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3 October 2011

Council tax freeze extended

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by Gill Montia

Council tax freeze extended

Councils in England are to receive an extra £805 million from Government to help them freeze council tax during the 2012-13 financial year.

The support comes on top of the £650 million already provided to encourage council tax freezes, and means that households living in an average B and D home could be spared a £72 increase next year.

The Department for Communities and Local Government will be writing to all English local authorities shortly with details of the latest scheme, at the same time providing a breakdown of estimated grants to help with budget planning.

Councils that keep their band B and D council tax at this year’s level will receive a one-off grant equivalent to a 2.5% increase in the tax, and local authorities bold enough to reduce their council tax will be eligible for the same support.

Chancellor of the Exchequer, George Osborne, says: “The second year’s council tax freeze will give real help to households in difficult times.”

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