Lib Dems oppose Labour's council tax increase

11.55.00pm UTC (GMT +0000) Sun 26th Feb 2006

Cllr Ian Gerrard says the council tax should be abolished

Liberal Democrat councillors in Greenwich this week voted against Labour's plan to increase council tax by nearly 4%.

Speaking during the debate Cllr Ian Gerrard (Middle Park & Sutcliffe) said that the increase follows the "massive increase in domestic electricity and gas bills, the withdrawal of the Government's £200 subsidy for pensioners and only a 2.7% increase on pensions. This means that those hit hardest will be our older citizens and our most vulnerable."

"This is why the council tax should be scrapped and replaced by a local income tax based on people's ability to pay" added Cllr Gerrard.

"Labour plan to use the council's reserves to fill the hole in their budget. The problem is that reserves are a one-off, they won't be available next year. This means that under Labour's plans after the election there will either be a massive cut in services or a significant council tax increase."

"Since 2002 the Labour council has increased the council tax by nearly 20%, or by 28% when you include the Mayor of London's tax as well!"

"This is a political budget for an election year - one where Labour is hoping that the voters in Greenwich aren't looking too far into the future!"