Decision

Council Tax Reduction and Exceptional Hardship Scheme 2026/27

Decision Maker: Scrutiny Committee - Corporate and Resources

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: No

Date of Decision: November 26, 2025

Purpose:

Content: The Scrutiny Corporate and Resources Committee RESOLVED:   1.    To establish a Task and Finish Group from February 2026 to undertake a comprehensive review of the Council Tax Reduction Scheme and the Exceptional Hardship Fund, with a remit to: a.    Examine the effectiveness of the current scheme and hardship provisions. b.    Consider options for future improvements, including alignment with national best practice. c.     Address issues arising from the transition of claimants from Employment and Support Allowance to Universal Credit, ensuring that adjustments and mitigations remain robust and responsive. d.    Report findings and recommendations for the 2027/28 financial year well in advance of the budget-setting process. e.    Clear and accessible communication about the scheme be ensured, with targeted support for vulnerable residents to maximise take-up. This must include:                                                i.     Full accessibility for residents who rely on telephone and paper-based communication, alongside digital channels.                                               ii.     Provision of clear guidance and support for those transitioning to Universal Credit, including advice on entitlement adjustments.     2.    To request from the Executive: a.    To ensure provision of adequate staff resources and additional support for partner organisations (such as Citizens Advice) to assist residents with advice and applications for Council Tax Reduction and Exceptional Hardship, including Universal Credit-related queries; b.    That the Exceptional Hardship Fund should err on the higher side; and c.     That further detail should be presented to the Executive at their next meeting on the balance of the impact of Universal Credit transition and adjustments to Somerset Council’s own Council Tax Reduction scheme.   Note – the Committee requested that the scoping proposal and terms of reference for the proposed Task and Finish Group are reported to their next meeting on 5 December 2025.    

Supporting Documents

05 CTR and EH Policy 2026-27 Scrutiny Report.pdf
05a APPENDIX 3 Somerset S13A 202627 Scheme DRAFT.pdf