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6:45pm Thursday 24th January 2008
SIR TREVOR McDonald is being blamed for the loss of millions of pounds from Oxfordshire's councils.
A television documentary hosted by the News at Ten presenter resulted in hundreds of residents successfully appealing against their council tax banding.
It means thousands of pounds are having to be handed back to residents who have been overcharged over years, with councils in Oxfordshire estimating that it will cost them more than £2m next year.
It has emerged that some of the banding reductions must be backdated 15 years, resulting in some householders being paid back sums in excess of £2,000.
The banding changes hit councils in two ways - reducing the amount of council tax they receive and also burdening them with one-off repayments to people who have been incorrectly banded.
As Oxford City Council was finalising its budget, councillors were being warned that the banding appeals meant the council would end up with £200,000 less from council tax next year than it had been expecting.
Oxfordshire County Council, which receives the biggest proportion of council tax money, confirmed it would be £1.8m down next year.
The councils were taken aback by the scale of the local public response to the Tonight with Trevor McDonald programme that went out last year.
It highlighted how thousands of homes were in the wrong band because of inaccurate valuations carried out back in 1991.
It resulted in more that 300 families in Oxford alone successfully appealing to win council tax reductions of up to £120 a year.
Those living in the same property since the introduction of council tax are entitled to rebates back to 1993.
The scale of the problem will be set out in a financial paper to the city council executive on Monday.
Councillors are told: "Primarily as a result of a Trevor McDonald TV documentary, we have received a large number of banding reductions, some of which go back to April 1993.
"These changes indicate that the tax bases previously estimated for 2008-9 onwards were overstated. These have been amended accordingly, resulting in a reduction in the estimates of the council tax yield."
The blow to the councils could not come at a worse time for the financially-pressed city council, which is faced with making savings of £8.1m.
It will also put pressure on the Liberal Democrat administration's hopes of a below-inflation council tax increase of around two per cent.
Jim Campbell, executive member for finance at the city, said: "It means that our projected income is less than expected. This is certainly another pressure.
"If Oxford is typical, it seems to have been a very important programme. It seems that one programme has done a great service to a number of individuals across the country, if not to the local authorities who collect the council tax.
"But all these complications show what an unsatisfactory and flawed system council tax is."
It means the city council's share of council tax receipts, estimated to be £11.54m will have to be downsized by close to two per cent, eating up practically all the proposed council tax increase.
Charles Shouler, Oxfordshire County Council cabinet member for finance, said: "There have been appeals, with people having banding reduced. The net effect is that we will have £1.8m less than we would have had. This is money that could have meant more investment in services, or it might have allowed us to reduce council tax increases to 3.5 per cent, if this had not occurred.
"But we have to live with the facts of the situation. The refund payments will be a one-off but the changes to the council tax base will be ongoing."
Council tax charges depend on the 1991 valuation of house prices.
Homes were graded from A to H. But there were suggestions of 'second gear valuations', with estate agents simply driving past houses to allocate bands.
Tonight with Trevor McDonald highlighted how consumers could check the tax band of neighbours and similar properties on the internet, holding out the prospect of millions of householders being able to claim back thousands of pounds.
The Vale of White Horse and other district councils confirmed that they had experienced an increase in banding appeals.
Meanwhile, Oxford City Council is facing another major financial pressure, with councillors next week being asked to set aside £800,000-a-year over three years as a result of a staff pay review.
It follows a job evaluation exercise, partly introduced to ensure equal pay among sexes, which has established that a significant number of its staff have been underpaid. Local authorities were ordered by the Government to carry out "a single status" review, designed to make the salary structure fairer.
But it is certain to lead to widespread upgrading. About a third of staff, however, may find they have been overpaid.
student, Oxford says...
8:10pm Thu 24 Jan 08
Ed, Oxford says...
8:33pm Thu 24 Jan 08
DanOxford, Oxford says...
9:35pm Thu 24 Jan 08
HalyBurton, Oxford says...
9:59pm Thu 24 Jan 08
tim, abingdon says...
10:21pm Thu 24 Jan 08
Mr B, Oxford says...
1:34am Fri 25 Jan 08
HalyBurton wrote:University commerce keeps the city centre alive. Darned right it does! The Off-licences do tremendously well what with the students and the homeless rogues of Oxford. Mind you, its jolly hard to tell them apart sometimes. Very often its that the homeless have dog on a string and the student goths have a girlfriend on a string...
Come on Dan of Oxford - assuming that you venture inside the ring road from time to time, you must realise how much students contribute to the city economy, how quiet the city is out of term time, and how little character the city would be without them. Without the University, Oxford would be another Slough or Reading, (in)famous for being characterless and dull places to live. You cannot blame the splitting of houses on students, but the landlords that greatly profit from them. You cannot blame students for the ineptitude of the local council, and you cannot blame students for the \'high\' taxes paid locally. University commerce keeps the city centre alive.
