WHITEHALL

Charges 'paying

One-quarter of councils raise more cash from charges than they do from council tax, the Audit Commission has revealed. 

Fees and charges now account for £10.8bn, or £210 for every person, compared with £22.4bn a year in council tax. While counties raise more revenue, districts' charges account for almost one-fifth of total expenditure. But councils need a more ‘coherent approach' to charging.

The commission found most councils:


Fears over charging the public were also laid to rest by a survey commissioned to accompany the report, Positively charged. According to pollster Ipsos MORI, the public will accept charges for council services more readily than councils believe, and the majority of people think council charges are good value for money. Audit Commission chairman, Michael O'Higgins, said: ‘The public are more willing to pay charges if they can see what they get for their money.

‘They need to know why the council has decided to charge for some services, but subsidise others.'

Local government minister, John Healey, said: ‘Authorities must make more of charging – alongside other measures we have made available to them – to improve their area and deliver cost-effective services.'

Chairman of the LGA, Sir Simon Milton, said pressures on council funds meant councils had to make ‘tough choices' on spending cuts, tax rises and charging fees'. But, he said, councils must be allowed to set their own fees, to make them appropriate for the local area.

‘Trying to set arbitrary national charging policies which don't reflect local circumstances work against the interests of local people.'

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