Lib Dem leader Nick Clegg defends plan to tax homeowners after they die

Nick Clegg today said it was “perfectly right” for the Government to take tax payments from the estates of homeowners after they die.

The Liberal Democrat leader was defending plans to introduce new council tax bands on properties worth £2 million or more.

The move has led to fears pensioners with low incomes could be presented with huge tax bills after living in the same property for years.

Asked on LBC radio what he thought should happen to pensioners who may be asset-rich but cash-poor, Mr Clegg said: “They don’t need to pay it up front, they can pay it as part of their estate.”

After presenter Nick Ferrari replied: “When they die?”, the Deputy Prime Minister said: “Yes, it’s perfectly right.”

Standing by his plan for new higher bands, Mr Clegg said: “I have a lot of sympathy with some who say, ‘hang on a minute, I bought my house 30 years ago, I don’t have a big income, but I’m now a multi-millionaire in terms of my property’.

“All we’re saying is that the council tax due in the council tax bands that we introduce, would be due. That’s normal. I think everyone will accept you have to pay council tax.”