‘Passing buck’ on bin taxes

Nov 7 2007 by William Green, The Journal

MINISTERS are facing claims of trying to introduce controversial new bin taxes by “passing the buck” on to councils.

The Taxpayers’ Alliance campaign group hit out at new legislation in the Queen’s Speech that will provide a power to pilot local authority “incentives” to cut household waste and improve recycling.

Ministers have come increasingly under pressure over so-called “pay as you throw” schemes in which households that recycle and minimise waste could be given a rebate while those throwing out too much could be charged more – although they insist it would be revenue-neutral.

Other options put forward in a Government consultation earlier this year include pre-paid sacks and lockable wheelie bins to stop people dumping rubbish in their neighbour’s waste.

Wheelie bins could be weighed to work out how much waste has been thrown out to produce an annual bill, potentially based on 10p per kilogram that would equate to around £50 per property.

Under a flat allowance of £50 per home, a low-waste home producing £20 of rubbish could get a £30 rebate but a property disposing of £80 of material would get a £30 charge.

Matthew Elliott, from the Taxpayers’ Alliance, said: “There is a lot of monkey business going on. It is actually rather immature how the Government is trying to pass the buck onto local councils. They don’t have the guts to come out and say that they are in favour of bin taxes.”

He added town halls were being forced to bring charges in with a recent tight spending settlement putting pressure on local government, claiming charges would not be revenue neutral and cost £250 per household.

A better “carrot” would be to cut council tax for households recycling more or risk rubbish being dumped in neighbours’ bins or in the countryside, warned Mr Elliott.

Sir Jeremy Beecham, vice-chairman of the local government association, said: “The LGA position is very clear.

“We think there should be such a power but whether or not to use it is a matter for local determination.”

He warned schemes might be more difficult in different areas, for example in streets of Tyneside flats compared to more residential areas, while there was an issue of equality in terms of “effectively” taxing the poor. “I would have great reservations about charging in the kind of ward I represent,” said the Newcastle councillor for Benwell and Scotswood.

He added society collectively needed to bear down on the production of waste, such as packaging, with business having a significant role to play.

A spokeswoman for The Department for Environment, Food and Rural Affairs (Defra) said: “What we have done is take the opportunity with the Climate Change Bill to create this power so that if and when proposals are more fully developed local authorities have the option of piloting them.”