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Council tax bills to rise by up to £634 if town halls impose 3% hike

Local authorities are deciding whether to impose the 3% maximum council tax rise.
Local authorities are deciding whether to impose the 3% maximum council tax rise.

Households in Tayside and Fife are in line for council tax hikes of up to £634 a year, new figures show.

Councillors in the area will decide in the coming days whether to increase the levy for the first time in about a decade.

All local authorities in Courier Country have indicated they are seriously considering raising it by the 3% maximum, which would come on top of the automatic hikes imposed by the SNP Government for those living in more expensive homes.

An analysis by The Courier reveals how much extra households will have to pay if councils opt for the 3% increase, as most are tipped to do.

Those in band E homes would see their bills increase by up to £158.74, while those in the top band face an increase as high as £633.96.

Band A-C homes can expect increases of between £20-33 a year.

Scottish Conservative shadow finance secretary Murdo Fraser said people across Tayside and Fife are “already facing up to Scotland being the highest-taxed part of the UK”.

“Now they learn council tax bills will rise too, in some cases unreasonably,” he added.

“And this is all happening while the Scottish Government presides over deep cuts to local authorities across the country.

“The SNP should be looking to give people a break, not continually hitting them in the pocket.”

Earlier this week, SNP-run Angus Council confirmed it would be increasing council tax by 3%, which amounts to a 26% rise for band H properties.

Fife councillors will vote on a plan to implement the 3% rise tomorrow. Dundee and Perth & Kinross councils will make a decision next week.

The setting of council tax comes as local authorities face funding pressures from a reduction in core grants and increasing demand for services. The Scottish Government says it has increased the spending power of local authorities.

A spokesman for Finance Secretary Derek Mackay said Mr Fraser does not have a “single shred of credibility” as he advocates tax cuts and spending increases “in the same breath”.

“Our reforms to council tax are fair and proportionate,” the spokesman added. “There will be no change for three out of four Scottish households in the amount of council tax they pay.”

See today’s edition of The Courier to see how much your council tax bill could increase.

gmcpherson@thecourier.co.uk