Council tax bombshell

Rising house prices could affect the tax

Thousands of council tax payers are today threatened with huge rises in their bills.

New research reveals the tax could soar by £300 or more in 60 areas in London and the South-East.

Residents whose homes have risen fastest in value since 1991 will be most at risk when the "banding" system used to calculate bills goes through a major overhaul this year.

At present, councils calculate payments on the basis of how much a home was worth in 1991. But the Government has ordered a reassessment to bring the system into line with changes in the housing market in the last 14 years.

Figures revealed today by the Liberal Democrats suggest the South-East will be hardest hit. They found that areas such as Kingston and Teddington in south-west London, Witham in Essex and Whitstable in Kent have seen house price rises well above the national average.

Estate agents believe some properties could jump two or even three bands, which could add in excess of £600 to annual levies.

For the full story buy today's Evening Standard

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