Issue - meetings

To authorise consultation on a Council Tax Reduction Scheme for 2016/17

RESOLVED

(1)  That the Head of Finance and Governance be authorised, following consultation with the Cabinet Member for Finance and Governance, to prepare and consult upon a draft 2016/17 Council Tax reduction scheme, to be brought back to Cabinet for recommendation to Council in December.

(2)  That the principle of making a grant to Parish Councils in relation to the Council Tax reduction scheme be continued in 2016/17 but the amount be reduced in line with the reduction in government grant to the Council.

The Cabinet considered the report circulated with the agenda (copy attached to the official minutes).

Mrs Hardwick introduced the report. She reminded the Cabinet that legislative changes in 2012 had abolished the national council tax benefit scheme, and required local authorities to create their own schemes. The Government had provided a ring-fenced grant of £194,000 in the first year, which the Council had distributed to parish councils to ensure that they were no worse off as a result of changes in their tax base. Thereafter the grant had been part of the Council’s general grant and the amount passed on to parish councils had declined in line with the reduction in Government grant.

Mrs Christie (Revenues Manager) added that the Council’s approved Council Tax Reduction Scheme had broadly followed the rules of the previous national scheme and had remained unchanged since 2013, apart from the annual uprating of applicable amounts and state benefits. The Council was required each year to consult on its proposals before setting the scheme. This year it was widely expected that there would be changes to benefits for working age claimants in the Chancellor’s summer budget on 8 July. The Cabinet was, therefore, asked to authorise officers to design and consult on a scheme for 2016/17, in the light of the budget, and to report back to Cabinet in December.

RESOLVED

(1)        That the Head of Finance and Governance Services be authorised, following consultation with the Cabinet Member for Finance and Governance, to prepare and consult upon a draft 2016/17 Council Tax reduction scheme, to be brought back to Cabinet for recommendation to Council in December.

(2)        That the principle of making a grant to Parish Councils in relation to the Council Tax reduction scheme be continued in 2016/17 but the amount be reduced in line with the reduction in government grant to the Council.