Sir Keir Starmer, Labour Party leader, has refused to categorically rule out a rise in council tax if his party wins the upcoming general election. During an interview with LBC Radio on Tuesday, Starmer consistently deflected questions about whether he would carry out a revaluation of council tax bands.
Despite repeated probing, Starmer maintained that Labour’s current plans do not involve any tax increases, countering persistent Conservative claims that a Labour government would raise taxes.
Council Tax Under the Microscope
Labour’s position on council tax has faced growing scrutiny in recent days. The spotlight turned on Starmer when LBC Radio host Nick Ferrari, following a question from a caller named Sid from Caistor, Lincolnshire, pressed him on the party’s council tax policy.
Sid inquired whether Labour would reconsider council tax bands or change tax arrangements for private pensions, given their stance against increasing VAT, income tax, or national insurance. Starmer responded, “None of our plans require tax rises over and above the ones we have set out.”
Labour’s Ambiguous Stance
When Ferrari directly questioned if this included a council tax band revaluation, Starmer stated, “What I am not going to do is sit here two-and-a-bit weeks before the election and write the budgets for the next five years.” He emphasized that Labour’s focus is on economic growth, raising living standards, and creating wealth, insisting, “None of our plans require a tax rise.”
Earlier that day, shadow business secretary Jonathan Reynolds seemed more definitive, telling ITV’s Good Morning Britain, “No, we have this week said that’s not part of our plans.” He emphasized that Labour’s manifesto details all their revenue-raising measures aimed at boosting public services.
However, the clarity was muddied when Reynolds avoided ruling out a future change to council tax bands. He reiterated that Labour would not draft future budgets during the election campaign but stressed that the manifesto outlines specific revenue sources.
Conservative Criticism
The Conservative Party has pressured Labour to explicitly rule out abolishing referenda on council tax increases. Currently, councils must hold a referendum if they wish to raise tax beyond the parliament-set limit of 4.99%. The Tories argue that Labour’s failure to commit to maintaining this rule implies they would eliminate it if elected.
Communities secretary Michael Gove accused Labour of avoiding clarity on tax plans, stating, “We are simply holding Labour to the standard they set for themselves. If they can rule out higher taxes in one area, they should be able to rule out letting councils increase taxes on hardworking families.”
As the general election approaches, the debate over council tax and potential revaluation remains a contentious issue, with both major parties vying to reassure voters about their fiscal intentions.