Issue - meetings

To consider and decide on the recommendations as set out in the associated report.

RESOLVED –

1.    That the progress of the inaugural year of the income banded Council Tax Reductions Scheme be noted; and

2.    That Full Council be recommended that no changes be made to the Council Tax Reduction Scheme for 2022-2023.

REASON FOR DECISION: The new income banded scheme had so far been successful but introducing changes before completion of its first year would be premature.

Sheila Coburn, Head of Mid Kent Revenues and Benefits Partnership introduced the report as set out in the agenda.

Discussion and questions from Members included the following:

-       The consensus was that the Income Banded Scheme had been very helpful.

-       The compensation scheme for those that might have missed out on funds as a result of the move to the new scheme was still in place. 

RESOLVED –

1.    That the progress of the inaugural year of the income banded Council Tax Reductions Scheme be noted; and

2.    That Full Council be recommended that no changes be made to the Council Tax Reduction Scheme for 2022-2023.

REASON FOR DECISION: The new income banded scheme had so far been successful but introducing changes before completion of its first year would be premature.

To consider and provide a recommendation to Cabinet on the proposals set out in the attached report.

Sheila Coburn, Head of Mid Kent Revenues and Benefits Partnership introduced the report set out in the agenda.

Discussion and questions from Members included the following:

-       The new scheme had not resulted in a change in collection rates.  However, Covid had had an effect on collection rates.

-       The Council was unable to take any recovery action during the last financial year because the Courts would not give the Council any court time.  Court time had been allocated for this financial year but it was still very restricted.  As such the Council had decided to use this time for higher amount cases, rather than the relatively small amounts of those on Council Tax support. 

-       The cases would be heard at Sevenoaks or Medway.  Courts were only accepting those with prebooked appointments which limited the number of cases that could be heard.

-       The scheme now benefited from online application forms which were much easier to complete.  The Council was also now looking to be able to automatically update any changes to Universal Credit directly onto the system which would then calculate whether there would be a change in band for the recipient.

-       The Labour Group maintained their concern about cuts in benefits and support for the most vulnerable and therefore did not support the Council Tax Reduction Scheme.

-       It was noted that lower paid workers had received a large amount of support over the last year.  Additionally, there had been record increases in wages – 7% rise in the last 12 months.  This was to be welcomed.

-       The £20 increase in Universal Credit was a scheme introduced during the pandemic which was now coming to an end.  It was not a cut in benefits.

-       Those in receipt of Universal Credit paid a minimum of 20% Council Tax.  The income banded scheme was only for those who were earning.  Those who were not earning or were in receipt of statutory benefits would receive 80% of the total amount (and pay only 20%).

-       It was noted that the Council Tax Reduction Scheme came into effect prior to the additional Universal Credit support introduced during the pandemic. 

RESOLVED – That the recommendations to Cabinet as set out in the report be supported.