20 Rejected

New Burdens doctrine insufficient to prevent local government unfunded mandates

Conclusion
The New Burdens doctrine, which requires government departments to ensure any new responsibilities for local authorities are fully costed and funded, is a vitally important part of government financing but is not robust enough to prevent unfunded mandates. (Conclusion, Paragraph 75)
Government Response Summary
The Government does not accept the recommendation to devolve full responsibility for setting council tax to individual councils at this time, citing existing local authority control over tax levels and discretionary powers.
Government Response
Rejected
HM Government Rejected
64. The Government does not accept the recommendation to devolve full responsibility for setting council tax to individual councils at this time. Council tax is already a localised tax – local authorities are responsible for setting tax levels, administering and collecting the tax, and have discretionary powers over discounts, premiums and support for working age people.
Source
Committee Housing, Communities and Local Government Committee
Inquiry The Funding and Sustainability of Local Government Finance
Report 2nd Report - The Funding and Sustainability of Local Government Finance 23 Jul 2025 HC 514
View on Parliament website
Addressee Bodies
Ministry of Housing, Communities and Local Government
Timeline
Recommendation age 0.9 yr
Report published 23 Jul 2025