For our Council Tax Reduction scheme for 2018/19 we are consulting on two options.
No change to the main principles or our current scheme, where all working-age people receive maximum support on 85% of their Council Tax liability. This means that all working-age people will need to pay 15% of their Council Tax before they are entitled to Council Tax Reduction.
Change in how the scheme is administered: we propose to change the scheme to an income-banded scheme which is simpler to administer and easier for customers to understand, as well as offering more support to lower-income families and giving stability to people whose wages fluctuate each month. This scheme moves away from the complex means test that exists in our current Council Tax Reduction scheme. Plus the introduction of a flat rate non-dependant charge, reduction of capital limit from £16,000 to £6,000 and increase in the period for backdating of claims from 4 weeks to 6 months, where there is good cause.
You can see some examples of how the two options compare at Worked examples.
You can also give us your views on these proposals at Let's talk.