South Holland council tax support cuts set to be implemented

Moves that will reduce the amount of discount available to those who get help to pay their council tax look set to go ahead.

Following a public consultation, South Holland District Council’s cabinet agreed to push ahead with a range of measures that could see a reduction in council tax support expenditure of around £187,000.
A report before last Tuesday’s meeting said, under the proposals, around 3,500 people currently claiming support would see it reduced by an average of £67.23 per year.

Coun Peter Coupland, portfolio holder for finance, said: “It’s not a tremendous saving. We have not slaughtered the system at all. We have tweaked it in line with the rest of the country.”

The changes will include:

  • a reduction in the maximum level of council tax support – claimants will pay a minimum of 30 per cent of the bill instead of 25 per cent
  • phasing out of support for claimants who receive it due to having a low-income adult living with them – reduced from 25 per cent to 20 per cent in 2017/18, ten per cent in 2018/19 and zero from 2019/20
  • introduction of a minimum level of council tax support at £5 per week
  • reduction in the amount of capital and savings a claimant can have to £8,000
  • limitation of backdating to one month
  • removal of ‘family premium’ – an additional reduction figure for claimants who have children – on new claims

A hardship policy will be built in to provide short-term additional help in individual cases where necessary.

Only 30 people responded to the consultation.

Of the savings generated by the decision, which must yet be ratified by full council, £20,000 will go to the district council and the rest to Lincolnshire County Council and other precepting bodies.

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