Proposals to Increase Council Tax Support for Residents

Reading Borough Council is proposing increasing the amount of council tax support available to residents as part of a series of changes to the scheme next year.

Under the new proposals, persons of a working age and who are entitled to claim support would be required to make a minimum contribution of between 25% and 30% towards their Council Tax. This is down from 35% contribution they would have to pay as part of this year’s council tax support scheme.

It means that the support from Reading Borough Council for those entitled increases up from the current 65% to between 70 and 75%, if the changes are agreed.

The proposal is one of five possible changes to the Council Tax Support Scheme for 2022-23 which will be considered at a meeting of the Council’s Policy Committee on Thursday September 23. (https://democracy.reading.gov.uk/documents/s18379/Proposed%20Changes%20-%20Local%20Council%20tax%20Reduction%20Scheme.pdf). If agreed, a statutory 8-week consultation period would follow before responses are considered and proposals are ratified.

Other proposals to the Council Tax Support Scheme for 2022-23 are:

• Remove “Working Age” Council Tax Support minimum of £5 per month, (equivalent to £1.15 p/w) or less. This would reduce the need for re-applications and ensure customers receive the support they need, no matter how small.
• Increase the upper capital limit where people qualify for a council tax reduction from £3,000 to £6,000
• Allow a maximum of one month backdating provision within the council tax support scheme. There are currently no backdating provisions where good cause can be shown for a late claim.
• Set a standard rate of £10 Non-Dependant Deduction to apply for non-dependants who are either in paid work or not in paid work

Jason Brock, Reading Borough Council Leader, said:

“These are proposals which will make a difference to people in Reading who, depending on the individual circumstances they find themselves in, may be eligible to claim support in paying their council tax.

“The increase in support from the Council sits alongside a number of other proposals aimed at making the Council Tax support scheme run more efficiently and be as equitable as possible for people who may be entitled to claim.

“I would encourage as many people as possible to look out for the consultation details this autumn and take some time to feedback their views.”

If the proposals are agreed at Policy Committee next week, the 8 week statutory online consultation will follow for public feedback. The Council also will specifically consult key stakeholders including residents, voluntary sector organisations, advice and support agencies, private landlords, housing associations and other stakeholders. 

Details of the online consultation will be publicised at the time.