Land value tax in Wales could replace council tax and rates
The former first minister said the Welsh Government continues to explore the feasibility of LVT as used in countries such as Denmark and Singapore.
Professor Drakeford has long supported a LVT, arguing those who have the privilege of ownership should pay something back for that privilege.
LVT is levied on the value of the land rather than the property itself.
Proponents argue LVT is easier to collect, more efficient and difficult to avoid, while discouraging speculation and encouraging people to bring idle land back into use.
Professor Drakeford told the Senedd: "I am anxious to see this discussion move beyond the theoretical and into the realms of the practically possible.
He explained that the Welsh Government has invited tenders to test approaches to valuing land, with submissions for every aspect of the work.
The finance secretary said: "I want to use the coming months to test the boundaries of what might be possible in the next Senedd term.
"Let's open the door to more radical, fundamental and progressive reform in the future."
He added: "The current system is unfairly weighted against those who experience difficulty in paying.
"I want to shift the focus from harmful escalation towards supportive prevention."
He stated ministers will introduce a new council tax appeals process by April 2026 that will be "easier to navigate and provide a better, modern system for taxpayers".
Peter Fox agreed that council tax is regressive by nature "and that it will never really become a fair local tax".
Mr Fox accused the Welsh Government of increasing tax on families "by stealth" through underfunding councils which, in turn, pass on the shortfall to people.
He called for reform of the "outdated and flawed" funding formula.
Professor Drakeford replied: "Almost every local authority in Wales will agree that the formula needs revision – nobody can agree on how that should be done.
"The 22 local authorities each believe that the formula uniquely disadvantages them."
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Herald Scotland
12 minutes ago
- The Herald Scotland
100,000 electric vehicle charging points to be installed with £381m funding
The new charging points come on top of 80,000 already installed publicly across the UK, and tens of thousand more installed privately. Transport minister Lilian Greenwood said: 'This Government is powering up the EV revolution by rolling out a charge point every 29 minutes, and our support to roll out over 100,000 local charge points in England shows we're committed to making even more progress. 'We're delivering our Plan for Change by investing over £4 billion to support drivers to make the switch, while backing British car makers through international trade deals – creating jobs, boosting investment and securing our future.' The money comes from the Government's Local Electric Vehicle Infrastructure fund, which helps councils to instal new EV charging points. Meanwhile, in a sign of growing market confidence in EVs, London-based firm Believ has secured £300 million to roll out charging points across the UK.
Western Telegraph
17 minutes ago
- Western Telegraph
Move faster on firms' public contracts ban, Grenfell survivor urges Government
Bereaved and survivors of the blaze will gather on Saturday in west London for the annual commemoration of the disaster which claimed 72 lives. It is likely to be the final anniversary which takes place with the tower still standing in its current form, as demolition work could begin in September. Former tower resident Edward Daffarn, who had previously raised safety concerns and predicted a 'catastrophic event' at the tower seven months before the fire, said this year's memorial will be 'all the more poignant' for that reason. But Mr Daffarn is hopeful a new documentary about the blaze, due to air on Netflix next week, will spur Government efforts to take action against companies linked to fire. He told the PA news agency: 'One thing that this documentary needs to do is it needs to put pressure on the Government to ensure that the companies involved are not able to access public funding, and I'm hoping that this documentary will accelerate that process.' The Cabinet office confirmed in February that seven companies were facing possible bans – cladding firm Arconic, insulation firm Kingspan, former Celotex owners Saint-Gobain, fire inspectors Exova, design and build contractor Rydon, architect Studio E and subcontractor Harley Facades. Grenfell survivor Edward Daffarn has spoken out ahead of the eighth anniversary of the fire (Lucy North/PA) It is understood investigations were launched into all of them in March, looking into whether any engaged in professional misconduct for the purposes of the Procurement Act 2023, potentially leading them to be debarred from public contracts. No timeline has been given for how long it might be before outcomes are known. The final Grenfell Tower Inquiry report, published in