Protecting levels of Council Tax Reduction
As part of this year’s budget setting process, and despite needing to find over £30 million of savings, councillors have agreed to maintain the Council Tax Reduction Scheme from April 2024.
This includes ‘uplifting’ earnings thresholds in line with the changes to the National Living Wage to ensure that the level of support the scheme offers is maintained in ‘real terms’.
The Council Tax Reduction (CTR) scheme helps low-income households with their Council Tax. The scheme supports around 19,200 claimants and provides discounts of over £22 million to low income households across Brighton & Hove. The maximum discount provided is 82%.
Residents who pay Council Tax are eligible for support if their income and savings are below a certain level or they are in receipt of certain benefits.
Discretionary Care Leaver Relief
As part of the council’s commitment to supporting the most vulnerable, the Discretionary Care Leaver Relief scheme will also be protected. The scheme provides Council Tax discounts totalling around £204,000 to approximately 170 care leavers across the city.
The scheme aims to support care leavers with their council tax until they turn 25. The programme aims to ensure that care leavers have the best start to their life once they start living independently by paying up to 100% of their council tax.
Supporting those who need it most
Councillor Bella Sankey, Leader of Brighton & Hove City Council, said: “Rents, mortgages and household bills are at an all-time high and we know that residents in Brighton & Hove are struggling. So we are proposing to ring-fence our level of real terms support for low-income households across the city with their Council Tax.
“Council Tax is a priority bill, so if you are in receipt of benefits or a low-income household and think you might be eligible, I would encourage anyone to apply for our scheme via the Council Tax Reduction pages on our website.
“Unlike central government-funded personal tax allowances, I am pleased to say that we will be increasing the scheme earnings thresholds to ensure that the level of support is maintained in ‘real terms’.
“We are facing the toughest ever budget for Brighton & Hove City Council, far worse than in any previous year.
"Due to government cuts to our finances of more than £120 million in the last 10 years, plus an expected gap of more than £30 million next year, we are having to look at every single service we provide, particularly those that are discretionary.
“However, we are committed to ensuring that our city doesn’t become any more unequal and that we support families on low incomes as much as we can so that household income can be spent on heating, eating and other essentials.”