Pay more council tax if you convert your loft

Millions of Londoners could face higher council tax bills - for carrying out basic home improvements. For the first time, the Government is take into account minor improvements when assessing your home's council tax band.

The changes will penalise householders for such things as loft conversions, extra bathrooms or extensions.

Londoners are expected to be badly hit. The capital's high property prices mean some homeowners who cannot afford to move to a bigger house expand or improve their property.

The Government is about to embark on the first major council tax revaluation for 14 years. Previously, home improvements were not taken into account when assessing the value of a property unless it was put up for sale.

But under the new rules inspectors will include all such alterations as part of their assessment.