Local Income Tax is the Fairest Way Forward (Leeds Liberal Democrats)

Leeds Liberal Democrats <info@leedslibdems.org.uk>

Local Income Tax is the Fairest Way Forward

August 11, 2003 12:00 AM

Councillor Jim Souper, Lib Dem Spokesperson for Finance Issues on Leeds City Council has welcomed reports that the Treasury is set to back proposals for a local income tax as a fairer way of raising money for local Council's.

Cllr Souper said "Liberal Democrats have supported funding local government through a local income tax rather than council tax for many years. We believe that funding using local income tax reflects people's ability to pay and would make councils more accountable.

"Using local income tax the whole, or the vast majority of local services, could be funded from local people, based on their ability to pay, rather than the notional value of their property. This would make local Government more transparent and relevant to the ordinary voter."

"The Government has said it is now looking seriously at the proposal, we welcome that, but it's a long way from reforming the system. Every year the Chancellor publishes figures which show he expects local councils to raise millions more in Council Tax, but then expresses surprise when Council Tax goes up! Central Government needs to allow local government out of the straightjacket created by both Conservative and Labour Governments and introducing local income tax would be one of the best ways they could do this."