Council tax raid: Calls to DOUBLE TAX to meet Labour's housing targets

Man looking stressed and pounds

Britons face paying more council tax under a new proposal

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Patrick O'Donnell

By Patrick O'Donnell


Published: 15/10/2024

- 12:11

Households across the country are at risk of being targeted in a council tax raid if Labour's housing targets are to be met, according to new research.

Town halls are sounding the alarm that the new Government's goal to build more affordable housing may not be achievable without a 10 per cent tax hike.


Analysis suggest that 84 per cent of district local authorities do not have enough cash to pay for the needed planning officers.

These positions are required to assist the Government in reaching its goal of 1.5 million new homes within the next five years.

Chancellor Rachel Reeves is under pressure to rollout millions of pounds in pounds in additional funding for planning departments by the District Council Network (DCN).

Reeves is preparing to outline Labour's fiscal agenda as part of the Autumn Budget on October 30 with speculation widespread over what will be included.

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Woman looking at letter and council tax form Council tax receipts have skyrocketed in recent years GETTY

The DCN is pushing for extra funding and for council tax to be increased by 10 per cent to ensure targets are met within the next five-year period.

As it stands, councils are permitted to raise the levy by 4.99 per cent which means the network is calling for the tax to be doubled.

According to Richard Wright, the DCN’s planning and growth spokesman, a lack of funding may result in unsafe and sub-par housing.

He claims well-built accommodation is required to meet future local needs and ensure a future housing crisis does not take place.

He explained: "Councils are essential partners for the Government to achieve its national mission of driving growth and new homes – but we need to enhance and retain local expertise to do this successfully.

"Planning departments have been among the most impacted in recent years as shrinking budgets have forced councils to reduce spending – but if the Government’s house-building revolution is to succeed, we need a step change in the recruitment and retention of planners.

"Properly resourced planners can help ensure the Government’s house-building plans will bring about hundreds of sustainable and well-sited new communities that provide housing which will stand the test of time.

"With degraded planning expertise, we risk building housing in isolated locations which are beset by social problems, and in which no one wants to live."

Council tax bill in picturesTaxpayers are struggling with the unsustainable burden of council taxPA

Matthew Pennycook, Labour's Minister of State for Housing and Planning, has reiterated the Government's commitment to addressing the UK's lack of quality housing.

He has previously outlined his intention end to local plans coming forward with housing targets "way under their need".

Pennycock has issued a warning to councils that he is "more than willing to use all the intervention powers that the Government has" to make sure requirements are met.

GB News has contacted the Ministry of Housing, Communities and Local Government of the United Kingdom.

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