September, concluded victims, bereaved and survivors were 'badly failed' through incompetence, dishonesty and greed. The west London tower block was covered in combustible products because of the 'systematic dishonesty' of firms who made and sold the cladding and insulation, inquiry chairman Sir Martin Moore-Bick said. He called out 'deliberate and sustained' manipulation of fire-safety testing, misrepresentation of test data and misleading of the market. Mr Daffarn said the documentary will be the first 'that truly exposes and brings into people's living rooms' the 'cowardice of the corporates and how profit was put before people'. He said; 'I hope that people who watch the documentary come to understand that although Grenfell happened eight years ago, there's a lot that still hasn't been resolved and, as a consequence, the companies involved with Grenfell just seem to want to brush everything under the carpet and carry on making money. 'And I think the documentary clearly exposes how little these companies and individuals have been held to account for their roles in Grenfell.' On Government efforts, which Sir Keir Starmer first announced last September, to debar companies, Mr Daffarn said the process is 'too slow' and bereaved and survivors are 'still waiting' for companies to face consequences. He said anyone left angered by the documentary could avoid buying products from companies criticised in the report to 'make sure that those companies understand that there is a consequence of their actions'. The final report was published by the Grenfell Tower Inquiry in September (James Manning/PA) Bereaved and survivors have long campaigned for criminal charges to be brought over the disaster. Police and prosecutors have previously said investigators would need until the end of 2025 to complete their inquiry, with final decisions on potential criminal charges by the end of 2026. The near 10-year wait for justice has been described by families as 'unbearable'. The decision to bring the tower block down was confirmed earlier this year and prompted mixed reaction, with some people feeling their views had not been properly taken into consideration. Sharing his own opinion, and acknowledging the difficulty others feel in seeing the tower regularly, Mr Daffarn said: 'I think the anniversary is made all the more poignant by the fact that this is the last time that we will meet with the tower in situ. 'We haven't got justice yet. It feels wrong to be pulling the tower down while so much remains unresolved.' The Government said while some had hoped the building could remain in place as a reminder of what happened, others had reported this would be 'too painful'. The demolition process is expected to take around two years. A Government spokesperson said: 'As we approach the eighth anniversary of the Grenfell Tower tragedy, our thoughts remain with the bereaved families, survivors and the immediate community. 'This government remains committed to ensuring that what happened at Grenfell is never forgotten, and to delivering the change needed so it can never happen again.'
South Wales Argus
35 minutes ago
- South Wales Argus
Caerphilly residents to separate their recycling from 2027
This will be from late 2027 to early 2028. The council hopes to boost recycling rates and exceed Welsh Government targets. A report proposes several changes as part of the council's Waste and Recycling Strategy. These align with the Welsh Government's collections 'blueprint'. The changes will be considered by councillors in the coming weeks. Proposals include introducing new containers for the 'blueprint' recycling service, reducing non-recyclable waste collection to every three weeks, and implementing seasonal, fortnightly garden waste collections. There will also be a separate, weekly Absorbent Hygiene Products (AHP) collection service. Caerphilly is currently falling short of Welsh Government recycling targets and risks fines unless recycling increases. The changes will see residents shift from brown wheelie bins to re-useable bags and a box for separating recyclable materials. This could involve five separate receptacles: a bag for cardboard, a bag for metal, cans, foil, and cartons, a bag for paper, a caddy for food waste, and a box for glass. Councillor Chris Morgan, the cabinet member responsible for waste and recycling, said: "Our current system, whilst convenient for residents, is not the most efficient way to maximise our recycling rates and we often experience problems with recycling bins being contaminated. "Separating items such as glass, paper and cans into separate receptacles is much more effective and bring us in line with many other neighbouring local authorities who are already seeing positive impacts on their recycling rates." The report will be looked at by the Housing and Environment Scrutiny Committee on June 17 before a cabinet meeting makes a final decision in July. The full details of the report are available on the Caerphilly County Borough Council website.
