Hamza Khan, West London Socialist Party
Hammersmith and Fulham Labour council has warned that it needs to raise council tax by up to 150% in order to maintain existing services. The council is losing more than half its government grant, under Labour’s new funding formula.
Some households could see yearly increases of £1,514. This isn’t to improve services, but simply to keep them in their current state of collapse.
The Labour government claims that the ‘fair funding’ review redirects money from affluent areas to those hit hardest by austerity. In reality, Hammersmith and Fulham’s grant will fall from £151 million to £72 million, over the next four years.
The council says it has followed Labour policy – cuttings costs and investing. Labour council cabinet member Rowan Ree has written to residents to say that the council is “ruthlessly cutting costs”.
But this has not protected it from more austerity. Hammersmith and Fulham has already had a 54% funding cut since 2010.
The Labour government has given some councils permission to raise bills above the usual 5% – replacing national funding with higher charges on local residents. This is austerity continued through local taxation.
Hammersmith and Fulham already has significant deprivation. It’s one of the poorer councils in England.
The A&E at Hammersmith hospital was closed during austerity, while we had to fight to keep the Charing Cross A&E open. Now residents are stuck between huge tax rises and further cuts to services, while the super-rich get richer.
The Labour government insists that councils should put taxpayers first. Yet, it is withdrawing the very funding that keeps services running. Working-class communities pay more, while services continue to shrink.
Hammersmith and Fulham Labour council should refuse to pass on cuts. Instead, it should set a budget based on the needs of the community, and demand that central government restores the funding taken from local authorities over the past 16 years.
Austerity is a political choice. It will only be reversed through an organised fightback.
Trade unions, community organisations, and residents should come together to fight for a budget that guarantees jobs, homes, and services. It’s clear Labour won’t do that, we need to build a new political voice that will.
