Prescott scoffs at Byers

Prescott scoffs at Byers’ council tax plans

Prescott scoffs at Byers’ council tax plans

Stephen Byers’ proposals for reforming council tax have been dismissed by John Prescott as “the private musings of a backbencher”.

The deputy prime minister leapt to the defence of his own policies after the former transport secretary’s ideas were made public on Sunday.

Mr Byers suggests that businesses should pay for part of any reform of the council tax, in a speech due to be delivered tomorrow.

In the speech, released to the press ahead of a local government conference on Thursday, Mr Byers stresses that the average council tax bill would be slashed by more than 20 per cent (an average of £234), if business rates were not pegged to inflation.

Mr Prescott reacted angrily to Mr Byers’ suggestions yesterday, saying: “Mr Byers’ proposals are the private musings of a backbencher. They do not represent government policy.”

Mr Byers will attack the council tax as “unfair” and also recommend tomorrow that pensioners should be able to defer council tax payments until their death.

He will claim that poorer people are paying a disproportionate amount towards local spending in relation to their wealth and state that the council tax is unsustainable.

“The present system of council tax is unsustainable. It needs to be replaced by a new system which protects pensioners and those in greatest need while ensuring that business pays its fair share,” Mr Byers will say.

Liberal Democrat spokesman Edward Davey commented ahead of the speech: “Speeches by former cabinet ministers, leaks to the national press combined with nods and winks, are no substitute for action.”

A review of local government funding is due to report this summer.