Haringey council tax set to be frozen again

Haringey council has announced proposals of this Tuesday's cabinet meeting, which will discuss the budget for next year, to leave council tax at the same level for the third year in a row. The council has heard concerns from residents about the rise in living costs, particularly travel costs, and is keen to do what it can to ease the strain on local people's purses this year.

Cllr Joe Goldberg, cabinet member for finance, says, "We understand how all residents across our borough are feeling a squeeze on their living standards, particularly with a 2.5% rise in VAT and a recent 7% hike in travel fares. We are keen to avoid adding to the anxiety and burden that is evident across our borough.

Particularly with rising unemployment, especially among the young and even in more affluent areas like Hornsey, Crouch End and Stroud Green, it is important we show that we do not take residents' contributions for granted."

Council tax has been a big subject in local politics recently, with London Mayor Boris Johnson this week announcing a 1% reduction in the precept (the portion of council tax payments received by City Hall). Although some commentators have been quick to point out this amounts to only £3.10 per household per year, or a penny a day, the move is calculated to highlight Johnson's prudence in office.

The Mayor says, "We should never take a penny off hard-pressed Londoners that is not needed to guarantee the safety of the city, to invest in the infrastructure that is vital for London's long-term survival or to help grow the economy. Thanks to the sensible savings we have achieved over the last three years we can deliver on all our priorities and hand some money back to Londoners." Lib Dem mayoral candidate Brian Padddick promptly hit back with a promise of a 3% reduction in council tax if elected.

2012 is shaping up to be a hard year for some local people, who will no doubt be grateful for any relief, no matter how small, from rising costs. But with councils still facing massive cuts from their central allocations and big squeezes on public spending, it remains to be seen how a council tax freeze will play out in the longer term.