Issue - meetings

That having considered the Welsh Government (phase 2) proposals to reform Council Tax, the Committee’s view that the most radical reforms be implemented as soon as possible be fed back to Cabinet.

The Chief Officer (Governance) presented a report on the phase 2 Welsh Government (WG) consultation which sought views on the ongoing Council Tax reform programme, following phase 1 consultation in September 2022.  Feedback from the Committee on the recommended responses would be shared with Cabinet prior to a formal response being submitted.

The Revenues & Procurement Manager provided an overview of the implications of the WG proposals which involved:

·         Completing a council tax revaluation.

·         Designing a new system of tax bands and rates that is more progressive.

·         Improving the framework of discounts, disregarded persons, exemptions, and premiums.

·         Improving the Council Tax Reduction scheme.

In addition to the proposals, the consultation also sought views on the pace of reform as set out in the three options.

Councillor Alasdair Ibbotson spoke in support of reform with the full 12-band property structure which appeared to represent the best financial option for Flintshire, and he queried why this had not reflected in the recommended response.  He went on to query reference to Disability Living Allowance within the response as this was no longer available to new claimants and proposed that the Committee reject the definition of ‘progressive’ tax in the glossary of the report.

He was seconded by Councillor Sam Swash who spoke in support of ‘expanded’ radical reforms which were seen as the most progressive and should be implemented as a matter of urgency.  His comments were endorsed by Councillor Bernie Attridge.

Councillor Andrew Parkhurst pointed out the difficulty in assessing the impact of expanded reforms as no banding ratios were shown.  The Revenues & Procurement Manager said that these were not included in the consultation paper and that he would verify this.

In welcoming the consultation, Councillor Ibbotson said that WG could take the opportunity to shift the tax burden onto the owner of the property as opposed to the resident.

The Revenues & Procurement Manager said it was important to note that the overall effects of revaluation on local government finances would be generally cost neutral for all options.

Following the debate, the Chief Officer (Governance) summarised the general consensus that the Committee favoured the most radical step to be implemented as soon as possible.  Having been moved and seconded, the proposal was put to the vote and carried.

RESOLVED:

That having considered the Welsh Government (phase 2) proposals to reform Council Tax, the Committee’s view that the most radical reforms be implemented as soon as possible be fed back to Cabinet.