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Research by urban councils has found that the poorest areas have suffered the highest council tax increases.
The Special Interest Group of Municipal Authorities (Sigoma) said poor areas lost out because almost half of properties in its member councils’ areas were in Band A and therefore generated relatively less tax income for councils when increases were imposed.
Its warning came as the Institute for Fiscal Studies (IFS) noted it was 30 years since properties were valued for council tax bands, leading to a variety of anomalies given price movements since.
Sigoma’s principal research officer Geoff Winterbottom said: “Our analysis has found that the poorest authorities have been seen the biggest increases in council tax.”