LVT seems like a good idea but I think that once introduced it will suffer from the same drawbacks as Council Tax does now. There are many people, probably a majority of house owners, who are land rich but income poor. The tax will have to be set at a lower level for some than for others. A few years down the and inflation will have made the tax too low and so back on the same old roundabout. Which government will have the courage to raise this tax on ''hard working people''.
I was going to add that as part of this government's policy of giving mope power to the regions that perhaps they ought to be given the power to raise extra money by way of a local income tax. This would be one way to empower local authorities and would be a powerful incentive for voters to vote locally.
I'm sure it will but it would be a way for the government to demonstrate its devolution proposals and at the same time distance itself from the consequences. It would also show how willing are the mayors are to assume responsibility for unpopular policies
I was just about to comment to the same effect. Now is the time to burn some political capital by recalibrating council tax bands. I live in hope but not expectation on that.
Here’s another tough decision: Labour need to reform council tax, stamp duty and business rates into a land value tax.
LVT seems like a good idea but I think that once introduced it will suffer from the same drawbacks as Council Tax does now. There are many people, probably a majority of house owners, who are land rich but income poor. The tax will have to be set at a lower level for some than for others. A few years down the and inflation will have made the tax too low and so back on the same old roundabout. Which government will have the courage to raise this tax on ''hard working people''.
I was going to add that as part of this government's policy of giving mope power to the regions that perhaps they ought to be given the power to raise extra money by way of a local income tax. This would be one way to empower local authorities and would be a powerful incentive for voters to vote locally.
The treasury will resist any devolution of revenue raising powers.
I'm sure it will but it would be a way for the government to demonstrate its devolution proposals and at the same time distance itself from the consequences. It would also show how willing are the mayors are to assume responsibility for unpopular policies
I was just about to comment to the same effect. Now is the time to burn some political capital by recalibrating council tax bands. I live in hope but not expectation on that.