The Hackney Council meeting on 24 January 2024 saw councillors approve changes to the Council Tax Reduction Scheme, reducing the minimum contribution for working-age claimants from 15% to 10%. The council also agreed to levy a premium on unoccupied properties and signalled its intent to introduce a premium on second homes from April 2025. Several motions were debated and passed, including one calling for responsible tax conduct and another addressing the crisis in Israel and Palestine.

Council Tax Reduction Scheme Changes Approved

Councillors voted to approve significant changes to the Council Tax Reduction Scheme (CTRS), reducing the minimum contribution for working-age claimants from 15% to 10% of their Council Tax liability from 1 April 2024. This decision, made on a recorded vote with 43 members in favour and none against, aims to alleviate financial pressure on low-income households during the ongoing cost of living crisis. Councillor Robert Chapman, Cabinet Member for Finance, Insourcing and Customer Service, introduced the report, highlighting that this move aligns with the council's manifesto commitment to provide low-income households with greater discounts on their Council Tax bills. The changes are projected to increase the total scheme costs by an estimated £1.25 million in 2024/25.

Council Tax Base and Business Rate Income Calculations Agreed

The council also agreed to the calculation of the 2024/25 Council Tax Base and Local Business Rate Income. This included approving a Council Tax Base of 77,766.9 Band D equivalent properties, assuming a 93.5% collection rate. Furthermore, councillors agreed to levy a 100% Council Tax premium on properties that have been unoccupied and substantially unfurnished for at least one year, effective from 2024/25. The council also signalled its intention to levy a second homes premium from 1 April 2025. These measures are intended to encourage owners of empty properties to bring them back into use and to generate additional revenue.

Motions Passed on Democratic Rights, Tax Conduct, and Israel-Palestine Crisis

Three motions were debated and passed during the meeting:

• Defending Our Democratic Rights: This motion, amended by the Labour Group, resolved to ensure Hackney's local action plan on policing considers alternative ways to keep communities safe and includes community education on the Police, Sentencing and Crimes Act 2022, and the Public Order Act 2023. It also resolved not to agree to the deployment of Live Facial Recognition (LFR) in Hackney until satisfied that potential crime reduction benefits do not erode trust in policing.
• Standing Up for Responsible Tax Conduct – Councils for Fair Tax Declaration: This motion, amended and unanimously carried, reaffirms Hackney Council's commitment to the Councils for Fair Tax Declaration. It resolves to lead by example in its tax conduct, ensure robust IR35 implementation, shun offshore vehicles for property purchases, demand clarity on beneficial ownership of suppliers, promote Fair Tax Mark certification, and support calls for reform of UK procurement law.
• The Crisis in Israel and Palestine: Call for a Ceasefire, Release of all Hostages & More Support for Local Community Cohesion: This motion, amended by the Labour Group, resolves to continue working with borough partners to ensure safety for Muslim and Jewish communities, hold interfaith events regularly, and be ready to welcome refugees. It also commits to encouraging interfaith and community groups to apply for funding to support community cohesion.

Gender and Ethnicity Pay Gap Reports Noted

The council noted the contents of the Gender and Ethnicity Pay Gap 2023 report. The report indicated that Hackney Council's gender pay gap remains in favour of women, with women earning 3.87% more on average than men. However, the ethnicity pay gap shows a gap in favour of white employees, with white employees earning 13.95% more on average than Black and Global Majority employees. The report highlighted efforts to improve data completeness and address these disparities.

Other Business

The council also noted the Licensing Committee Annual Report 2022/23 and the Annual Report of the Pensions Committee 2022/23. The Members' Allowances Scheme 2023/24 was agreed, with updated allowances reflecting the national pay settlement. The motion Reduce Glyphosate to Zero Now was referred to the next meeting without debate.