More than £2 million in council tax went uncollected in Powys last year, it has been revealed.

It puts the cash-strapped county council in eighth position in a league on council tax collection among Welsh councils which was compiled by the GMB, the UK’s largest general union.

Just last week Powys County Council announced it would have to shed up to 800 jobs in the next four years in a bid to cut costs and balance its books.

But Powys County Council said today its tax collection rate was actually one of the best in Wales at 97.3 per cent, compared with an average of 96.4 per cent.

Council officials have also pledged to improve on that in the next four years.

John Evans, a spokesman for Powys County Council, said today: “Council tax collection rates in Powys are among the best in Wales. The council collected 97.3per cent of the due amount in 2009/2010 — the Welsh average is 96.4 per cent and the leading authority collected 97.8per cent.

“The council set a target of collecting 97.5 per cent a year for the next four years when it approved its new Change Plan last Thursday.” He added: “Council tax is an important part of the council’s funding and the impressive collection performance rate ensures vital resources are channelled to frontline services.

“At a time when budgets are under increasing pressure it is important income is collection efficiently.”

He said legal action would be taken against people who had not paid council tax.

The GMB’s report shows Cardiff had most uncollected council tax with £6.3 million with Swansea next with £4,808,000 uncollected.

For all 22 councils in Wales uncollected council tax amounted to £43,752,000 in 2009/10.

Allan Garley, GMB regional secretary for Wales said: “This level of uncollected local taxes cannot be accepted at a time when there are deficits in the public finances which are giving rise to cuts in public services and job losses at a time of high unemployment.

“GMB has called for the rules to be revamped to make non payment of what amounts to a property tax almost impossible.”

By Debbie Knox