Should some of us be paying a lot more council tax?

A consultation on an increase for the most valuable homes in Scotland is launching

It could be upped by as much as 22.5% for the most valuable homes in Scotland.
Author: Craig Paton, PA ScotlandPublished 12th Jul 2023
Last updated 12th Jul 2023

A consultation seeking views on increasing council tax by as much as 22.5% for the most valuable homes in Scotland has been launched.

If implemented, the plans would see council tax for homes in bands E, F, G and H increased on a sliding scale of 7.5%, 12.5%, 17.5% and 22.5%, to address concerns about the fairness of the charge.

Some 28% of properties in Scotland are believed to be in the bands that would be impacted.

After the increase, the Scottish Government said, the average payment in the highest band would be £4,251 per year.

READ MORE: Council tax to rise by 5% as Glasgow City budget agreed.

As the consultation was launched on Wednesday, public finance minister Tom Arthur said: "We have listened to calls for the council tax system to be made fairer, as presently more of the burden falls on those in the lower bands when considered as a proportion of the value of their property.

"The changes would only affect around a quarter of properties and even after they are taken into account, average council tax in Scotland would still be less than anywhere else in the UK.

"We know that many people are struggling with their finances and our council tax reduction scheme is there to ensure nobody has to pay a council tax bill they cannot be expected to afford, regardless of what band they are in.

"I would encourage anyone who has views on these proposals to complete our consultation before it closes on September 20 2023, to help us determine if they should be taken forward."

READ MORE: Council tax in Renfrewshire to rise by 6% after budget approved.

News of the plans leaked earlier this month, with the Daily Record newspaper obtaining a Cosla report, leading to Dave Moxham of the STUC claiming the proposal is "tinkering around the edges" when the whole system should instead be scrapped.

Katie Hagmann, resources spokeswoman at Cosla, said: "For many years there have been calls to make the council tax system fairer.

"We are pleased to be working jointly with the Scottish Government to explore ways that we can achieve this.

"A fairer and more progressive council tax is what the proposals in this consultation aim to do."

Scottish Tory local government spokeswoman Liz Smith said the "bombshell proposals" would "terrify people struggling to cope with the global cost-of-living crisis".

She added: "Rather than even considering these eye-watering hikes, SNP-Green ministers should finally give our councils the fair funding deal they deserve, which the Scottish Conservatives have repeatedly called for."

Hear all the latest news from across Edinburgh, the Lothians, Fife and Falkirk on Forth 1. Listen on FM, via the Rayo app, on DAB or on your smart speaker.