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18 September 2026

Scots back Council Tax reform that asks owners of higher-value homes to pay more

The public has spoken: the status quo is not fit for purpose.

A major Scottish Government consultation has found that more than eight in ten respondents support reforming Council Tax, while two-thirds back updating property values which are still based on what homes were worth in 1991.

The consultation also found strong backing for protecting ordinary households, with almost four in five respondents supporting measures to limit bill increases and a majority backing expanded support for households on lower incomes. 

Perhaps most strikingly, none of the public engagement groups chose to keep the current system, with participants repeatedly describing Council Tax as outdated and unfair.

Tax Justice Scotland, a campaign backed by more than 50 organisations from across Scotland, including anti-poverty charities, environmental organisations, social enterprises, academics, economists, policy think tanks and trade unions, said the findings show growing public momentum behind Council Tax reform. Drawing on 1,291 consultation responses and public engagement events held across Scotland, the exercise found overwhelming support for change and little appetite for retaining the status quo.

Katherine May, Head of Oxfam Scotland and Member of Tax Justice Scotland, said: ” Scotland has built a Parliament, lived through seven First Ministers and watched a generation grow up since homes were last properly valued.

“For years we’ve been told Council Tax reform can’t happen without consensus. This consultation suggests Scotland has already made up its mind.

“People understand a simple principle: when property wealth has grown so dramatically over the last 35 years, those with the most valuable homes should contribute more. Council Tax is one of the few ways Scotland taxes wealth, yet it’s still based on property values from 1991. It’s long past time for this tax to reflect modern reality. The challenge now isn’t building support for reform. It’s finding the political courage to deliver it.”

The findings come ahead of a forthcoming Council Tax Bill announced in the recent Programme for Government. Tax Justice Scotland said ministers must use the legislation to revalue properties and replace Council Tax with a fairer tax on property wealth by the end of this Parliament, rather than simply patching up a system that has long outlived its sell-by date.

The campaign said the consultation points clearly towards greater support for taxing property wealth more fairly, with respondents gravitating towards the most progressive options available. The most popular reform option was a revalued 14-band system that would ask owners of higher-value homes to contribute more. However, Tax Justice Scotland says the proportional property tax it supports was not included among the options put to the public.

The omission was also highlighted by the Poverty and Inequality Commission, which noted that the model had been assessed by the Institute for Fiscal Studies as part of the supporting research and analysis for the consultation, but was not offered as an option.

Laurie Macfarlane, Co-Director of Future Economy Scotland and Member of Tax Justice Scotland, said: “Unfortunately, the Scottish Government’s consultation didn’t offer the kind of property tax reform we want to see. Even so, people gravitated towards the option that would make owners of higher-value homes contribute more.

“That should tell Ministers something important: Scotland is ready for a fairer way of taxing property wealth. Politicians shouldn’t mistake caution in the consultation design for caution among the public.”

Tax Justice Scotland said the consultation also served as a reminder that fairness is about more than property values.

Respondents repeatedly raised concerns about the potential impact of reform on pensioners, disabled people and households on lower incomes. Campaigners said that underlines the need for strong protections alongside any changes, including expanded support schemes and measures to prevent sharp increases in bills.

The findings also pointed to the gender impact of the current system. Respondents highlighted that women are more likely to have lower incomes, lower levels of wealth and unpaid caring responsibilities, meaning they can be among those hardest hit by rising household costs.

Roz Foyer, General Secretary of the STUC and Member of Tax Justice Scotland, said: “Workers are rightly worried about the future of local services given the scything cuts proposed from Scottish Government ministers. We cannot build world-class public services on the meagre, shoestring budget that condemns our local authorities to further managed decline. 

“A fairer, more proportionate Council Tax system ensures Scotland raises the revenue needed to support the public services we all rely on, while protecting households on low incomes from being pushed further into hardship. It is sheer folly for the Scottish Government to continue burying its head in the sand over replacing the council tax. 

“The public has demanded change. It’s high time ministers get on with delivering it.”

 

/ENDS

For more information and interviews, please contact: Rebecca Lozza, Oxfam Scotland Media and Communications Adviser: rlozza1@oxfam.org.uk / 07917738450

Notes to Editors

  • About Tax Justice Scotland

Tax Justice Scotland is a campaign supported by more than 50 organisations, academics and economists. Its members include anti-poverty charities, environmental organisations, social enterprises, policy think tanks and trade unions. Tax Justice Scotland campaigns for a fairer tax system that delivers for people, public services and the planet. Read Tax Justice Scotland’s briefing, Outdated and Unfair: The Case for Council Tax Reform, here: https://bit.ly/40RkT5T