• News Feeds
Page last updated at 08:56 GMT, Thursday, 1 March 2012

Rejecting council tax freeze 'a folly'

Advertisement

Housing Minister Grant Shapps has said local authorities who reject the council tax freeze grant from central government and put up tax rates are "making a mistake".

He was responding to a Chartered Institute of Public Finance and Accountancy (CIPFA) report which found that one in six councils are raising council tax.

Mr Shapps told the Today programme's Sarah Montague that this is "a folly, a mistake" and councils that do so are "democratic dodgers" by keeping the rise below a rate which would force a referendum.

However, the Conservative leader of Surrey county council David Hodge, insisted that accepting central government's council tax freeze grant would have created "a black hole of £70m in five years" in the council finances.

He accused the government of "short-termism", saying that the council were on course to make savings of £330m by 2016.


Get in touch with Today via email , Twitter or Facebook or text us on 84844.

SEE ALSO

Story Tools

BBC navigation

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific