Houses prices in Ceredigion have seen huge monthly increases, in fact the area was ranked in the top ten for August’s increases nationally. Potential buyers in Ceredigion faced a rise only 0.2% smaller than those in London for the same period. Ceredigion Council hasn’t missed out on an opportunity though to bolster its bureaucratic army, and has appointed Sian Davies to the new post of Rural Housing Enabler.
My focus is on searching for development opportunities or empty properties to bring back into use so that we can boost the supply of affordable housing. I’m supported by the Welsh Government, Ceredigion County Council, Tai Ceredigion and Tai Cantref who are all committed to ensuring that people have access to affordable housing within their local community.
On the surface, moves to support the development of new housing may seem like a positive move and welcomed by those finding themselves priced out of the market. But what if the problem is not that councils aren’t doing enough to alleviate the shortage of homes, what if, in fact, their actions are contributing to the problem. Miss Davies’ appointment also raises questions over the actions of Ceredigion Council since the introduction of the Unitary Development Plan back in 2001 and more recently the Local Development Plan.
The main driver behind the increase in house prices is the lack of homes being built. Councils didn’t plan ahead and anticipate the amount of new homes that would be required. Many would argue this shouldn’t be their responsibility in the first place. But house building has certainly being restricted by a lack of willingness to approve planning applications, as in this example where the building of new homes was refused because the application was contrary to polices designed to protect the countryside.
Either way, when the council launched its loan guarantee scheme last year in conjunction with Lloyds TSB, those applying for the scheme can only purchase properties that already exist, and this in turn discourages the development of new build properties. This loan guarantee scheme could also help fuel a local housing bubble and get local residents into unaffordable debt.
Perhaps if the council would stand out of the way and let the market recover by itself, it wouldn’t need to create a new post?
Almost two years ago, I presented a petition at a full council meeting in Hull. I was given the opportunity to speak for five minutes and then councillors had the opportunity to question me. Instead of questioning me on my petition asking for free on-street parking on Sundays in the city centre, I was greeted by a barrage of abuse by some councillors trying to score political points. It was a shameful display and one councillor was forced to apologise in writing after I lodged a complaint.
Fast forward to this morning, two petitions were received to save a swimming pool at Ennerdale Leisure Centre in the city. One lady who presented a petition and spoke in favour of it mentioned that she was being supported by the opposition Liberal Democrats. For those councillors who are unable to differentiate between a member of the public and a colleague, it was open season. An ordinary member of the public concerned that her local swimming pool is about to be closed was jeered and then questioned on the tax and spending policies of the coalition government.
After the questioning was complete, the meeting then descended into political mud-slinging with those in the public gallery angry that councillors, instead of debating the issue, felt political points scoring was more important. The public frustration spilled over with people shouting out from the gallery and the Lord Mayor threatening to remove them.
Whatever the rights and wrongs are of closing the swimming pool, members of the public should be treated with courtesy and they also expect councillors to work for the best interests of residents, rather than settling old scores. Not all councillors engaged in this disgraceful behaviour, but as one councillor told me privately, “It was not our chamber’s shining hour.”
It is hardly surprising so many of the electorate don’t bother to vote or engage in the political process in Hull. At the most recent elections in 2012, the turnout in the Newington Ward was 17.76 per cent, and in the Orchard Park and Greenwood Ward it was 17.83 per cent. The turnout in other wards was poor too. The highest turnout in all the wards in the city was in the Beverley Ward and that was only 37.22 per cent.
If councillors in Hull are serious about more public engagement, they have to look at their own behaviour. The events of this morning will be reported in the local media and will further bolster the view that councillors are more interested in themselves than serving those who elect them.
TaxPayers’ Alliance supporters took to the streets of Leigh-on-Sea yesterday as part of our ‘Stamp Out Stamp Duty’ campaign. Our arrival had been telegraphed in advance by a radio broadcast on Heart Radio earlier that morning, so many of the people we spoke to knew we would be there.
The reception was fantastic, with many local residents expressing their disgust for a tax that makes the process of buying a home even more expensive. Local estate agents and businesses were also incredibly supportive.
“My son cannot afford a house of his own”, one concerned mother told me. “He works hard, and he’s left home, but all he can afford is a rental. I feel like he’s being punished for doing all the right things”.
