Labour council to cut tax

A west London borough has become the first Labour town hall in the capital to say it will cut council tax this year.

Hounslow will reduce bills by 0.5 per cent in 2013/14 — worth £5.45 a year for a band D household — after exceeding savings targets. It has frozen council tax for the last six years, saving residents £200 after inflation.

Council leader Jagdish Sharma said: “We have managed to keep our pledge to reduce council tax by working hard to reduce our costs and be more efficient — but we are also protecting front-line services.”

Two boroughs, Harrow and Kingston, want to put up council tax by two and 1.99 per cent respectively. Communities Secretary Eric Pickles condemned them for not holding referendums to ratify the increases — which are mandatory for a rise of more than two per cent.

Tory Hammersmith and Fulham is cutting council tax by three per cent.