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CIPFA proposes end to council tax: but the alternative funding method resembles poll tax.

Document Cited in Related
Vincent
AuthorBerens, Camilla
PositionPublic Finance - Chartered Institute of Public Finance and Accountancy

The Chartered Institute of Public Finance and Accountancy (CIPFA) has presented proposals to the government for an alternative system to council tax. The institute is among a number of bodies that have been brought together by the minister for local and regional government, Nick Raynsford, to consider other methods of funding council services.

The balance of funding review steering group was set up last year in response to concerns that councils rely too much on money from central government, and that the present situation limits their autonomy and accountability.

"Recent increases in council tax raise pressing questions about the right way to finance local government," Raynsford said. "The review is an opportunity to consider how we can build on our long-term strategy of extending local freedoms and improving the quality of service."

CIPFA presented the results of its research into the local income tax (LIT) system last month. "The idea of LIT has been around for about 30 years, but the technology has not been in place to support it effectively until now." said Phillip Ramsdale, executive director of the Institute of Public Finance...

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