This report provides an update on the current Local Council Tax Support Scheme and seeks approval for the 2020/21 scheme and action on future schemes.

The Committee:

(1)            Agreed to continue the current scheme for the 2020/21 financial year with the underlying means tested applicable amounts being uplifted by the same percentage as the Housing Benefit rates applicable from April 2020 and applying any further Regulation changes that might apply for that financial year;

(2)            Agreed the continuation of the Discretionary Hardship Fund for exceptional cases;

(3)            Agreed the actions proposed to change the scheme to a council tax discount to be implemented from 1 April 2021.

This report provided an update to the Local Council Tax Support Scheme and proposed a simpler, less administratively burdensome process for providing support.  It was anticipated that a new scheme would be presented to the Committee in autumn 2020. It was proposed to continue with the current minimum payment scheme for a further year to allow time to develop a new software system based on providing support through a discount scheme.  This would replace the existing approach of means testing (as set out in paragraph 3 of the report).

The Committee noted that alongside the existing scheme the Council operated and funded a Discretionary Hardship Fund of £25,000 which had been a great help to those experiencing exceptional financial hardship.  It also served to identify those being adversely affected by the Equality Impact Assessment.

The challenges faced as a result of the change to Universal Credit was discussed, and it was noted that despite the issues encountered the overall collection rate for all residents was 99.1.

Having considered the proposed actions and the 2020/21 scheme, the Committee:

(1)            Agreed to continue the current scheme for the 2020/21 financial year with the underlying means tested applicable amounts being uplifted by the same percentage as the Housing Benefit rates applicable from April 2020 and applying any further Regulation changes that might apply for that financial year;

(2)            Agreed the continuation of the Discretionary Hardship Fund for exceptional cases;

(3)            Agreed the actions proposed to change the scheme to a council tax discount to be implemented from 1 April 2021.