Nearly half of all properties in the South East fall into the dreaded 3 per cent category or higher. A house hunter looking for a modest property costing £250,001 pays £7500 in stamp duty, but if they’d paid £1 less, they would save £5000. This is just one of the injustices of this pernicious tax.
If you haven’t done so already, please go to StampOutStampDuty.Org and write to your MP. It only takes a minute, and makes a real difference.
Last year we wrote about plans in Sunderland to build a so-called iconic bridge over the River Wear. Over the summer the dream finally came to an end. I say a dream, but many would say it was a pipe-dream and a nightmare, rolled into one.
If it had been built, it would have been England’s tallest bridge, standing at 187 metres, however the scheme was beset by problems from the start. Neither Northern Ireland-based contractor Graham or Vinci of France were able to submit a tender within the £118 million budget. Taxpayers, however, are still out of pocket to the tune of £11.1 million. Here is a breakdown of the costs:
· Design, including Utilities, Highways and Bridge -£6.3 million
· Planning, Consents and Scheme Orders – £1 million
· Business Case – £1 million
· Project Management & Staffing costs – £2.8 million
The council has promised these costs will be transferred when a new design is brought forward, but if past experience is anything to go by, no-one is holding their breath.
Cllr Colin Wakefield, an independent councillor in the city, had this to say:
The bridge design was unbuildable. Bridge experts warned of the likely failure of the project and two of the four potential contractors walked away from the project. Sunderland City Council arrogantly pursued their dream, whilst taxpayers continued to face a funding nightmare.
An elegant bridge costing half or less could have been in place now, however the council is still looking to procure an unnecessary and still very expensive cable stay bridge. Great to be bold when its someone else’s money!
So despite many warnings from experts, councillors and council officers ploughed on regardless, thinking they knew better. Waste like this should never happen, but at a time when the council is having to reduce expenditure, it does make you wonder how much more money Sunderland City Council is going to throw at this project.
Somerset TPA supporters gathered on a chilly, windy morning at the Frome Agricultural & Cheese Show. Between dogs herding geese and parading livestock, we gathered 130 signatures from visitors to the show and farming trade stands urging the Chancellor to cut the Cider Duty Escalator that puts the price of cider up every year.
‘How very rude,’ said one local when we told them that the Chancellor had cut the Beer Duty Escalator, following our campaign earlier in the year, but not the Cider Duty Escalator. She then handed the petition to all her family to sign.
Earlier in the week, the TPA was invited to attend the All-Party Parliamentary Cider Group at the Houses of Parliament. Labour MP Ben Bradshaw mingled with Conservative Peer Lord King, who is also a cider maker just outside Bath, but ‘purely for family consumption!’
Ian Liddell-Grainger, MP for Bridgwater and Chairman of the All-Party Parliamentary Cider Group, and Paul Bartlett, Chairman of the National Association of Cider Makers, hosted the event and both endorsed our campaign to end the Cider Duty Escalator. ‘This is very important to the future of cider making,’ said Bartlett to the assembled politicians and senior cider industry executives.
‘The campaign to cut Beer Duty was a real success,’ says Cheltenham MP Martin Horwood. ‘It would be great for the West Country—including Cheltenham—if we could pull off the same trick with Cider. I’m delighted to be supporting local business, fairer taxes and responsible drinking all in one go!’
Please support our campaign by signing our petition at CutCiderTax.Org
Colchester Borough Council has paid £600,000 in Business Rates for its empty commercial properties, with some properties vacant for more than a decade. Local man Ben Locker sent a freedom of information request to the council and was shocked at what he found out.
Three public toilet sites have been closed for more than three years, with two of them closed for more than ten years, at a cost of over £5,000 per year. They have so far wasted a combined £26,000. Four empty warehouses and a transit shed have cost the taxpayer nearly £96,000 and have all been empty for more than six years.
The cost to the taxpayer for this shameful waste of our money is £128, 760 per year in unnecessary Business Rates. Altogether, vacant commercial properties owned by Colchester Borough Council have cost us £602,800, and this figure is only expected to rise.
The council’s cabinet proposed a 1.97% council tax hike earlier this year. They have also come under heavy criticism from a diffuse coalition of elderly residents, concerned citizens, local activists and the opposition parties on the council, for their repeated attempts to close the £76,000 per year Abbots activity centre.
Prior to 2007, empty properties were exempt from Business Rates. But now all empty commercial and industrial properties are liable to pay tax. Where councils own the property, this means taxpayers can be on the hook for hundreds of thousands of pounds.
