Lyons review a long awaited disapointment

Cornwall’s 5 Liberal Democrat MPs have expressed their disappointment at the long awaited Lyons review of Local Government finance, which proposes only minor reforms to the Council Tax.  The MPs have been campaigning for Council Tax to be abolished, and replaced with a fair system of local income tax, based on ability to pay – which means no one would pay more than they could afford.

Commenting, Julia Goldsworthy, Liberal Democrat Treasury Spokesperson and MP for Falmouth and Camborne, said: 

“These proposals will come as a bitter disappointment to many people who are currently struggling to afford the unfair Council Tax.  Only very modest changes to the system have been put forward and these only tinker around the edge of a tax which is fundamentally unfair and should be axed. 

“The Government has kicked these proposals into the long grass by confirming that any revaluation will not take place until after the next election.  This will do nothing to help Cornwall’s households, currently struggling to make ends meet.” 

“Council Tax based on property values means that many low income households in Cornwall are having to pay well over £1000 a year in Council Tax even though local councils have kept the rates below the national average. Because a local income tax only asks people to pay according to their ability, most households in Cornwall would see bills drop dramatically.”

Matthew Taylor, MP for Truro and St Austell, added: 

“When it comes to Council Tax, Cornwall gets the worst possible deal – the lowest wages in the country plus the fastest rising house prices. Today’s proposals do absolutely nothing to help, and the fact that Sir Lyons has suggested such timid and minimal reforms shows that this long-awaited study has been nothing but a waste of time and resources.

“What we need is the complete abolition of the unfair Council Tax system – first introduced by the Conservatives – replacing it with a system based on ability to pay.”