Labour forcing up council tax even more in Lambeth

7.08.48pm BST (GMT +0100) Sun 21st Oct 2007

Vauxhall Liberal Democrats have warned that council tax could rocket over the next three years because of the Labour Government's decision to squeeze the cash given to councils.

For every pound spent by councils, on average, 75p of it comes from central government as part of a cash grant to help pay for local services. But the Government's spending plans for the next three years, called the Comprehensive Spending Review, will slam on the brakes and massively restrict the money Whitehall based ministers give to councils.

Liberal Democrats in Vauxhall have warned that Lambeth's Council Tax may increase well above inflation.

Vauxhall Liberal Democrats Parliamentary Spokesperson Caroline Pidgeon said, "Labour's spending plans are based on council tax rising at double the rate of inflation over the next three years. That will mean big council tax increases for residents in Lambeth.

"Labour have no plans to reform council tax, the unfairest tax in the country. The Conservatives will also keep council tax. But Labour are making a bad situation worse by forcing up council tax by more than inflation.

"This is bad news in particular for the elderly residents in Vauxhall who have fixed incomes or who saved all their lives and as a result are refused council tax benefit".

The Liberal Democrats would scrap Council Tax and introduce a fairer local income tax, based on your ability to pay.