Decision
Analysis
outcome: The Cabinet agreed to start a consultation process to modify the Council Tax Scheme for working-age customers.
summary: The decision at stake is the modification of the Council Tax Support scheme for working-age customers in Thanet District Council for the financial year 2026/2027.
topline: The Thanet District Council has decided to start a consultation process to modify the Council Tax Support scheme for working-age customers.
reason_contentious: This issue is contentious as it involves significant changes to the current scheme that could impact over 6,000 households in the district.
affected_stakeholders: ["working-age customers", "poorest households in the district", "Council Tax payers"]
contentiousness_score: 7
political_party_relevance: There are no mentions or implications of political parties or political influence on the decision.
URL: https://democracy.thanet.gov.uk/ieDecisionDetails.aspx?ID=5394
Decision Maker:
Outcome:
Is Key Decision?: No
Is Callable In?: Yes
Purpose: Thanet District Council has the discretion to design its own Council Tax Support (CTS) scheme for working-age customers. The scheme is agreed on an annual basis as part of the Tax Base decision-making process. The current scheme is no longer fit for purpose in light of the government’s ‘Move to Universal Credit’ programme, and therefore the current scheme needs updating and modernising. To make changes to the CTS scheme, for the coming year, it is necessary to complete meaningful consultation with the public. This report outlines the proposed changes to the scheme and recommends that permission is granted to start the necessary consultation process.
Content: Thanet District Council has the discretion to design its own Council Tax Support (CTS) scheme for working-age customers. The scheme is agreed on an annual basis as part of the Tax Base decision-making process. The current scheme is no longer fit for purpose in light of the government’s ‘Move to Universal Credit’ programme, and therefore the current scheme needs updating and modernising. To make changes to the CTS scheme, for the coming year, it is necessary to complete meaningful consultation with the public. This report outlines the proposed changes to the scheme and recommends that permission is granted to start the necessary consultation process. Cabinet agreed the following: 1. That a consultation process is completed with a view to modifying the Council Tax Scheme for working-age customers for the financial year 2026/2027. There are a number of reasons why this decision was taken and theses are included within the main report however the following are two of the key reasons: The current CTS scheme has a maximum award of a 90% reduction in the Council Tax charge. The proposed scheme increases this to 100% which assists over 6,000 of the poorest households in the district. This change would mean that over 6,000 households within the district would no longer need to make payment of Council Tax for the relevant financial year. The current CTS scheme is based on a traditional Council Tax Benefit (CTB) model. When a customer is in receipt of Universal Credit, this can cause some operational issues which can have an impact on our customers. By April 2026 over 98% of the working-age CTS caseload will be in receipt of Universal Credit. Thanet is the only remaining Council in Kent who administer a CTB based scheme. No consultation is held and the Council Tax Support Scheme remains unchanged in 2026/2027. This is not considered a viable or sustainable option
Date of Decision: July 24, 2025