The Mayor will consider the report of the Corporate Director, Resources at the Cabinet meeting on Tuesday 10 January 2017. Subject to agreement at that meeting the report will be considered at Council.

The Cabinet report is attached to this agenda. The Recommendations from Cabinet and the proposed scheme will be circulated in an addendum to this agenda.

The Council considered the report of Corporate Director, Resources regarding the Council Tax Reduction Scheme. Additional papers for this item were circulated to all Members in an addendum to the Agenda.

Under Council Procedure Rule 14.1.8.1 Councillor David Edgar, Cabinet Member for Resources moved and Mayor John Biggs seconded an amendment to the recommendations requesting that should the Council make any amendments to the scheme tonight or if there were any technical changes subsequently  that took place in relation to matters in the scheme, that the Corporate Director Resources be authorised to make any technical changes to the draft Local Council Tax Reduction Scheme to ensure that the Council’s approved scheme is adequately reflected and implemented

The amendment was put to the vote and was agreed.

Following further debate, the recommendations  as amended were put to the vote and were agreed.

DECISION:

1.            That the continuation of the current Local Council Tax Reduction Scheme for 2017/18 be approved which retain the 100% support for working age households within the LCTRS scheme but that the scheme is changed to reflect the following:

(a)  the period for which backdated claims for LCTRS can be made will be one month;

(b)  the length of time LCTRS claims can continue whilst the recipient is abroad will be 4 weeks;

(c)  the Council introduces a scheme in addition to LCTRS to help applicants suffering exceptional hardship;

(d)  households with non-dependants income above £370.50 per week will be  excluded from support and non-dependant deductions will apply to all other non-dependants with income below £370.50 per week (as set out in appendix 1 of the Cabinet report);

(e)  an assumed income for self-employed earners where their self-employment earnings after one year is declared at below equivalent minimum wage levels, minimum wage levels will be assumed in the assessment of LCTRS;

(f)   the savings limit is to be lowered to £6k from £16k in order to qualify for LCTRS.

2          That the revised Local Council Tax Reduction Scheme for 2017/18 (which includes the changes at 1 above) be adopted.

3.            That the Corporate Director Resources be authorised to make any technical changes to the draft Local Council Tax Reduction Scheme to ensure that the Council’s approved scheme is adequately reflected and implemented.

 (Action by:  Zena Cooke, Corporate Director, Resources)

The Council considered the report of Corporate Director, Resources regarding the Council Tax Reduction Scheme. Additional papers for this item were circulated to all Members in an addendum to the Agenda.

Under Council Procedure Rule 14.1.8 Councillor David Edgar, Cabinet Member for Resources moved and Mayor John Biggs seconded an amendment to the recommendations requesting that should the Council make any amendments to the scheme tonight or if there were any technical changes subsequently  that took place in relation to matters in the scheme, that the Corporate Director, Resources be authorised to make any technical changes to the draft Local Council Tax Reduction Scheme to ensure that the Council’s approved scheme is adequately reflected and implemented.

The amendment was put to the vote and was agreed.

Following further debate, the recommendations as amended were put to the vote and were agreed.

RESOLVED:

1.            That the continuation of the current Local Council Tax Reduction Scheme for 2017/18 be approved which retain the 100% support for working age households within the LCTRS scheme but that the scheme is changed to reflect the following:

(a)  the period for which backdated claims for LCTRS can be made will be one month;

(b)  the length of time LCTRS claims can continue whilst the recipient is abroad will be 4 weeks;

(c)  the Council introduces a scheme in addition to LCTRS to help applicants suffering exceptional hardship;

(d)  households with non-dependants income above £370.50 per week will be  excluded from support and non-dependant deductions will apply to all other non-dependants with income below £370.50 per week (as set out in appendix 1 of the Cabinet report);

(e)  an assumed income for self-employed earners where their self-employment earnings after one year is declared at below equivalent minimum wage levels, minimum wage levels will be assumed in the assessment of LCTRS;

(f)   the savings limit is to be lowered to £6k from £16k in order to qualify for LCTRS.

2          That the revised Local Council Tax Reduction Scheme for 2017/18 (which includes the changes at 1 above) at Appendix 4 be adopted. (to follow).

3.            That the Corporate Director Resources be authorised to make any technical changes to the draft Local Council Tax Reduction Scheme to ensure that the Council’s approved scheme is adequately reflected and implemented.

The recommendations were amended and then agreed.

Pre-Decision Scrutiny Questions and responses were noted.

DECISION

1.    Noted the feedback from the consultation on the options for the Local Council Tax Reduction scheme

2.    Considered the options to revise the current Local Council Tax Reduction scheme as set out in paragraphs 3.11 to 3.18 and 3.27 to 3.28 of the report.

3.    Agreed the Local Council Tax Reduction scheme to be recommended to Full Council.

Action by:

CORPORATE DIRECTOR, RESOURCES (Z. COOKE)

(Head of Benefits Services (S. Hill)

Councillor David Edgar, Cabinet Member for Resources introduced this report and it was noted that on 20^th January, 2016 Full Council had considered the report from Cabinet on the Local Council Tax Reduction Scheme 2016/17.

The recommendations as set out in the report were put to the vote and were agreed.

The decisions made by Full Council were as follows:

1.    That the continuation of the current Local Council Tax Reduction Scheme for 2016/17 be approved which will retain the same level of support to all working age Council Tax payers on a low income as set out in the report to Cabinet on 5 January 2016;

2.    That it be agreed that the extension of the scheme is for one year only, to be reviewed alongside the impact of the Government’s proposed welfare reform changes and an options review for the future of LCTRS during 2016. 

This report outlines the schemes that have been considered and consulted upon, the implications of each scheme and the feedback from the consultation. For each financial year, the Council is required to consider whether to revise its scheme or to replace it with a different scheme.  Any revision or replacement must be made by 31 January in the financial year preceding that for which the scheme is to take effect. As a result of discussions on this report the Mayor indicated that he wished to make the following amendments to the report:

Delete from Section 3.17

·         Removing the allowances for the work related activity premium in the Employment Support Allowance (ESA) and for recipient of the family premium for new claims with effect from 1 April 2017. (Allowances for both are included in the current scheme).

·         Limit to a maximum of 2 the allowances for children included in the assessment of new claims from 1 April 2017. (There is currently no limit to the number of children included in a claim).

Delete from Section 3.27

·         Individual element/option 4 All non-dependants income is taken into account as part of household income.

Accordingly the recommendations were amended and then agreed.

Pre-Decision Scrutiny Questions and responses were noted.

The Mayor agreed the recommendations as set out in the report.

RESOLVED

1.    To note the feedback from the consultation on the options for the Local Council Tax Reduction scheme;

2.    Having considered the options to revise the current Local Council Tax Reduction scheme as set out in paragraphs 3.17 and 3.27 of the report; and

3.    Agreed the Local Council Tax Reduction scheme to be recommended to Full Council.