Conservatives seek legal advice to challenge Wandsworth tax rise

The Conservative party has engaged a senior barrister to assess the legal position regarding local government funding cuts, following significant controversy over a proposed council tax increase in Wandsworth. Kemi Badenoch, the party leader, confirmed that the party has instructed lawyers to determine whether the recent changes to the funding formula can be blocked. This move follows the announcement by the Tory-run Wandsworth Council that it intends to raise taxes for band D residents by 94 per cent, an increase of £958 per household from next year. The council is expected to make a final decision on the proposed rise early next year.

Badenoch described the proposed hike as outrageous, although she emphasised that local councillors were not acting out of desire but in response to severe financial pressures. She stated that the party is currently speaking to a King’s Counsel to explore potential legal avenues before deciding on further action. The council has cited a spending gap of approximately £1,434 for average households, attributing more than a third of this deficit to government funding cuts. The remaining shortfall is attributed to inflation and inherited plans from the previous Labour administration. Local leaders have criticised the government, noting that they are set to lose £84 million a year due to recent changes in the funding formula.

The announcement has drawn sharp criticism from opposition figures. Labour MPs in the area, including Marsha De Cordova, Rosena Allin-Khan, and Fleur Anderson, have rejected the council’s position, stating they would not support any bid for additional funding. Despite the political friction, Badenoch acknowledged the impact on residents, noting that a nearly 100 per cent increase would cause extreme worry for families managing their budgets. She argued that even if average tax levels in the area remain lower than elsewhere, affordability remains a critical concern for individual households.

A spokesperson for the Ministry of Housing, Communities and Local Government responded by asserting that local authorities are responsible for setting their own tax levels but must prioritise taxpayers. The department highlighted that over £78 billion has been made available for council finances next year, with the majority of funds unringfenced to allow local leaders discretion in spending. The government also stated it is working to fix an outdated funding system to ensure resources reach areas of greatest need while protecting councils during the transition period. Wandsworth Council was contacted for comment regarding the legal consultations and the proposed tax changes.