Labour’s £100 Council Tax Bombshell

On Wednesday 2 March 2011, Labour councillors voted against a Council Tax Freeze for Newcastle's residents (Evening Chronicle 3 March 2011).

The Lib Dem budget which proposed to save £44.1 million from the Council's budget and to freeze Council Tax for Newcastle's residents over the coming year was approved.

Despite refusing to publish any budget plans of their own, Labour councillors called for a series of savings to be reversed during the budget debate but made no serious proposals on where the money could be found.

When added up, Labour's proposals would mean the Council having to find an additional £8,026,000. This could only come from a Council Tax rise of 6.79%, or an extra £102.56 a year for a Band D home.

Commenting on Labour's Council Tax bombshell Cllr Peter Allen, the Lib Dems finace spokesperson, said "It is no wonder that Labour councillors do not want anyone to examine their plans. Between 1998 and 2004 Labour raised Council Tax in Newcastle by 6.6% a year. Seven years later and nothing has changed - they still want to fleece Newcastle's residents."