HalyBurton, Ox says...
4:22am Fri 25 Jan 08
R., witney says...
8:03am Fri 25 Jan 08
Dave, Abingdon says...
10:51am Fri 25 Jan 08
DanOxford, Oxford says...
10:56am Fri 25 Jan 08
HalyBurton wrote:Working people earn more than students, therefore it stands to reason that the local economy would not collapse without them. What businesses do local students actually support to any great extent, other than the pubs?
Come on Dan of Oxford - assuming that you venture inside the ring road from time to time, you must realise how much students contribute to the city economy, how quiet the city is out of term time, and how little character the city would be without them. Without the University, Oxford would be another Slough or Reading, (in)famous for being characterless and dull places to live. You cannot blame the splitting of houses on students, but the landlords that greatly profit from them. You cannot blame students for the ineptitude of the local council, and you cannot blame students for the \'high\' taxes paid locally. University commerce keeps the city centre alive.
DanOxford, Oxford says...
10:58am Fri 25 Jan 08
John, near-enough Oxford says...
1:17pm Fri 25 Jan 08
halyburton, Oxford says...
4:54pm Fri 25 Jan 08
DanOxford wrote:Supermarkets and other food retailers? There are a great number of city centre and Cowley stores that are significantly helped by student trade. And lets not forget tourism. Again, how many people visit Slough or Birmingham for the scenery?
HalyBurton wrote:Working people earn more than students, therefore it stands to reason that the local economy would not collapse without them. What businesses do local students actually support to any great extent, other than the pubs?
Come on Dan of Oxford - assuming that you venture inside the ring road from time to time, you must realise how much students contribute to the city economy, how quiet the city is out of term time, and how little character the city would be without them. Without the University, Oxford would be another Slough or Reading, (in)famous for being characterless and dull places to live. You cannot blame the splitting of houses on students, but the landlords that greatly profit from them. You cannot blame students for the ineptitude of the local council, and you cannot blame students for the \'high\' taxes paid locally. University commerce keeps the city centre alive.
The 'character' argument is rather baseless- does getting a place at University mean a person is inherently more 'interesting' than someone who simply works for a living? Personally I feel that Oxford is often worse off for the frequently loud, boorish behaviour of a group of people who treat the city as a playground for fancy dress three legged pub crawls.
Landlords are able to make a profit due to the very high (and rising) demand for low quality, poorly maintained properties occupied by students. This forces local people to move further out and contributes to the general mess and uncared for appearance typical of areas where students and other transient residents live.
As for the city being 'quiet' outside of term time (briefly- before the language students arrive to clog the centre up by blocking the pavement outside fast food outlets) this is VASTLY preferable to Oxford during term.
Blackbird Leys is actually better cared for than East Oxford due to local residents taking more care in their properites than students do.
I actualy find the suggestion that without a large student population Oxford would suddenly become a bleak, grey cultural desert offensive. Oxford is home to numerous bright, creative working people, many of whom could live inside the ring road and would use local pubs more if they weren't so full of the cockattooed buffoons and horsey gals who make them so intolerable during term time.
DanOxford, Oxford says...
7:29pm Fri 25 Jan 08
HalyBurton, Oxford says...
8:55pm Fri 25 Jan 08
DanOxford, Oxford says...
9:52pm Fri 25 Jan 08
HalyBurton, Oxford says...
4:35pm Sat 26 Jan 08
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DanOxford, Oxford says...
7:54pm Thu 24 Jan 08
If you want to know why Oxfordshire Council tax bills are so high, ask why we have a population of 30,000 students (who do not pay Council tax) and a massive increase in economic immigrants (11,000 Poles alone) most of whom share several to a house and split one bill between them, thus not contributing a fair amount.
The Council tax 'shortfall' is quoted at £200,000- yesterday we were told that recent immigration has led to an increase in Oxfordshire Police spending £228,000 on translation- doesn't take a genius to work out where we could recoup some of the 'shortfall' which the Counncil seemed to have been relying on from overcharged local taxpayers.
This is rip off Britain under Greedy Gordon, fleecing the worker to pay for all their Mickey Mouse box ticking exercises while neglecting services we REALLY need.
Council tax is also a stealth tax with central government reducing their funding year on year and expecting us to pay more and more.
The real villains here are NuLabour with their open door immigration policy, attempts to cover up the real lack of training and employment opportunities for British school leavers by raising the school leaving age to 18 and trying to force people into University who should not be there in the first place.
Next time ou here Gordon and his cronies tell you Britain can keep on importing more and more people, think about the increases in Council tax, cuts in services, filthy streets in East Oxford, road congestion in Headington, calls to paryer in Colwey and protests about Halal meat in Rose Hill- the problems are ALREADY biting and will get worse with the forthcoming recession.