FEARS have been raised over an increase in council tax bills for residents following the Chancellor’s autumn statement.

Local authorities will be allowed to increase council tax by up to five per cent a year from April 2023 – without needing to hold a referendum.

It will be three per cent for local authorities, but an additional two per cent for those with social care responsibilities.

Council awaits budget-setting process

St Helens Council has been asked for a comment on how much it expects council tax to increase next year – but it is remaining tight-lipped.

It says that it is not in a position to comment at this stage as it will be considered as part of a wider budget-setting process.

MP: 'Poor handling of the economy'

But St Helens South and Whiston MP Marie Rimmer, Labour, has shared her views.

She said: “The Conservative Government is trying to force local authorities to raise council tax due to their own poor handling of the economy.

“For twelve years the Conservatives have not been providing enough funding to services that we all rely on.

“The Government needs to do a much better job of supporting the public with their energy bills, rather than trying to shift blame to local councils.”

Will pensioners be worse off

Furthermore, while the North West Pensioners Association welcomes the reinstatement of the triple lock for pensioners, it believes that it "should have never been taken away in the first place".

Chair Derek Barton said: “Even with the increase, with inflation still rising, rising food prices, rising energy prices and higher council taxes pensioners will be worse off than pre-pandemic levels.

“The increase must include pension credit and guaranteed pension credit otherwise the worst-off pensioner will lose more than they have gained.

“The Chancellor stated that there will be an increase in the budget for care for the elderly and disabled, again this will not cover the actual cost of care for those that need it the most.”

Cllr James Jamieson, chairman of the Local Government Association, has also issued a statement.

Local Government Association statement

He said: “Local government is the fabric of the country, as has been proved in the challenging years we have faced as a nation.

“It is good that the Chancellor has used the autumn statement to act on the LGA’s call to save local services from spiralling inflation, demand, and cost pressures.

“While the financial outlook for councils is not as bad as feared next year, councils recognise it will be residents and businesses who will be asked to pay more.

“We have been clear that council tax has never been the solution to meeting the long-term pressures facing services – particularly high-demand services like adult social care, child protection and homelessness prevention.”

“It also raises different amounts of money in different parts of the country unrelated to need and adding to the financial burden facing households.”