COUNCIL TAX CAUSING FALL IN DISPOSABLE INCOME - KEETCH

11.00.00am GMT Mon 8th Oct 2007

Commenting on the U-Switch report published today [Monday] showing that UK disposable income is at its lowest level for 10 years, Liberal Democrat MP for Hereford, Paul Keetch said:

"This very powerful report confirms that despite the general increase in household incomes over the last decade, many people are struggling to make ends meet because of rapidly rising costs and government taxation.

"Council Tax in particular has made a big hole in family finances across the country. Because it is unrelated to people's ability to pay, it is making very deep inroads into family finances.

"It is particularly worrying that locally the Conservative-controlled Herefordshire Council appear to have no rein on its finances with much of Council taxpayers' money being wasted.

"The latest scandal concerning the IT department expenditure is another example of the Conservatives failure to manage the funds at their disposal and use it wisely. Too often we, the taxpayers locally, have to pay for the mistakes of this Tory Council and it is imperative that an inquiry takes place to answer to the taxpayers who always end up footing the bill.

"I have asked the Local Government Minister to look at the wider picture and decide whether an independent inspector appointed by central government should tackle the situation and ensure the Council taxpayers of Herefordshire do not have to pay again."