Rugby Council Tax 2015-16

On Tuesday 24 February Rugby Borough Council will set the Council Tax for the year starting in April 2015.

Here is what we already know.

Every Council Tax payer in Rugby will have a bill made up of four parts.

Warwickshire County Council's charge.

The police charge.

The general Rugby Borough Council charge.

Either a parish council charge or the Rugby Town charge. (The Rugby Town charge - which is only paid by people living in the town - is supposed to cover the cost of services which are provided by the parish councils in the rural areas).

Whilst Council Tax bills are sent out and collected by Rugby Borough Council most of the money collected will eventually end with the county council and the police and not with Rugby Borough Council.

If you live in a house valued at band D then the part of your bill due to the county council has already been set at £1,201.14 and the part of your bill due to the police has already been set at £188.23.

The county council, the police and Rugby Borough Council all receive grants from general government taxes as well as the money raised from Council Taxes. They all receive some money from fees and charges.

A very rough guide to Council Tax

Every home in Rugby was valued in 1991 and put into one of eight Council Tax bands (A to H). If your home was built after 1991 it was valued as if it had been sold in 1991.

The amount of Council Tax you pay depends on the Council Tax band your home was put into to.

Not everyone pays the full rate of Council Tax.

Some pensioners and especially pensioners receiving pension credit are entitled to a Council Tax Reduction.

People of working age on low incomes may be entitled to a Council Tax Reduction.

Students, including student nurses and some apprentices, may be exempt from Council Tax.

If you live by yourself you should be entitled to a 25% discount.

If you live with someone else who is exempt from Council Tax (eg a student) you may be entitled to a 25% discount.

There are special rules concerning some people with disabilities.

Rugby Liberal Democrats are not qualified financial advisors. If you believe you might be entitled to the Council Tax Reduction scheme your first port of call should be the advice team at Rugby Borough Council (telephone 533433). If you not satisfied after contacting the Council then a number of charities such as the Citizens Advice Bureau may be able to help.

Future changes to Council Tax. Mansion Tax?

The Liberal Democrats believe that it would be fair for people living in the most expensive properties (worth over £1 million) to pay more. During the coalition we were unable to persuade our Tory government partners to act on this. When the manifestos for the 2015 general election are published expect to see proposals from both the Liberal Democrat and Labour parties to raise more money from those living in the most expensive houses. This may well be called a "Mansion Tax". The Liberal Democrats are likely to propose doing this by adding extra bands on top of the existing Council Tax bands and the Labour Party are likely to propose doing this by creating a costly new tax collecting office.