Calls have been made to scrap new council tax hikes set to cost Dundonians £2.36 million.
The Scottish Government has suggested an increase of up to 22.5% for the highest tax band, with the rise only affecting properties in bands E to H.
The proposal will see over 10,500 households in Dundee hit by a minimum hike of £146 per year and up to £819 for the highest banded properties.
Dundee councillors will be asked to approve a response to the plan at a meeting on Monday.
It is broadly supportive of the increase, but suggested introducing a “hardship fund” to for those struggling to meet the new cost.
But some opposition councillors have already hit out at the plans, branding them “shocking.”
Broughty Ferry Liberal Democrat councillor Craig Duncan said: “We are shocked at how out of touch these SNP Scottish Government proposals are at this difficult time for households and will oppose the council’s proposed response to the consultation which supports the tax hike.”
How much more will I pay?
Rates for band E properties would increase by an average of 7.5%, while band F properties would see a 12.5% rise.
Those in band G properties would pay an average of 17.5% more each year, while band H properties would see their bills rise by up to 22.5%.
There would be no rise for bands A-D.
The increase on the current annual charge would be as follows:
Band E: £146.48
Band F: £301.93
Band G: £509.41
Band H: £819.39
West End Liberal Democrat councillor Michael Crichton also hit out at the plans.
“The SNP is planning on hammering households in Dundee with a storm of council tax rises during the worst cost of living crisis for generations,” he said.
“These changes would see bills go up and services still cut.
“After years of the SNP eroding council budgets and the impact that this has had on our essential services it is clear that we need to ensure local authorities are properly funded, but this proposal is not the solution.
“These tax hikes must be scrapped.”
Calls for additional support needed
In its consultation response, the council raised concerns about the rise combined with the cost of living crisis.
“The proposals will impact those households who are without any form of council tax reduction support,” it said.
“There is a risk that these households are the same ones who have been negatively impacted by the continued increases on mortgage rates and over all cost of living increases.
“COSLA and the Scottish Government should review the possibility of a council tax hardship fund to support households who can show they will suffer hardship due to the change in multiplier increase.”
Scottish Government insists tax is still lowest in UK
But the Scottish Government maintains council tax will remain the lowest in the UK and insists measures will be put in place to ensure residents aren’t hit with a bill that they can’t pay.
Public Finance Minister Tom Arthur said: “The potential changes to council tax would only affect around a quarter of properties and even after they are taken into account, average council tax in Scotland would still be less than anywhere else in the UK.
“We know that many people are struggling with their finances and our council tax reduction scheme is there to ensure nobody has to pay a council tax bill they cannot be expected to afford, regardless of what band they are in.”
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