Local Council Tax Reduction Scheme consultation 2022 to 2023

Overview

We are seeking your views on the Local Council Tax Reduction Scheme for West Northamptonshire Council for 2022 to 2023.

The Local Council Tax Reduction Scheme (sometimes known as Council Tax Support) is to help people on low income to pay their Council Tax. 

Local Council Tax Reduction Schemes (LCTRS) were introduced from April 2013 when Council Tax Benefit was abolished and replaced by locally agreed schemes. Those of pensioner age are protected by the prescribed regulations set out by central government.

By law, councils are required to have a scheme to help people on low incomes to pay their Council Tax. Each year councils needs to approve a LCTRS for the following 12 months. Where there are changes proposed, it is necessary for a public consultation to take place.

What is this consultation about?

West Northamptonshire Council set its first Council Tax Reduction Scheme as a new unitary council for the financial year 2021 to 2022. The scheme is aligned for West Northants area and the level of minimum Council Tax contribution that working age claimants must pay is 20% of their Council Tax liability.

It is important to us that we continue to support those who need financial help at the same time as offering an affordable scheme for all our Council Taxpayers.

The proposals contained in this consultation apply to people of working age who are on a low income and currently reside in West Northamptonshire Council area.

We are keen to ensure that all Council Taxpayers are aware of the changes being proposed and want the views of our residents and other stakeholders on the proposed changes to the scheme.

Our proposal for changes to the LCTRS for 2022 to 2023

War widows and war disablement:

Currently all working age claimants in receipt of a War Widows or War Disablement pension must pay a minimum contribution of 20% of their Council Tax liability.

Our proposal is to remove the minimum contribution of 20% and allow their Council Tax Reduction to be determined on 100% of their Council Tax liability whilst continuing to disregard 100% of War Pension income under our local scheme.

Rationale: This means that we can enhance the support offered to those residents receiving war pensions at relatively small cost to the taxpayer.

Care leavers:

West Northants Council understands that the transition out of care for young people can be very challenging. We are keen to offer support for those young people who may be liable for Council Tax by giving additional financial support on top of the other Council Tax discounts that may be available.

For the financial year 2021 to 2022 funding was agreed to establish a discretionary scheme to offer this support. Care leavers aged 18 to 25 who are formerly a child in the care of West Northamptonshire Council and who reside in the West Northants area are asked to apply for the discretionary awards after statutory discounts such as single person discount and LCTRS have been applied. 

The proposal for 2022 to 2023 is to include this support within the LCTRS and to allow Council Tax Reduction for care leavers to be determined on 100% of their Council Tax liability. 

Rational: This proposed change will reduce the complexity for care leavers by only having one application process whilst also reducing the administration of the scheme. 

Other options considered, but discarded:

Setting the level of minimum Council Tax contribution for working age customers at a higher level. This option was considered but would mean a reduction in support to some of our most vulnerable residents at a time when we may not yet have realised the full impact of the pandemic.

Further information on the proposals above can be found at:

• Cabinet Report 14 September 2021 (PDF document 425KB)
• Equality Screening Assessment (PDF document 394KB)

Have your say

We would like your views on our proposals for the LCTRS for 2022 to 2023. The consultation is open to all those residents, stakeholders and people representing organisations impacted by this scheme.

This consultation will run from 20 September 2021 to midnight on 17 October 2021.

Please tell us your views by completing the online consultation survey using the link below. Alternatively, you can email your comments using the contact details below.

The information provided by you in this survey will be used for research purposes only and it will not be used in a manner that would allow identification of individual responses.

Please contact us if you have any queries about this consultation or if you require it in another format or language. Our contact details are as follows:

• Email address: ctrsconsultation@westnorthants.gov.uk
• Telephone: 01604 838640

What happens next

Once the consultation closes, we will collate all the feedback received and present this information to the West Northamptonshire Council Cabinet at their meeting on 9 November 2021 to consider when making their decision on the LCTRS 2022 to 2023 for West Northamptonshire.

We will then publish full details of the new scheme in early 2022 with the changes coming into effect from April 2022.

For information about how consultation and engagement responses are managed, please see the consultation and engagement privacy notice.