Lilley: State pension rise grabbed back in council tax

- Tuesday, 8th April 2003

 

Peter Lilley MP published new research today showing how pensioners in Hitchin and Harpenden are suffering from higher council taxes this year. This year?s increase in the state pension will be cancelled out by the rise in council tax bills for pensioner couples living in Hitchin Band D properties. Pensioners living on their own are even worse off as a result of higher council taxes

Peter Lilley said:

"Whilst the rise in the basic state pension for couples will give pensioners just ?161.40 extra this year, council taxes for Band D properties in Hitchin and Harpenden ? driven up by Gordon Brown?s last budget ? will take back almost exactly that amount in Harpenden and even more in Hitchin during the same period. Pensioners living on their own are even worse off as a result of the huge increases in council tax.

"Labour?s stealth taxes have hit some of the most vulnerable in society. Pensioners who have worked hard all their lives deserve a fairer deal. The government?s policy of ?tax, spend and waste? is making us all worse off.?

The year-on-year changes in the basic state pension were compared with the change in council tax on Band D properties in Harpenden Town and Hitchin.

Single pensioners receive a lower state pension, but benefit from a 25 per cent council tax discount if living alone.

Couples? State Pension & Two-Person Household Council Tax

Year

Couples Pension per week

Cumulative Change in Pension per year

Band D Council Tax (Couple) per year

Harpenden Hitchin

Cumulative Change in Tax per year

Harpenden Hitchin

Apr-02

?120.70

?977.57 ?936.13

Apr-03

?123.80

+?161.20

?1138.39 ?1102.92

+?160.82 +?166.79

Single Person?s State Pension & One-Person Household Council Tax (25 per cent discount)

Year

Single Pension per week

Cumulative Change in Pension per year

Band D Council Tax (Single) per year

Harpenden Hitchin

Cumulative Change in Tax per year

Harpenden Hitchin

Apr-02

?75.50

?733.18 ?702.13

Apr-03

?77.45

+101.40

?853.79 ?827.42

+?120.61 +?125.29

 

 

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