Decision details

To determine the Council Tax Support scheme, 2025/26

RESOLVED:

1.    That Cabinet scheme, with the modification of all the following options, be revised:

a.    The CTS for households with children be increased to 100% and for other households be increased to 85%.

b.    The earnings disregard to Universal Credit claims be removed.

c.    A standard £10 rate for non-dependant deductions be introduced.

d.    A minimum award of £1 per week be introduced.

e.    The Upper capital limit to £10,000 be reduced.

f.     The three-month review with a threshold for changes in Universal Credit, with discretion for flexibility be replaced to £30 per week.

g.    Uprating amounts for 2025/26 be uprated in line with DWP.

2.    That Cabinet’s decision be recommended to Full Council.

3.    That approval for the 2025/26 final scheme policy, including administrative and minor changes, be delegated to the Section 151 Officer in consultation with the Portfolio Holder for Finance.

4.    That the possibility to introduced an Exceptional Hardship Fund to operate alongside the Council Tax Support scheme be determined.

5.    That, subject to recommendation 4, decision on the fund budget and scheme detail be delegated to the Section 151 Officer, in consultation with the Portfolio Holder for Finance.

Full Council must make any revision to its scheme, or any replacement, and agree its final scheme no later than 11 March 2025 in respect of the 2025/26 financial year.

Cabinet’s decision on its recommendation to Full Council for the 2025/26 scheme will reflect on the data and information provided through the fundamental review, and the results of consultation on its proposed modification options.

The do-nothing option would see the current scheme retained. This has been rejected as this would not be consistent with Cabinet’s earlier decision for fundamental review.

However, after considering the consultation responses, Cabinet could choose to retain the current scheme if it can justify its decision.