Local Council Tax Support Scheme

For the 2023/24 financial year there will be no assistance in respect of Transitional Protection towards your Council Tax liability. If you have been affected by this then 2 letters were sent to you in November 2022 and February 2023 explaining this in more detail. If you are having difficulty paying your Council Tax then please use the link for the Council Tax Support hardship fund at the bottom of this page.

The Council Tax Support scheme from 01 April 2023

From 01 April 2023 the Council Tax Support scheme for working age people will continue to be calculated using an income banded scheme. The level of the income band used to calculate entitlement from 01 April 2023 will be increased by 10% in the upper limit of each income band then rounded  to the next £0.99p increment. Please see the table below. Pension age residents will continue to not be affected by these changes.

How to apply

If you are not in receipt of Council Tax Support and wish to make a claim then you can apply online.

Why have we changed the Council Tax Support scheme?

The old Council Tax Support scheme did not always work for many residents who are receiving Universal Credit.

As Universal Credit is re-assessed every month, under the old Council Tax Support scheme, a residents’ Council Tax bill may have been recalculated each month and a revised bill issued. This was a problem for workers receiving Universal Credit whose earnings might change each month.

By placing residents into income bands, which determines the percentage by which their Council Tax is reduced, someone’s income can fluctuate without issuing a revised Council Tax Bill and changing the current instalment plan.

In addition the scheme aims to ensure that all low income households are provided with financial support towards their Council Tax liability.

Income Bands

The Income bands under this scheme are based on the household having no children, 1 child or 2 children or more. Please note figures are based on weekly incomes.
 
Band No children 1 child 2 or more children Maximum award
1 Passported Households Passported Households Passported Households 95%
2 £0 - £65.99 £0 - £142.99 £0 - £219.99 80%
3 £66.00 - £142.99 £42.99 - £219.99 £220.00 - £296.99 60%
4 £143.00 - £219.99 £220.00 - £296.99 £297.00 - £373.99 40%
5 
Income or savings above maximum
Income or savings above maximum
Income or savings above maximum
 0%
 

Passported Households

To qualify as a passported household the claimant and / or partner must be in receipt of:
  • Income Support
  • Jobseekers Allowance (Income Based)
  • Employment Support Allowance (Income Related)
  • Universal Credit and not working

Income to be taken into account for the bands

  • Net average earnings from employment
  • Rental income
  • Private / occupational pensions
  • Spousal maintenance
  • Maternity Allowance
  • Statutory sick pay
  • Jobseekers Allowance (contribution based)
  • Employment and Support Allowance (contribution based)
  • Widowed Parent’s Allowance
  • Any other unearned income not specified below

Income to be disregarded

  • Child benefit
  • Child maintenance
  • Disability Living Allowance
  • Personal Independence Payments
  • Carers Allowance
  • Employment Support Allowance (Support component)
  • Universal Credit (earnings only taken into account)

Earnings disregards

  • There will be a single rate earnings disregard for working households of £20 with all previous earnings disregards being abolished.

Capital Limit

  • Upper capital limit £6000 or above
  • Capital under £6000 fully disregarded

Other adults in the household

Flat rate deduction in respect of any other adults in the household in addition to the claimant and / or partner of:
  • £5 per week not working
  • £10 per week in work
Council Tax payers who experience financial hardship can still apply online for assistance under the Council Tax support hardship fund.