Westminster City Council is one of three Conservative London boroughs, alongside Kensington and Chelsea and Wandsworth, formally challenging the Government's Fairer Funding Review, Fitzrovia News has reported.
In a letter dated 20 August, the three council leaders wrote to Prime Minister Andy Burnham: "Your announcement [on devolution] pledged to promote growth in every postcode by letting local authorities keep the proceeds of taxes. But the reverse is happening here, every postcode is being punished, every postcode is facing higher local taxes."
The letter continued: "It would seem that Labour's devolution only entails higher taxes and never keeping taxes down. True localism and decentralisation would allow for tax competition between local areas: allowing for low taxes, if local voters wish, supporting the taxbase through higher economic growth and attracting residents and businesses to lower tax areas."
The letter was signed by Cllr Elizabeth Campbell (Kensington and Chelsea), Cllr Paul Swaddle OBE (Westminster), and Cllr Robert Morritt (Wandsworth), who intend to use a legal power to formally challenge the review's decision. Under the changes, Kensington and Chelsea, Westminster, and Wandsworth are set to lose £108 million, £100 million and £84 million respectively over the next four years. Neither the Prime Minister's office nor the Ministry of Housing, Communities and Local Government responded to the Local Democracy Reporting Service's request for comment.
Three London Tory councils plead for Burnham to review multi-million pound funding cuts
Cllr Paul Swaddle said
"The Government's Fairer Funding Review is stripping hundreds of millions of pounds out of London councils, including here in Westminster.
"Andy Burnham needs to explain why Londoners, who already pay some of the highest taxes and housing costs in the country, are being asked to subsidise a political fix elsewhere."
You can read Katherine Gray's article for Fitzrovia News in full on their website.
