Decision
URL: https://calderdale.moderngov.co.uk/ieDecisionDetails.aspx?ID=313
Decision Maker: Cabinet
Outcome:
Is Key Decision?: Yes
Is Callable In?: No
Purpose: To agree and set a revised Council Tax Reduction Scheme following the period of consultation. The Scheme will be brought in for financial years 2025/26 onwards.
Content: Councillor Dacre, Cabinet Member with responsibility for Resources presented a written report of the Director, Resources and Transformation that sought approval for a new Council Tax Reduction Scheme (CTRS) to commence on 1st April 2025. The report identified that the total cost of the current CTRS for pension-age and working-age households amounted to £16.1m, of which £9.75m related to working-age support. The Council was committed to supporting those most in need and the proposed changes retained a level of Council Tax support which was commensurate with available resources. A saving of £1m from reducing the maximum level of discount provided to working-age households in the Council’s CTRS was approved at Budget Council in February 2024. A decision was now required on the level of the discount to implement the approved budget. A consultation had been undertaken on the proposals for a revised scheme. This report provided the outcome from the consultation in consideration of the proposed scheme for approval. Once approved, it would form part of the Council Tax Base for 2025/26 required for calculating the council tax requirement for the Council and precepting bodies – West Yorkshire Police, West Yorkshire Fire and Rescue and Town and Parish Councils. The report provided background information and outlined options considered, consultation and financial, legal, environmental, health, economic, equality, and diversity implications. During discussion Members explained that they were regrettably in a position where they were having to make a decision on the CTRS. Members noted that originally Council Tax Relief was a national means tested state benefit and was changed under the Conservative Liberal Democrat coalition in 2013. It was further explained that not only did the funding pool become localised it was reduced by 10%. Members did not feel that it was a right decision to transfer these costs to local authorities which had affected the poorer Councils with a lower tax base. Members were pleased that the 70% discount would continue, and that the pension age discount remained protected. RESOLVED that: (a) the Council Tax Reduction Scheme for 2025/26 be approved. The recommended option was to set a maximum discount of 70% for working-age households; set a minimum amount of reduction at £5 per week and remove the second adult rebate; (b) the pension-age maximum discount was protected at 100%, be confirmed; and Cabinet consider options for the Council Tax Reduction Scheme discounts as part of budget setting process in future years.
Date of Decision: December 9, 2024