Clearly this is an outrageous state of affairs. Rather than continue to waste taxpayers money on unused commercial properties, the council should either make use of them or sell them to someone who can. And rather than taxing empty properties for engaging in their non-existent daily business, the Government ought to scrap empty property rates completely.
South Gloucestershire taxpayers are being given mixed messages by their council—and it is set to cost them £1.2m across the district. The council wants them to recycle their garden waste but wants to charge them £56 a year for picking it up.
In a surprising move, South Gloucestershire Council (SGC) is keen to charge local residents £36 to pick up their green bins and a further £20 for a bundle of ten recycling sacks.
‘Residents feel like they are being ambushed into accepting an annual charge which could be as high as £56,’ says an opposition councillor, ‘and which will cut the district’s recycling rate after many years of sustained improvement.’
‘Some people will instead use their black bins to dispose of their garden waste or fly-tip or burn the waste in their back yards,’ he warns.
Also, the residents of South Gloucestershire have already paid for rubbish removal services through their council tax—so why are they being asked to pay for it twice?
SGC says the proposal is the only way they can make cuts in their budget. ‘If the council ultimately chose not to charge for the green bin service,’ said a council spokesman, ‘then we’d have to implement cuts that could affect valued services such as libraries.’
It is a tired old chorus from local councils putting front line services on the line—saying it’s either more charges for its fundamental services or cuts to libraries. Instead, they should be thinking about cutting the cost of local government management—including their inflated wages and pensions.
TPA supporters hit the streets of Beverley last Saturday to talk to local people about our ‘Stamp Out Stamp Duty‘ campaign. Many residents already knew about the campaign thanks to some great media coverage ahead of the campaign day. We were also supported by local estate agents who know first hand how damaging Stamp Duty is.
We have more street stalls planned later this month. The next one is on Wednesday in Birmingham. Supporters are meeting at 12.00 noon in New Street, near BHS.
Next week, on Tuesday 17 September, we are in Leigh-on-Sea. Supporters are meeting on Broadway, near the junction with Victoria Road at 12.00 noon.
Later this month we are also in Guildford. Local supporters are running a street stall from 12.00 noon on Saturday 28 September. The stall will be located on High Street, opposite Marks and Spencer.
If you are in Birmingham, Leigh-on-Sea, or Guildford on those dates, please come along and say hello. If you can spare an hour to help run one of the stalls, please let me know.
Estate Agents in the city of Bath have backed our campaign to cut Stamp Duty.
‘Stamp Duty is a poorly-structured tax,’ says Philip Marshall, partner at Carter Jonas, in the centre of the city. ‘And a blunt instrument that acts as a deterrent to first-time buyers. It causes artificial steps in the property market, as stages up are not graduated in the same way that Income Tax is for example. The jump from 1 % at £250,000 to three per cent at £250,001 is a particular problem.’
‘There are positive signs in the property market right now and people are deterred from getting on the property ladder, and from moving because of Stamp Duty,’ continued Marshall. ‘It’s time for a rethink and we would welcome positive steps to entirely overhaul the system.’
Some 39% of transactions attract 3% stamp duty in Bath, that’s a total income of £20.4 million from homebuyers, who are already finding it a challenge to save for a deposit, let alone to pay sums in excess of £7,500.
‘I’ve always found to go from one to three per cent is an ordinarily large jump for someone to make,’ says Carey Gilliland, from Bath Estate Agent Madison Oakley. ‘It does artificially hold some houses below the £250,000 threshold. It does create a bit of a gap in the prices between £250,000 and £275,000 because people can’t afford to stump up the extra deposit.’
‘You pay Stamp Duty on completion,’ argues Gilliland. ‘You can’t add it to the mortgage so it comes from people’s deposit but mortgage companies are demanding bigger deposits – something’s got to give.’
Send a message to your local MP that enough is enough by clicking on this link to our campaign website.
TPA supporters turned out on a stormy day in the heart of Essex in the county town of Chelmsford to tell the local residents about our ‘Stamp out Stamp duty’ campaign. Setting our stall beneath the grand statue of celebrated local lawyer, Sir Nicholas Tindal, in Tindal Square, we spoke to local people visiting nearby estate agents.
‘Buying a house is already far too costly for many hard-working people,’ says Chris Manby, Essex TPA coordinator, ‘and Stamp Duty is just another horrible sting in the tail. It makes buying a home even more expensive, and puts home ownership further out of reach for young people and families. It should be abolished.’
