Revised Council Tax Reduction Scheme
June 27, 2024 Strategy & Resources Committee (Committee) Approved View on council websiteFull council record
Decision
An outline proposal was presented for a
Council Tax Reduction (CTR) Scheme for the council tax year
2025/26. Tandridge was currently among the minority of Councils to
operate the ‘default scheme’ designed by the former
Department for Communities and Local Government upon the abolition
of the Council Tax Benefit system in 2013 and since amended by
relatively minor legislative changes.
The objective was not to reduce
the level of Council Tax support for those in need. Instead, the
proposed changes would reduce the Council’s administrative
costs whilst providing an increased level of customer service
through reduced processing times and the need for fewer
transactions. The proposals amounted to a simplified
‘income banding scheme’ comprising the following
elements:
·
relief entitlements to be based on where a
household’s total income falls within a range of specified
bands
·
self-employed earnings to be assessed using a
‘minimum income floor’, set at the national minimum
wage at the number of hours a person would be expected to
work
·
non-dependent deductions, where a claimant’s
relief entitlement may be reduced if a non-dependent adult is
living with them
·
removal of second adult rebates for working age
claimants
·
reduction of the maximum capital limit for working
age claimants to £10,000
·
capping the maximum amount of CTR at the equivalent
band D council tax charge
·
reduction of the backdating limit for working age
claimants from six to one month.
The covering report explained that a similar
scheme was approved for consultation by the Committee in July 2020
but wasn’t progressed due to the Covid pandemic.
The Chair, seconded by Councillor Crane,
proposed the following amendments to the recommendations within the
report:
A. the Benefits
Section be permitted to subject the proposed Council Tax
Reduction Scheme to public consultation authorised to
commence consultation while simultaneously modelling the scheme to
minimise the impact on any individual claimant; and
B.
the consultation feedback be reviewed and presented in
a report later in
the year with final
proposed amendments to the Scheme to be effective from 1st April
2025; and
C. it be noted
that officers will bring back proposals to use the discretionary
payment scheme and a corporate cost of living contingency to offset
any remaining effect
Upon being put to the vote, the amendments
were agreed.
The report also confirmed that:
·
the anticipated reductions in the cost to the Council will be quantified in the next report, once the
modelling had taken place; and
·
an equality impact assessment of the proposals will
be drawn up alongside the modelling, to take place concurrently
with the consultation and to be reported back to the
Committee.
R E S O L V E D – that:
A.
the Benefits Section be authorised to commence
consultation while simultaneously modelling the scheme to minimise
the impact on any individual claimant;
B.
the consultation
feedback be reviewed and presented in a report later in the
year,
with
final proposed amendments to the Scheme to be effective from 1st
April 2025; and
C. it be noted that
officers will bring back proposals to use the discretionary payment
scheme and a corporate cost of living contingency to offset any
remaining effect.
Supporting Documents
Details
| Outcome | Recommendations Approved |
| Decision date | 27 Jun 2024 |
| Subject to call-in | Yes |