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Council Tax Reduction Scheme 2021/22 Consultation

 

SECTION A - BACKGROUND INFORMATION

 

Council tax reduction (CTR) is a discount on council tax awarded to some council taxpayers with lower levels of income.

 

Council tax reduction, in its current form, came into existence in April 2013 under a change of government policy whereby all working age residents were required to make a minimum 8.5% contribution towards council tax. The detailed calculations were based on Department for Work and Pensions (DWP) rules as applied to housing benefits/council tax benefit and subsequently Universal Credit.

 

In April 2016, the council agreed to increase this minimum level of payment from 8.5% to 15%; this level remains in place now.

 

The overall CTR scheme is split into two areas: pensioners and working age customers. Pensioners in receipt of guaranteed pension credit (unless in a property with a higher than Band E) are entitled to 100% reduction. It is not proposed to make any changes to this part of the scheme.

 

For customers of a working age there is a means tested approach, resulting in all working age customers being charged a minimum 15% of council tax (except people who receive war pensions who pay £nil). It is some of the criteria used for working age customers that it is proposed to change.

 

SECTION B - SUGGESTED CHANGES TO THE CTR SCHEME

 

It is proposed to make changes in five areas of the calculation of the scheme. These are generally being proposed to ensure a fairer system and/or to reduce the administration of the scheme. These are explained in detail in this consultation.

 

SECTION C - HAVE YOUR SAY

 

We welcome your views on the proposals outlined in this document.

 

Please note: the open text boxes are NOT restricted and will expand as you type.

 

The consultation closes on Monday 30 November 2020.

 

SECTION D - QUESTIONNAIRE

 I have read the background information in Section A about the Council Tax Reduction Scheme
 
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