The sum of money you have to write a cheque for, say £7,500 on a £250,00 house, could buy a car for a family.
In Chelmsford, more than a third of people buying a flat or house, pay the 3% rate or more.
‘It’s the bank of mum and dad that tends to pay for stamp duty now for the first-time buyers,’ said Andy Wren at Location Chelmsford. ‘It’s another burden for them.’ Other estate agents agreed that the local housing market has taken off again but that means more and more buyers fall into the 3% stamp duty bracket.
‘The government’s policies are getting people buying again,’ said Connells, ‘so they’re tending to ignore the stamp duty burden but it’s till there–still has to be paid and take takes money out of the economy for other things associated with house buying.’ ‘It’s dead money,’ said another estate agent. ‘It’s hard enough to save up money for a deposit, let alone pay stamp duty.’
Islington Council has certainly made a financial mess of its efforts to tackle dog fouling. It has disbanded its controversial ‘dog squad’ – the biggest in the country, it seems – after having spent some £240,000 in a three month period from May of last year. It had deployed 22 officers to patrol the borough night and day and issue fines to people caught letting their dogs foul the pavements.
The figure is eye-watering enough on its own, especially when you consider that it was spent in such a short period, but begins to look positively scandalous when it becomes clear, as has been reported, that the number of fines issued in 2012/13, when the dog squad was operational, is actually lower than the number issued the previous year. The actual number of fines issued by the Council for dog fouling by the ‘dog squad’ in 2102/13 was 36—ten fewer than in 2011/12!
Islington Council had announced this ‘dog squad’ initiative with much fanfare in March 2012, claiming that it would recoup most of its cost from fixed penalty notices. However, doubts were expressed right from the start concerning costs and especially the likelihood of fines recovering any significant sum. In fact, with fines of £80 reducible to £50 for prompt payment, the Council would have had to issue at least 1,000 fines a month to recover its costs, a huge target which brings the actual result—a paltry 36 fines—into its true perspective.
Amazingly, the Council still claims that the scheme has been ‘money well spent’ and ‘an enormous success in changing people’s behaviour’. One is bound to ask what evidence they can supply to justify these claims.
Did they quantify the amount of dog mess in the Borough before and after the exercise (surely the only proper evidence that anyone took any notice of the dog squad) or did they engage with dog owners to gauge the effect of their scheme on their attitudes and claimed behaviour? I would be surprised if they did either, but if they did, many local taxpayers would be interested to hear their results. I can’t say I’ve noticed any improvement myself…
Had anyone involved bothered to think before spending all that taxpayers’ money, they would have seen quite quickly that it was unlikely to recover more than a small part of its costs, and that £240,000 was a ludicrous sum to lavish on a project whose results probably could never be measured, at a time when councils everywhere are supposed to be trying to save taxpayers’ money.
Dog fouling is undoubtedly a nuisance in Islington, as it is elsewhere, but throwing vast sums of money at the problem in this thoughtless way is not going to solve it.
Media Wales recently highlighted the plight of 100 workers in one of Wales last major drift mines. The Unity Mine at Heol Wenallt, Cwmgwrach in Neath has in recent years been affected by the decline of the global price of coal, however any chance of salvation has been crushed by Neath Port Talbot County Council.
It has been claimed that the council has been stood idol behind red tape whilst Peter Hain, the MP for the area, has apparently been working tirelessly to save the mine. Mr Hain stated,
“I have been told that men were being laid off because of delays from Neath Port Talbot County Council in delivering planning consents necessary to give confidence for new investment.
The jobs are paid well above the local average and are vital for local communities.”
These job losses are in addition to the 300 jobs lost at a nearby mine earlier this year, which has since re-opened with a faction of the staff. The area also suffered a major jobs blow in 2009 when car parts plant TRW, formerly Cam Gears, announced it was closing.
Job losses in the area could have been limited with more effort from local representatives to cut the bureaucracy standing in the way of business. The Welsh Government have apparently been working to promote Welsh business and Welsh opportunity for over a decade with no benefit for the people of Neath Port Talbot. This is what happens when we put politicians in charge of picking winners and losers in business with other people’s’ money.
Rather than the local economy benefiting from resilient business and well-paid jobs we now have another 100 families worried about their future thanks to the local authority blundering.