PEOPLE in Wales are campaigning for change to the current council tax system.
Following the government’s announcement that will see households across Wales and England paying an additional £1.8 billion in council tax over the 2021/22 tax year – an average of £100 rise per household – people are demanding change.
Currently, council tax bands in Wales are assessed by several factors, such as properties size, layout, character, location, change in use, and value.
The value is based on the price the property would have sold on the open market on April 1, 2003, not current market prices.
Campaigners are pushing for property taxes to be based on today’s property values and homeowners’ ability to pay as an alternative.
The national average payment for council tax across Wales was £1,544 per dwelling, with the average salary at £26,805 – resulting in Welsh residents paying an average of 5.76 per cent of their average annual pay. But how does council tax in the Vale of Glamorgan compare with the rest of Wales?
Specialist mortgage platform Haysto analysed which areas across Wales are paying the most and least council tax contributions, based on the percentage of average annual salary spent on council tax in each area.
The Vale of Glamorgan is included in the 10 areas of Wales for highest council tax as a percentage of annual pay.
According to this data the average annual pay in the Vale of Glamorgan is £29,035 and the average council tax per dwelling is £1,767 which equates to 6.09 per cent of annual pay.
Comparatively, the data shows that Caerphilly has the lowest council tax as a percentage of annual pay - at 4.53 per cent - and Gwynedd residents are expected to pay the highest percentage of their annual salary for council tax [in Wales] at 7.2 per cent.
Gwynedd, Powys, Denbighshire, Ceredigion, Isle of Anglesey, and Conwy pay more council tax as a a percentage of annual pay than the Vale of Glamorgan.
Although Swansea, Cardiff, and Monmouthshire are included in the 10 areas of Wales for highest council tax as a percentage of annual pay their percentages are lower than that of the Vale.
Specialist Mortgage Broker and Co-Founder of Haysto, Paul Coss, said: “Many people across Great Britain will be feeling the sting of the latest council tax increases, particularly those already struggling with finances due to the ongoing pandemic.
“With Welsh residents disproportionately paying more for their council tax in relation to their income than anywhere else in the UK, you can check whether you’re entitled to any discounts and exemptions to ensure you’re not paying more than you need to.”
The full findings are available at www.haysto.com/which-parts-of-gb-have-the-worst-deal-on-their-council-tax
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