259 COUNCIL TAX REDUCTION SCHEME 2024/2025 PDF 302 KB
REPORT OF THE SERVICE DIRECTOR – CUSTOMERS
To approve the Council Tax Reduction Scheme (CTRS) for North Hertfordshire for 2024/2025.
Decision:
RESOLVEDThat Council:
(1) Approved the new banded scheme for working age applicants which remained unchanged for 2024/2025.
(2) Noted that the new scheme has had a greater financial impact than expected, and any resultant Collection Fund shortfall would be split between the Council and its Major Precepting Authorities. The Councils share would be around 12%.
(3) Noted that the Discretionary Exceptional Hardship Scheme, previously agreed to provide additional transitional support, had been underspent, largely due to the positive impacts of the main scheme. (The surplus of this would be used to off-set the impact on the District Council in relation to the main scheme).
(4) Noted a further review was being undertaken during 2024/2025, to ascertain any further changes to be considered for the scheme in 2025/2026.
REASONS FOR DECISIONS:
To ensure that the Council had a Council Tax Reduction Scheme that continued to:
(1) Provide the greatest support to the lowest income households.
(2) Reduce the administrative burden that has been placed on the Council since the introduction of Universal Credit (UC).
(3) Be simple to understand, meaning that customers will be able to calculate entitlement and assess the impact of potential changes in circumstances.
Minutes:
Audio recording – 2 hours 50 minutes 30 seconds
The Leader of the Council, Councillor Elizabeth Dennis, presented the Cabinet referral entitled ‘Council Tax Reduction Scheme 2024-25’ and highlighted that:
· The scheme was in keeping with the Council priority, to put people first.
· The scheme included veterans and care leavers and Hertfordshire County Council (HCC) were considering funding Council Tax for care leavers up to the age of 21.
· Although work was ongoing to increase the care leaver age to 25, this was not currently included and was required to be actioned in conjunction with HCC.
N.B Councillor Matt Barnes left the Council Chamber at 22:24.
Councillor Ian Albert, Executive Member for Finance and IT, presented the report entitled ‘Council Tax Reduction Scheme 2024-25’ and highlighted that:
· The scheme had achieved its aims after its first year, however this came with some additional costs. These costs had been fully offset by a discretionary scheme.
· The scheme supported residents in a time of high inflation.
· The Royal British Legion had discussed the scheme and the considerations given to veterans and concluded that the scheme fully met the needs of veterans.
· Work was ongoing within HCC regarding exemptions for 18-21 year olds.
N.B Councillor Matt Barnes returned to the Council Chamber at 22:28.
The following Members asked questions:
· Councillor Ralph Muncer
· Councillor Claire Strong
In response to questions, the Executive Member for Finance and IT stated that:
· The Council worked with partners and other agencies to help residents back into employment, this scheme worked separately to that aim.
· The term customers could be changed to residents in the report.
In response to a question, the Benefits Manager stated that those claiming Universal Credit may also be employed and receive the benefit to supplement their wages.
In response to a request for clarification from Councillor Ruth Brown regarding the wording of recommendation 2.1, the Chair confirmed that the word should be ‘banded’ and not branded.
The Service Director- Legal and Community clarified that any Member in receipt of Universal Credit and the Council Tax Reduction Scheme should declare this. Following discussion there were no Members required to make a declaration of interest.
The following Members took part in debate:
· Councillor Tom Plater
· Councillor Ralph Muncer
· Councillor Alistair Willoughby
· Councillor Daniel Allen
· Councillor Amy Allen
· Councillor Tamsin Thomas
· Councillor Simon Bloxham
Points raised in debate:
· It was concerning that there were no consultee comments included in the report from HCC or the Hertfordshire Police and Crime Commissioner.
· The 25% discount for single dwellers was not the same as the Council Tax Reduction Scheme.
· Residents in receipt of Universal Credit may not automatically be eligible for the Council Tax Reduction Scheme.
Councillor Ian Albert proposed and Councillor Elizabeth Dennis seconded and, following a vote, it was:
RESOLVEDThat Council:
(1) Approved the new banded scheme for working age applicants which remained unchanged for 2024/2025.
(2) Noted that the new scheme has had a greater financial impact than expected, and any resultant Collection Fund shortfall would ... view the full minutes text for item 259