Loans -
Council tax rise by 4 per cent - 29/03/2008
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Despite the growing cost of living local councils around the country will be raising the council tax by 4 per cent in order to cover a shortfall in funding.
The Department for Communities and Local Government (DCLG) said the average household bill would rise from £1,101 to £1,146.
The Local Government Association chairman, Sir Simon Milton, said: "Councils have been under a real financial squeeze during the annual struggle to keep bills down."
"The stark reality is that low council tax rises have come at a cost and many councils have had to make tough decisions on spending," he added.
This hike comes at a bad time for most people as the credit crunch has tightened budgets already with even secured loans being harder to obtain.
"The cost of living is going through the roof under Labour, and this latest round of council tax hikes will mean falling disposable incomes for working families and pensioners," said the Tory local government spokesman Eric Pickles.
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