Four million people face £543 council tax hike under Labour raid

Four million pensioners face council tax hike as single-person discount under a Labour Party raid. Millions could be hit with higher council tax bills if Housing Secretary Angela Rayner scraps the 25 per cent single occupier discount.

8.4 million people affected by the potential abolition of the single-person council tax discount are retirees. The discount currently reduces the average Band D council tax bill by approximately £543 per year, according to analysis.

It saves the public purse about £3 billion annually, according to the Institute for Fiscal Studies (IFS). Graham Stuart, a Conservative Party MP, warned: “That is taking hundreds of pounds from those that can least afford it. We cannot have such an unnecessary impact on pensioners."

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Speaking in the Commons, Ms Rayner assured there were no current plans to increase council tax, but did not commit to keeping the single-person discount. The Telegraph reports she said: “This Government is about making sure that working people are better off, and we intend to do that.”

Ms Rayner was speaking earlier this week as the Labour Party returned from summer recess to the Commons. Data from the Ministry of Housing, Communities and Local Government shows that around 8.4 million homes in England benefit from the 25 per cent discount for single occupants.

And an additional 253,000 households qualifying due to other residents being disregarded for council tax purposes. Figures from the Office for National Statistics (ONS) indicate that half of those living alone are aged over 65.

Caroline Abrahams, charity director at Age UK, said: “If the single person discount for council tax was abolished, many pensioners—particularly widows—could find their finances severely strained, especially if they also lose their Winter Fuel Payment.”

A spokesperson for the Housing Department maintained that the government currently has no plans to reform council tax.