From today, August 2, people across Lewes District are being asked for their views on a proposal to increase financial support for low-income families, and people in financial difficulty.
Council officials said their ideas for a new council tax reduction scheme came after the government brought to an end a national Council Tax Benefit Scheme, leaving it up to local authorities to run their own programmes to help working-age residents on low incomes cover the cost of council tax.
This is in addition to existing government rules to help those of pension age.
In a statement today, the council proposed to reduce Council Tax bills for the worst-off working-age people, or those on the lowest incomes in the district.
It's ideas would also remove the minimum income floor for the self-employed and there would be no minimum award value.
The cost of the scheme, if it went ahead, would be shared between the bodies who receive income from council tax, the preceptors, namely Lewes District Council, East Sussex County Council, Sussex Police, the Fire and Rescue Service and Town and Parish Councils.
At present, the council-operated reduction scheme contains three elements that Lewes District Council is thinking of changing.
They are:
- the maximum reduction a working-age claimant can get is 80% of their Council Tax liability,
- if a claimant qualifies for less than £5 per week, they do not receive any reduction (the "£5 minimum award"),
- certain self-employed claimant’s earnings are based on the hourly rate of the national living wage x 35.
If the scheme went ahead for the financial year 2022/23, the proposals would include:
- increasing the maximum reduction to 100%,
- removing the minimum awards so a claimant can qualify for, and be awarded, less than £5 per week,
- basing a self-employed claimant’s income on their actual earnings.
Councillor Chris Collier, Cabinet member for Performance and People, said:
“The government put a stop to national Council Tax support for the most financially vulnerable, so I am pleased this scheme could mark the return of a lifeline for them. It is sorely needed in these difficult times.”
Councillor Zoe Nicholson, Leader of the Council and Cabinet member for Finance and Assets, added:
“I hope as many people as possible take this opportunity to give us their opinion about our proposal that has been designed to ensure people who are struggling get the support they need.
“With the impact of Covid being felt particularly sharply on those on low wages and in insecure work, we are committed to doing all we can to help our residents who have found themselves in the toughest of financial situations.”
Here is a link to the full survey, together with some information on the costs to the authorities. The survey is open until October 31.
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