Rich London Boroughs Face Big Tax Hikes on Top of ‘Mansion’ Levy

Six wealthy areas in and around London are set for annual tax hikes in excess of 5% in the coming years, after the Labour government lifted a cap on council levies to make up for its efforts to shift funds to poorer communities.

The councils, including Kensington and Chelsea, Wandsworth and Westminster, will be allowed to increase taxes above the current cap, Local Government Minister Alison McGovern said in changes outlined in the House of Commons on Wednesday. The new funding formula gives greater weight to an area’s deprivation, meaning wealthier areas are expected to receive funding hits and raise ...