THOUSANDS of homeowners in Gwent are bracing themselves for higher council tax bills next year.

New evaluations mean one in five homes in Torfaen has been moved into a higher council tax band.

And in Newport, one in three homes face a move up or down outside their current band.

In Monmouthshire more than 13,000 properties will move up a band, and 2,100 will jump up two bands. Almost 500 properties will increase by a whopping three bands.

In Blaenau Gwent 18% of properties will go down at least one tax band, 7% will go up, and 75% will stay the same.

The shake-up could mean thousands of homes pay more tax and is based on a survey of property values in Wales on April 1, 2003, by the Valuation Office Agency.

Homes throughout Gwent will be told of their new banding later this month, and the changes will take effect on April 1, 2005.

However, homes that are moved into a higher council tax band will not automatically face paying higher council taxes next year.

That depends purely on what rates the council will set for each band. If the council makes allowances for band changes, many homes that have been 'upgraded' could pay a very similar amount of tax to their current rate.

Roy Purnell, who owns a detached house in Mountain View, Llanfoist, Abergavenny, is expecting a bigger bill after discovering his property will jump from Band F to Band G.

Mr Purnell, 66, an Open University lecturer, pays £132 a month in council tax and said he would be hit hard by any significant increase.

He added: "I think the whole council tax system is unfair. At the moment we seem to be paying for bureaucracy. This re-banding is just another blow for Monmouthshire."

The re-evaluation also includes a new top band for luxury homes valued at more than £424,000. A massive 743 properties in Monmouthshire and 30 in Torfaen will fall into this bracket.

Monmouthshire council's deputy leader Councillor Graham Down said: "Yet again Monmouthshire's residents are being penalised."

Band A now covers homes up to £44,000, but estate agent Graham Kingston said Newport had hardly any homes that would be included.

Mr Kingston, of Kingstons estate agents in Newport, said: "It's hard to buy anything for under £70,000 in Newport at the moment. These new council band prices are already 15 to 20 per cent out of date. But the authorities didn't have any choice but to do this. The system is based on property values and the market has moved on hugely."

The Valuation Office Agency will inform homeowners of the changes from September 13 in Newport, and September 20 in Torfaen. It has a helpline on 0845 600 1748 open from 8.30am to 5pm on weekdays.

About half of Wales' 1.3 million homes are expected to stay in the same band, a quarter to go up a band and the rest to go down a band.