Issue - meetings

To consider the results of the statutory public consultation on Redditch Borough Council’s draft Council Tax Support Scheme and proposals to implement the Scheme along with proposals for the implementation of a Hardship Fund to help support those most badly affected by the changes to support. 

(Report attached)

Members received a report summarising the results of the statutory consultation which had been undertaken on the Redditch Borough Council’s draft Council Tax Support Scheme 2014 (the Scheme).

Members were aware that the Scheme had to be reviewed by the Council on an Annual basis and that the decision had previously been taken to consult on the basis that entitlement to Council Tax support should be capped at 80% of Council Tax liability so that all working age claimants would pay a minimum of 20% towards their Council Tax Liability.

Members were reminded that the cost to the Borough of the changes introduced by the Government from April 2013 which had resulted in the national Council Tax Benefit being replaced by a locally agreed scheme was approximately £91,000. Other precepting Authorities including the County Council and the Fire and Police Authorities would also have to bear their share of the shortfall. A proportion of the shortfall had been clawed back through changes to discounts and exemptions for second and empty homes. 

It was reported that the consultation which had closed on 20th December 2013, had resulted in the receipt of 46 responses. Of these 37% were in favour of the changes to the scheme and 6.5% offered no opinion. 56.5% did not support the proposed change.

The report also contained details of the proposed implementation of a Hardship Fund to assist those most badly affected by the change. The report highlighted that the Hardship Scheme was proposed to be as flexible as possible within certain parameters to ensure that the fund could be used to help those most in need.

Members were very concerned about the impact the changes would have upon residents albeit there was an intention to mitigate this with the introduction of a Hardship Fund. Members were also mindful however of the need to address the potential funding gap both for the Council and other preceptors.

It was queried whether an alternative proposal could be considered. Officers confirmed that only changes which had been the subject of public consultation could be brought into effect at this stage. The scheme was required to be agreed by 31st January 2014.

RECOMMENDED that

1)         the Scheme, as amended, be implemented, namely that entitlement to Council Tax support should be capped at 80% of Council Tax liability so that all working age claimants will pay a minimum of 20% towards their Council Tax liability; and

2)         the implementation of the proposed Hardship scheme be agreed.