to announce last minute panic proposals that did not even feature in their manifesto."
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