Conservative leader Kemi Badenoch says her party has instructed lawyers to examine whether the government’s local funding cuts can be challenged, following Wandsworth Council’s proposal for a 94% increase in council tax.
The south-west London borough, run by the Conservatives, says an £84m-a-year reduction in government funding is behind the proposed rise. Badenoch described the increase as “outrageous” in an interview with BBC Newsnight and said the party was exploring whether the funding reduction could be blocked.
The planned increase would add £958 to the average bill, with half of the rise set by Wandsworth Council and the other half by the mayor of London. A Band D property currently pays just over £1,000 on average, among the lowest council tax levels in the country; the proposed change would bring the bill close to £2,000.
Badenoch said the impact would nevertheless be difficult for families, arguing that a near-doubling of council tax could create serious pressure on household budgets. She also questioned why Wandsworth was facing what she described as a 40% funding cut, while refusing to set out an alternative increase she would support.
The government has defended its approach, saying it needs to reform an “outdated” council funding system so money is directed to areas where need is greatest. A spokesperson for the Ministry of Housing, Communities and Local Government said councils decide their tax levels but should put taxpayers first, adding that measures were in place to protect councils during the transition.
A final decision on Wandsworth’s increase is due early next year. Westminster, Richmond, Kensington and Chelsea, and Windsor and Maidenhead are also considering using the Sustainable Communities Act to challenge funding reductions. The usual 5% annual cap on council tax rises has been lifted for these authorities.