Regular readers will be aware of the negative subsidy system and how this year it is costing Cambridge Council Tenants around £12million, around £3million from King's Hedges.
The claimed logic behind the scheme was that money from council tenants in wealthy areas could be used to help other council tenants in other areas. This has now been blown out of the water as nearly £200million is being kept by the Treasury from the fund that was supposed to be distributed to other councils.
In fact it always was a stealth tax to cover the fact the Labour government wasn't willing to improve the lot of those in poor conditions in a fair way. Now it is clear that it is just a stealth tax to help the Treasury out of a hole.
Lembit Opik MP, the Liberal Democrat shadow Housing Minister, observes that "following the 10p tax debacle, and now a massive tenant tax, it's clear that this is a government that is prepared to take from those who can least afford it just to balance its own books."
This tax is preventing us, and other council's including those who are supposed to get money under the system, from investing properly in our stock.
This is at a time when 1.67 million people are on waiting lists. A figure that is 60% higher than when Labour took office.
The LibDem policy is clear and summed up by Lembit: "It's time to scrap the tenant tax."
This press release summarises our policies, but to see in more detail what we'd do if we were in government have a look at our policy papers, particularly on housing and affordable homes.
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