Decision details

The purpose of this report was to commence consultation for a localised council tax support scheme for the financial year 2019/20. There was a statutory requirement for the council to set a localised council tax support scheme by 11 March 2019 and forms part of the formal budget process under the Budget and Policy framework.

Cabinet considered the report and RESOLVED to approve consultation on Peterborough’s Council Tax Support Scheme 1 April 2019 – 31 March 2020 that contained the following local components:

a)    Amendment of the existing scheme for all eligible working age claimants as follows:

-          The existing 30% reduction that is applied at the end of the benefit calculation is replaced with a 30% liability reduction applied at the start of the calculation

-          Alternative options for increasing the above 30% reduction, including: (1) increasing by 1% a year for 3 years; (2) increasing to 35%; (3) increasing to 40%

-          Introducing a minimum award level of either £1 or £2 per week

-          A restriction to support being provided at up to band C/D equivalent only (higher bands will be limited to the band C/D level with their parish)

-          An increase to the non-dependent deduction levels

-          An assumed minimum earnings level for self-employed claimants

-          Removal of second adult rebate

-          Removal of extended payments

-          Removing the current disregard of Child Benefit and treating it as income

-          Reducing the capital limit from £16,000 to £6,000

-          Treating Universal Credit claim notifications as claims for Council Tax Support.

b)    To amend appropriate rates in line with annual upratings.

The council was statutorily required to approve a council tax support scheme by the 11 March 2019 having had regard for the council’s financial position and feedback from responses to the consultation. As part of this consultation, the council was consulting on a council tax discretionary hardship policy.

The council was statutorily required to approve a local scheme by 11 March. An alternative option which would be to not propose any changes to the current 2018/19 local scheme and manage the resulting costs of the scheme accordingly.

None.

·         The Council Tax Reduction Schemes (Default Scheme) (England) Regulations 2012

·         The Council Tax Reduction Schemes (Prescribed Requirements) (England) (Amendment) Regulations 2013

·         The Council Tax Reduction Schemes (Prescribed Requirements) (England) (Amendment) (No. 2) Regulations 2014

·         The Council Tax Reduction Schemes (Prescribed Requirements) (England) (Amendment) Regulations 2015

·         The Housing Benefit (Abolition of the Family Premium and date of claim amendment) Regulations 2015 (S.I. 2015 No. 1857)

·         The Council Tax Reduction Schemes (Prescribed Requirements) (England) (Amendment) Regulations 2016 (S.I. 2016 No. 1262)

·         The Council Tax Reduction Schemes (Amendment) (England) Regulations 2017 No. 1305