Bedford Borough Council has become a ‘fair tax’ council, committing to do the right thing in their own tax affairs, requiring greater transparency from suppliers, and joining calls for rules to tackle tax avoidance from supplier businesses.
Cllr Lucy Bywater (Green Party, Castle) who brought the motion before Full Council yesterday (Wednesday) said: “As Greens, we believe in thinking globally and acting locally. This does that with tax.
“We want to see the council take a lead by backing responsible businesses that pay their fair share of tax. Fair Tax Mark principles are about openness and fairness, helping create a level playing field for businesses large and small.
“Paying tax responsibly and transparently should be celebrated, and races to the bottom resisted.
“Right now, with the economy looking so weak, tax is vital to fund our struggling public services, to assist recovery from the pandemic and build a local low carbon economy.”
Research by the Fair Tax Foundation recently found that two-thirds (66%) of the public agree that the Government and local councils should consider supplier companies’ ethics.
Including how they pay their tax and the value for money and the quality of service provided.
The UK as a whole is estimated to lose around £17bn in corporation tax receipts every year as a result of multinational profit shifting alone.
Aggressive tax avoidance negatively distorts national and local economies and reduces contributions that support vital public services on which we all rely.
Hearing the news of Bedford Borough Council’s commitment, Mary Patel, Networks Manager at the Fair Tax Foundation added: “We’re delighted to see Bedford Borough Council standing up for responsible tax conduct by supporting the Councils for Fair Tax Declaration.
“Together with our Fair Tax Councils, we are calling on the UK Government to change the rules so local councils and other public bodies can reward supplier businesses that pay tax fairly and transparently.
“Alongside this, it’s vital that Government presses ahead with planned reforms to the UK’s corporate registration service, to drive down fraud and dirty money and enable a more trusted and efficient business marketplace to evolve.”
Bedford Borough’s Conservative Councillors also welcomed the news but added that they felt the issue had become unnecessarily political.
Cllr Tom Wootton (Conservative, Wyboston) said: “I and The Bedford Conservative Group have always believed in the openness, fairness and transparency of Fair Tax, which is why we supported the Green Party’s motion.
“Fair Tax shouldn’t be a party political issue and it is deeply disappointing that the Liberal Democrats sought to play childish games on an issue that should have received cross-party support.
“Their assertion on lack of international action and the G7 tax avoidance consensus is a distraction, no international government has implemented the G7 resolution.
Bedford Borough Council had an opportunity to send a powerful message of unity to the Government on Fair Tax.
“This has now been scuppered by the Liberal Democrats politicisation of an issue and motion that was never political in the first place”
The Bedford Independent has asked Bedford Borough Council for a comment on fair tax status but they did not respond before publication.
However, in a separate statement, Mayor Dave Hodgson (Lib Dems) did announce that various council charges have been frozen to support local people during the cost of living crisis.
These include freezing marriage and registration costs, cremation or burial service costs and freezing car park charges for the sixth year in a row.
Mayor Dave Hodgson said “It is vital that we help our residents in any way we can which is why we have taken the decision to freeze fees and charges for residents. When the cost of everything is going up, it is important that residents know that council services will remain the same price.”
“Many other councils have decided not to support residents with a fees and charges freeze. For example, residents in Central Bedfordshire will pay 6.5% more for a wide range of council services next year.
“This will be another blow to residents who are struggling to cope with cost of living pressure as UK inflation hits 10% and energy prices soar.
Bedford Borough Council-owned car park charges will also be frozen for the sixth year in a row. This decision also includes the two hours free parking deal, which was introduced by the mayor in 2013.
As well as two hours free on Saturdays in council town centre car parks, Queen Street car park is free for the first two hours every weekday as well.
