Generally speaking, council tax is tremendously regressive and, yup, a poll tax is a much more appropriate way of doing it. In my old flat, there were 4 of us living there, and directly above us in the same floor plan there were 2 people. Yet we paid the same council tax - but we probably threw away double the rubbish, were twice as likely to use local resources like parks and swimming pools, twice as likely to throw up on the street that needs cleaning (who am I kidding - more like four times as likely, on week days anyway) etc. It's barmy that we paid the same. Similarly, the value of the property a) has nothing to do with the amount you use local services and b) is a very clumsy way of graduating the cost because there link between the value of property and the ability of the tenants to pay is fairly weak. For example, that aforementioned flat was probably worth about a million quid because it was a 4 bedroom flat in a Georgian terrace in the middle of Clerkenwell - but we rented it! We didn't own that property, and likewise, people who keep their house and have seen its value rocket will have property worth a lot which doesn't necessarily match their income - of course, this is why they use the bands from 1992 (or whatever) but THAT'S silly too because obviously different areas change value at different times.
I think, if council tax were a locally levied income tax (or was funded entirely from central taxation) and someone then suggested the system we have now, everyone would laugh at them and tell them to take their special pills. It's an awful system.
Not that this has anything to do with the EU's recommendations. Whatever, they're free to recommend whatever they want. I don't suppose Georgie boy will be losing much sleep over it, especially after the IMF thing.