UK Tories Up In Arms Over Labour Council Tax Moves

by Jason Gorringe, Tax-News.com, London

26 October 2006

The UK's Conservative Party has this week condemned new powers for council tax inspectors in Northern Ireland, which were discussed in the House of Commons yesterday.

Under the proposed regime, officials in Northern Ireland would be permitted entry to council taxpayers' homes in order to value them.

In a statement, the Tories announced that:

"Earlier this year, Conservatives warned that a controversial new system of local government taxation is being quietly introduced into Northern Ireland as a testing ground for England's looming council tax revaluation."

"Unlike council tax, householders will face a 'house price tax' - a levy based on the set percentage of the value of their home each year. This tax will hit Northern Ireland in April, while Gordon Brown's review of town hall finances is actively looking at the same system for England."

"Meanwhile, Labour is quietly pushing new laws through Parliament to give council tax inspectors in Northern Ireland the right to enter homes and fine householders up to GBP1,000 a time, plus up to GBP200 every day after that, if they do not allow the inspectors into their homes, or fail to 'assist' the tax snoopers when inside their properties."

It continued darkly:

"Under a 'Big Brother' databases tax scheme covering home improvements, 'site positive' features like gardens, patios, conservatories, double glazing, scenic views, the number of bedrooms and parking spaces, will all qualify for higher tax bills. The information will be fed into a 'Computer Assisted Mass Appraisal' database - the same 'Big Brother' technology that has been bought for both England and Northern Ireland."

However, the Labour government has hit back, accusing the Conservatives of "scaremongering", and denying that the planned changes in Northern Ireland necessarily represent a pilot scheme for the rest of the UK.

According to government officials, ministers will not make any decision on English council tax changes until the publication of the Lyons review later this year.

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