Public consultation for Council Tax Reduction
From 11 September 2024 to 20 November 2024 Rutland County Council is consulting on proposed changes to the Council’s Council Tax Reduction Scheme.
What is Council Tax Reduction?
Council Tax Reduction is financial help towards paying Council Tax. You can claim Council Tax Reduction if you are already claiming other benefits such as Universal Credit. You may also claim it if you are working but on a low income.
Why does this need to change?
The current scheme is based on Council Tax Benefit, which was abolished in 2013. No major changes have been made to the local scheme since 2013. The council is proposing to adopt a banded income scheme. The key features are detailed below:
- an online application form - this will allow households to apply quickly, and it will be easier to complete
- households will be able to work out their level of support by looking at a simple banding rates table - this removes the complexity of the current scheme
- there would be fewer changes to instalments throughout the year, enabling households to budget better as their instalments would not change as frequently as they do now
- the council may be able to make savings as the scheme will be less time-consuming to administer
What is the proposed scheme?
In summary, the council wants to adopt a banded scheme from 1 April 2025. The main points include:
- Council Tax Reduction applications can be made online and will be assessed on a risk basis - this means that less evidence will need to be provided by most households
- Council Tax Reduction will be awarded as a discount based on weekly income and household composition as follows:
For those who are not working and receiving a passported benefit
| Working capacity |
Discount |
| Limited capacity to work |
Discount of 100% |
| No working restrictions |
Discount of 74.5% |
By passported benefit, we mean one such as Universal Credit or Income Support, where what you receive depends upon your family size, other income, and capital.
Limited capacity for work means somebody who cannot work because of a disability or long-term illness.
For others where their total weekly earned income is below the amounts shown:
| Discount |
47% |
25% |
| Single with no children |
Under £60 |
Under £100 |
| Single with one child |
Under £120 |
Under £160 |
| Single with two or more children |
Under £180 |
Under £220 |
| Couple with no children |
Under £110 |
Under £150 |
| Couple with one child |
Under £170 |
Under £210 |
| Couple with two or more children |
Under £230 |
Under £270 |
Some key points
- the percentages will be lower if another adult other than your partner is resident
- the maximum reduction will still be restricted to the Band D council tax
- anyone with savings of £6,000 or more will not qualify
- self-employed income is assessed by applying a minimum income floor
- applications from joint tenants are assessed on their proportion of the household
- income bands will increase each year by September RPI
- backdating rules will not change from the present system
What will not change or be consulted upon?
- the government decides the rules that relate to pensioners, the council cannot change these
- the council has decided to support care leavers up to their 25th birthday, this offer will not change
When is the consultation taking place?
The consultation will open from 9am 11 September 2024 and closes at 4pm on 20 November 2024.
How can I participate?
You can complete an online form using the link below - this is the easiest and quickest way to respond.
Council Tax - Link - Council Tax Reduction Consultation Form
Council Tax - Text - Council Tax Reduction Consultation Form 1
Alternatively, you can download and print a paper version of the form and send this back to us. If you can’t print the form, you can call us on 01572 722577 and we can send a paper version to you.
If you can’t complete the form yourself, you can ask a relative or friend to help you, alternatively you can call 01572 722577 and we can assist you.
Who can participate?
We are seeking views from:
- current Council Tax Reduction recipients and their representatives
- wider public and residents
- the voluntary sector
Case studies
Council Tax - Accordion - Consultation Case Studies
A single person unable to work due to disability
Lucie is a single woman aged 27 living in Uppingham. Lucie is unable to work due to a long-term severe disability.
Existing scheme - Lucie is awarded the maximum support of £18.34 per week but still has to pay £6.11 per week council tax.
Proposed scheme - Lucie would have no council tax to pay.
This means that Lucie would be better off by £6.11 per week under the proposed scheme.
The proposed scheme increases support to cover all council tax liability for those unable to work due to illness or disability.
An unemployed couple
Kyle and Molly are unemployed and seeking work.
Existing scheme - Kyle and Molly receive maximum council tax support of £19.29 per week leaving them to pay £5.15 per week.
Proposed scheme - Kyle and Molly get maximum Council Tax support of £19.16 per week leaving them to pay £6.56 per week.
Kyle and Molly are worse off by £1.41 per week under the proposed scheme.
For households in which a person does not have an illness or disability the proposed scheme reduces the maximum support from 75% to 74.5% of council tax liability.
