The Local Government Bill was finally passed last week after the House of Lords reversed an earlier vote to amend one of its key proposals.
Peers gave their assent to government plans to pool capital receipts from right-to-buy sales, despite continued opposition from some on the Tory and Liberal Democrat benches.

Baroness Maddock, the Liberal Democrat House of Lords spokeswoman for local government, said the pooling of receipts opposed the bill's rhetoric of providing councils with "freedoms and flexibilities".

"We all agree that we want to see local authorities being able to operate freely to do what they think is right in their areas.

"However, so much bureaucracy has gone with some of those freedoms," she said.

The section of the law that deals with pooling receipts is due to come into force on 1 April.

The government is now consulting on proposals in the same bill that would allow councils to keep a greater share of the council tax they receive from businesses.

The move follows local government minister Nick Raynsford's call to cap spiralling council tax bills, contradicting pledges he made earlier this year.

He said council tax charges, which rose by an average of 13 % this year, were reaching the "limits of acceptability" and were now testing the public's tolerance.