Lord Turner Wants To Pay More Council Tax On His Home, But Can't

Ex-City Watchdog Boss Wants To Pay More Council Tax But Can't
|
Open Image Modal
Then Chair of the Financial Services Authority Lord Turner speaks at the annual City Banquet, at Mansion House, in the city of London.
Dominic Lipinski/PA Archive

Former City watchdog boss Lord Turner has admitted that he is "amazed" by "how little" he has to pay in council tax on his Kensington home and called for owners of high value houses to pay more.

The peer, who used to head the Financial Standards Authority, questioned the fairness of Britain's system for taxing properties which meant that people living in the north of England, in homes "worth a very small fraction" of those in London, were still hit to a similar degree.

"We've got to find a more balanced economic model. There are issues about the supply of housing, but there are also some legitimate issues about the taxation of housing," he told the BBC Radio 4 Today Programme.

'When we had those unpopular things called the rates... there was at least a relationship between the value of your house and how much you paid in tax. That disappeared with council tax. I'm really quite amazed how little council tax I pay on my house in Kensington compared with what somebody pays with a house worth a very small fraction of that in the north of England. I'm not sure that is a fair system."

Ridiculous London Property Market Facts
Barely anyone can afford to own a property (01 of09)
Open Image Modal
Less than one in ten properties in many parts of the UK are affordable to single house-buyers, according to the homeless charity Shelter. Meanwhile, three central London areas are completely unaffordable for couples with children or single people living on average wages: Kensington and Chelsea, Westminster and Camden
London house prices rose £50,000 in a MONTH(02 of09)
Open Image Modal
According to the property website Rightmove, asking prices in capital have gone up to £544,232, up from £493,748 the previous month.
Renting isn't any better(03 of09)
Open Image Modal
This garage was sold for £251,000(04 of09)
Open Image Modal
This garden sold for around £120,000(05 of09)
Open Image Modal
This garden sold for £50,000(06 of09)
Open Image Modal
And even world snooker champions...(07 of09)
Open Image Modal
Ronnie O'Sullivan says a huge housing bubble (and crash) will happen.Or in his words: "Baby it's coming."
You'll only need save for 30 years to buy a home...(08 of09)
Open Image Modal
So says independent research commissioned by Shelter .That boy has already started on his first house...
You might as well move here(09 of09)
Open Image Modal

His intervention comes as the European Commission called on Britain to raise taxes on higher value properties, build more houses, and consider "adjusting" the Help to Buy scheme.

Setting out its 2014 economic policy recommendations for the UK, the commission also urged the coalition to bring more people into paying tax to aid deficit reduction which has so far been "heavily skewed" to spending cuts.

The recommendations may rankle with some in the wake of Eurosceptic Ukip's victory in the European elections and Prime Minister David Cameron's assessment of the EU as "too big, too bossy, too interfering".