The Scottish National Party (SNP) has renewed efforts to reform Scotland’s council tax system, aiming to make it “better and fairer.” The Scottish Government, in collaboration with local authority body Cosla, has launched a public consultation and commissioned independent analysis to explore alternative models.
For over a decade, successive Scottish governments have discussed reforming council tax, yet a definitive solution has remained elusive. The issue has resurfaced amid concerns over outdated property valuations and fairness in taxation. The government is now seeking public input and expert recommendations before the matter is debated in the Scottish Parliament.
Calls for a fairer council tax system gain momentum
The SNP has long advocated for council tax reform, with its 2021 Holyrood manifesto pledging a commitment to making the system more equitable. The government has now commissioned expert analysis to model potential alternative taxation frameworks, ensuring that reforms account for market changes and financial sustainability.
According to Scottish Finance Secretary Shona Robison, the government’s collaboration with Cosla will help shape a taxation model that is “fairer, financially sustainable and fits a modern Scotland.” Robison emphasised that public engagement would be central to the process, enabling citizens to contribute to discussions about how local taxation should evolve.
Cosla’s resources spokesperson, Councillor Katie Hagmann, echoed these sentiments, highlighting the need for a proportionate council tax structure that benefits both individuals and communities. The initiative aims to balance local revenue needs while addressing public concerns over the fairness of the existing system.
Outdated valuations and alternative proposals under consideration
One of the key criticisms of the current council tax system is its reliance on property valuations dating back over 30 years, long before the establishment of the Scottish Parliament. Experts suggest that as many as half of all properties in Scotland may be misclassified, leading to disproportionate tax burdens.
According to Craig Dalzell, head of policy at Common Weal, reforming the system could lead to lower council tax bills for up to 80% of Scottish households, primarily due to corrections in property banding classifications.
The University of Glasgow’s Professor Ken Gibb has suggested that a proportionate property tax (PPT) could replace the current banding system, linking tax more directly to property values.
The campaign for reform has also received backing from organisations such as Oxfam Scotland and Tax Justice Scotland, which advocate for nationwide property and land revaluations as a first step.
Lewis Ryder-Jones, an advocacy adviser for Oxfam Scotland, has described council tax as “enormously unfair and absurdly outdated,” urging ministers to move beyond consultations and lay out a clear legislative roadmap for reform.
