Andy Burnham has said that "big decisions" are ahead on council tax, with a North East MP also calling for change. In a sentiment echoed by fellow Labour party members, the new Prime Minister has criticised the unfairness of the current system.
Unfair rates highlighted
This is due to some people in the UK paying higher rates of council tax than are levied on more expensive homes in London. Acknowledging the fact that people feel the current system is disproportionate, Mr Burnham also reaffirmed his commitment to Labour's 2024 manifesto.
This comes as representatives of Number 10 have denied that the government is considering replacing council tax and stamp duty with a tax based on property or land values. The PM was speaking to Laura Kuenssberg on the BBC's Panorama programme about this issue.
Burnham's comments
He said: "There are people here in Greater Manchester who pay a much higher council tax than people living in much larger homes in London."
"So the Chancellor before, Rachel Reeves, was right to start to reform council tax to create some fairness there in relation to people in homes that are of much greater value, who haven’t seen their council tax go up over the years because of the failure to revalue the banding. So that’s an example of something that I think was right and fair."
"We need to honour the manifesto upon which Labour was elected, and if I was to bring forward any changes, obviously people would rightly say, well, is this consistent with that manifesto? So there are big decisions ahead, you are right about that."
Pressure from backbenchers
Mr Burnham has previously said that he has been "persuaded" of the argument for reforming the system. According to the Fairer Share Campaign, a flat-rate annual change could save households in areas such as Hartlepool around £950 a year.
The Labour MP for the County Durham town, Jonathan Brash, who is also the chairman of the cross-party group on council tax reform, is one of a number of backbencher to put pressure on the government to change the system, saying to the i Paper that “wholesale reform” is needed.
He has previously pointed to band A homes in Hartlepool paying almost 2.5 times more than in Westminster, and he added: "Council tax is one of the most unfair taxes in Britain, and nowhere is that injustice clearer than in towns like Hartlepool."
