Agenda item

To receive a report from the Director ofFinance, Assets and Resources providing Members with details of the proposed changes to the Council Tax Reduction Scheme from April 2017.

The Group had before it a report * from the Director ofFinance, Assets and Resources providing Members with details of proposed changes to the Council Tax Reduction Scheme from April 2017.

The Benefits Manager outlined the contents of the report explaining that Council Tax Reduction (CTR) also known as Council Tax Support was introduced on 1 April 2013 and replaced Council Tax Benefit, which was fully funded by the Department for Work and Pensions.

CTR was a local reduction scheme. The scheme for working-age customers (those below the age to claim State Pension) was set out in the CTR Scheme Policy. Funding for the CTR scheme was now included within the Revenue Support Grant (RSG).  The Government reduced the level of funding by 10% when responsibility was transferred and had effectively reduced the funds available to support the scheme each year as the level of RSG had been reduced. On 15 April 2016 a report submitted to the Devon Local Government Steering Group asked Chief Executives and Leaders to consider the future strategy for CTR.

It was agreed that the CTR scheme for working age customers should change to align with recent changes to Housing Benefit and Universal Credit to keep the schemes more closely aligned and reduce any ongoing administrative burden. Officers from all Devon billing authorities and the major precepting authorities had been working closely in setting the proposals and to maintain a common approach.  Consultation had been predominantly web-based and was hosted by Devon County Council. The consultation period ran from 27^th June 2016 to 4^th September 2016.

The officer highlighted the Exceptional Hardship Scheme that was in place to help those that were severely affected by the changes implemented and that officers would ensure that those in need knew that this was available.

Members were asked to note the Equality Impact Assessment. 

The officer informed the Group that other authorities had adopted this scheme and that adopting it would bring the authority in line with them.

The officer highlighted that those of pensionable age were not affected by the proposed changes.

The Benefits Manager walked through the proposed changes as outlined within the report.

It was RECOMMENDED that Cabinet note the reasons for the proposal, the consultation process and requirement to approve a revised scheme by 31 January 2017.

And they subsequently:

a)    Approve the proposed changes to Council Tax Reduction Scheme from 1 April 2017 as detailed in Appendix 1 subject to the amendment  shown in para 4 of this report

b)    Approve the updated Council Tax Reduction Exceptional hardship Policy (Appendix 4)

c)    To continue with delegated authority to the Director of Finance, Assets and Resources to make any minor amendments to the scheme where there appears to be ambiguity in relation to the wording of the scheme and the Councils intent for the scheme.

d)    Members note the requirement to read and consider the Equality Impact Assessment and consider the impact of the proposed changes.

(Proposed by the Chairman)

Note: - Report * previously circulated and attached Minutes.