8 November 2006
Philip Dunne today warned that the threat of a new house price tax on Shropshire's family homes, has taken a step closer.Philip Dunne, MP for Ludlow, today warned that the threat of a new house price tax on Shropshire's family homes, has taken a step closer.

This followed news that the review into town hall finances in Scotland is tomorrow set to recommend a 1% house price tax to replace council tax. Last night, the controversial legislation to impose a house price tax in Northern Ireland was forced through the House of Lords. It now looks as if England will be next.

The Scottish Herald has reported this morning that the review into local government finance, commissioned by the Lib-Lab Scottish Executive, is to recommend tomorrow the imposition of a 1% house price tax on local residents (whether or not they own their home).

Under a 1% house price tax, the average property in Bridgnorth would now pay a local tax bill of £1,948 a year and in South Shropshire where average house prices are now over £200,000, the house tax bill would average £2,105.

Mr Dunne said: "This is very worrying indeed. Gordon Brown, supported by the LibDems, is set to clobber ordinary households, already struggling to meet the rising cost of mortgages, utility bills and local taxes, with another of his trademark stealth taxes. Just because house prices have risen doesn't mean that local residents can afford even higher local taxes."