London & Scotland Get Low Council Tax Rises

Most Londoners are looking at average council tax rises which will be lower than most of the rest of the nation as local authorities try to keep costs down in the recession. While the national average rise is forecast to be 3.5 per cent, for London it is expected to average 1.6 per cent.

Council leaders are trying to keep increases to a minimum to help keep London ticking over during the recession, with one council even cutting council tax bills. Staff redundancies and efficiency drives have helped to keep increases down.

The only borough about to raise its tax more than the national average is Richmond, where the increase is going to be 4.33 per cent. The council blamed the rise on its low government grant, which is ?148 per head; the London average is ?545.

In Kensington and Chelsea residents will actually receive a cash handout to help them through the recession. All residents will receive ?50, giving those on the lowest tax band a 6.8 per cent council tax cut.

There are still 10 councils to announce their figures for 2009-10, with 23 councils so far having set their bills.

Meanwhile, in Scotland local authorities in the west of the country have frozen council tax bills for the second consecutive year. However, bills will rise as there will be a 3 per cent increase in bills for water and sewerage from Scottish Water. West Dunbartonshire, Inverclyde and North and South Lanarkshire councils said their portion of the bill would remain unchanged.

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