Council tax rise held at rate of inflation for ninth year running

Manchester residents learn today that their council tax increase is to be, for the ninth year running, in line with the rate of inflation.

The overall increase, including fire and police precepts, will be 3%, with the Council element making up 2.5% of that total.

Manchester is projected to have the lowest band D council tax in Greater in Manchester within four years. In fact, Manchester households now pay virtually the lowest average council tax in the country.

Manchester City Council's executive member for finance, Councillor Bernard Priest, said: "We are already able to demonstrate savings of over £20 million per year as a result of the Manchester Improvement Plan and this money will be available to us year on year. It enables us to do three important things; firstly, we can honour our commitment to keeping the council tax rise in line with the rate of inflation; secondly, we can guarantee that we will not cut services - indeed services, particularly to children, older people and those with disabilities will increase to reflect the growth in need; and thirdly, we are able to invest large sums in new projects such as tackling climate change, improving libraries and in new sporting event strategies."

Council leader, Sir Richard Leese, expressed the council's commitment to keeping the tax rise low back in the autumn. He said: "The burden of poverty is being lifted faster in Manchester than in any other local authority in the North West and we can be proud that we continue to deliver services which improve the lives of Manchester people, at a cost which is affordable.

"I believe that the excellent work carried out by the police and emergency services, and the demands they face, should be recognised and reflected in the increase in precept. Their work is vital in keeping the citizens of Greater Manchester safe."

Manchester's council tax, band by band, including precepts for police and fire services for 2008/2009, is:

• A £ 847.79
• B £ 989.08
• C £ 1,130.38
• D £ 1,271.68
• E £ 1,554.28
• F £ 1,836.87
• G £ 2,119.47
• H £ 2,543.36

Media contacts:

Rebecca Kennedy/Deborah Grace, tel 0161 234 3332