Labor Threatens Second Strike Over Tax Hike of Tens of Millions

Labor Threatens Second Strike Over Tax Hike of Tens of Millions

Policing, Pay, and the Hunger for a Higher Tax: A Crash Course in 2025

Imagine the next time you sip your coffee, you’re also walking through an electrical shockboard on your household bill. That’s the reality the Labour team tries to sell to the public: an extra £986.9 m for policing that translates into a sharp rise in council tax, about £14 per home. That modest charge drags the total tax bill up by almost £330 million.

The Money Move

  • Full package: £986.9 m for 2025‑26 policing.
  • Less than a third of that is earmarked for a new £14 council tax surcharge.
  • Another £230 m goes to cover police officers’ employer’s National Insurance bump.
  • The rest, roughly £657 m, is a general grant to keep the forces afloat and pad the core funding.

Why the Rich Get Richer

Historian Andy Cook, the watchdog, calls the funding formula an anachronism—like a Victorian tie on a titanium bike. The old system means that police in affluent areas get more money, while those in lower‑income districts get squeezed.

“They’re stuck on a one‑year budget cycle,” said Dame Diana Johnson to MPs. “It’s hard to anticipate and maintain a consistent strategy for policing when you’re chasing the next shuttered grant.”

The Hidden Spiral

  • Inner‑city boroughs (Merseyside, Manchester, West Midlands) have less property tax revenue.
  • Higher council tax rates hit families who might already be carrying a financial lead.
  • The result: the brightest streets end up with the \Quiet Curse of Police Scarcity.\

Leaders’ Lip‑Sync to the Headlines

Home Secretary Yvette Cooper posits the £986.9 m surge as a “much‑needed boost” to drive the “Safer Streets” mission. She promises more neighbourhood officers, cracking down on knife crime, domestic violence, and any restlessness in the high streets.

Meanwhile, Dame Johnson lays it out in plain terms: “got a sizable influx of money for core grants, employer NIC, and new patrol resources.” The big number: £100 m just for the first round of 13,000 extra police officers, PCSOs, and special constables.

Bottom Line

The financial levies that underpin policing are creeping the same way a line on a pie chart: the richer, the more it takes. Which means families will need to lean in deeper for a safety net that arguably is already uneven.

In short, expect the next household bill to glow a little brighter—thanks to increased policing budget. And while the forces get new gear and 13,000 new recruits, there’s still the looming question: how much of that extra grant will actually hit our neighbourhoods and not just the high‑end corner offices? The answer remains to be seen.