Sorry, this is probably not the right group, but I can't find any
other. I enquired of Bryant about the council tax band on a new
property. It was band F, which is quite a high band. Does this mean
that the intended revaluation for all properties will already have
been done for new homes being built now? The property in question was
in the £120K - £160K range, to all of which the Band F will apply at
that particular site in Nottinghamshire.
I am pretty sure you are correct. The banding was done based on values
at 1 April 1991, (I think), so it would not work if a property built
today was "valued" at its current value.
e.g. many properties which we sold for around £40K, (the A/B band
boundary in Manchester), in the early 90's are now in excess of
£100,000, which would have put them in a much higher band if they were
new today, and the above rule were applied.
Perhaps this is how things work. Perhaps this is underhand on the part
of the Council valuation dept?
Under the old system there was definately a tendency to for the rateable
value of equivalent sized and valued homes to be higher for the more
recently built ones.
Ed Sirett - Property maintainer and registered gas fitter.
The FAQ for uk.diy is at www.diyfaq.org.uk
As I understand it, Band D housing is meant to be the average price (and
therefore you pay 100% Council Tax - Bands C or below pay less tax and Bands
E and above pay more).
Does anyone know if its National Average, or local average? I ask this
because our basic, nothing special, 3 bed semi in Guildford was bought for
£204k a few months ago, and is currently Band D.
When the re-valuations happen (in 2005?) it'll probably be a slightly
highter price - however, currently the average house price is something like
£130k. So - based on this, we could be looking at Band E or F (something
like 130% Council Tax) - unless of course, they used the regional average
house price - where we'd be an average propertly (or closer to it).
The problem I can see with using a National Average is that places like
Surrey could end up with the majority of people paying > 100% tax - so the
local government gets more money (quite possible). This makes me wonder if
I have it all wrong - and the bands are calculated such that a County
Council will collect 100% tax throughout the county - and the average (band
D) being relative to the number of people and local property prices.
Yeah - that sounds sensible - however,
http://www.voa.gov.uk/council_tax/bands_england_wales.htm says that band D
is £68k to £88k (no mention of regional variations), and from what I
understand, Band D is 100% tax (with increases or decreases for higher/lower
bands). So - how can that be reconciled with regional variations in house
prices? An 'average' property in Wales may be £80k, whereas an average one
in Surrey £200k. These would obviously be in different bands.
I'm still confused...
Yes, and so the standard band D council tax in Surrey would be
lower than it is in Wales, and the average house in either region
will end up paying roughly the same council tax. So anyone with
a lorra money in Granadaland tries to get a TV show in London.
On Thu, 4 Sep 2003 13:25:01 +0100, Richard Faulkner
It doesn't need to be consistent across the country. Councils set *local*
taxes. They know how many properties they have in each band, and the
formula that relates the different proportions payable is fixed. (It's in
1/13ths of the Band D rate, I think.) So, it's easy to work out effectively
how many Band D properties there are, and divide that into the amount of
money they have decided to raise. That defines the Band D charge, and the
If you had two areas, one made up exclusively of very cheap houses, and
other of very expensive houses, then the fact that the Band D valuation is a
fixed monetary band merely means that everyone in the two areas would pay a
tax rate very close to their neighbours. (Say, all houses in the cheaper
area in Bands A-D and in the expensive area E-H). This must seem fairer
than a normalised system which guaranteed that each council had a enforced
spread of banding, and thus that there would be some taxpayers always paying
half the average and others twice it (or whatever the multipliers are),
irrespective of their absolute "wealth".
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