The Local Government Association (LGA) has repeated its call for Landfill Tax paid to the government to be returned to councils to help fund waste and recycling infrastructure.

The call comes ahead of the April 1 increase in Landfill Tax from £32 to £40, a move that the LGA today (March 18) claimed meant that the tax would cost councils a total of £620 million in 2009/10 - equivalent to £30 for every household in England.

Landfill tax is quite literally costing councils the earth and this latest rise will only add to the bill

 
Cllr Paul Bettison

Councillor Paul Bettison, chairman of the LGA's environment board, said: "Landfill Tax is quite literally costing councils the earth and this latest rise will only add to the bill. The fear is that householders could ultimately pick up the extra cost.

"Dumping rubbish in a hole in the ground isn't just bad for the environment, it threatens to hit the council taxpayer in the pocket unless we cut back," he added.

Cllr Bettison called on the government to demonstrate in a "clear and transparent way" just how the money raised by HM Revenue and Customs through the Landfill Tax was being returned to councils.

"Councils could use this cash to keep council tax down and build the waste and recycling facilities that the country needs," he argued.

He added: "Punishing councils and council taxpayers is not going to help increase recycling rates. This money should be used to help make recycling even easier for busy householders."

Last year, the LGA claimed that over the three years of the current escalator, Landfill Tax would cost councils £1.5 billion, adding £70 to the council tax bill for each household (see letsrecycle.com story).

Cllr Bettison's comments come just weeks before the Chancellor, Alistair Darling, is expected to reveal in the Budget on April 22 exactly how Landfill Tax will increase once the current £8-a-year escalator runs out in 2010/11.

Friends of the Earth

The call for money raised from Landfill Tax to be directly put back into recycling schemes was echoed by Friends of the Earth's waste campaigner, Michael Warhurst, who also called for a similar levy to be introduced for incineration.

"More cash needs to be put into recycling schemes, which create jobs and cut climate-changing emissions," he said.

"The government should move beyond taxing landfill and tax incineration as well - burning rubbish wastes valuable resources and pumps out climate pollution," he added.