Council Tax and Benefits From April 2013

Background

Consultation

The public consultation lasted 12 weeks and consulted on two proposalsPostal form, web form, Neighbourhood forums, meetings, telephone and e-mail

Preferred Scheme options

Minimum benefit award

of £5.00 per week

Change the chargefor second

homes

Protect

DLA Middle / High rate

Child Benefit - Children under 5

Abolish Second

Adult Rebate

Restrict benefit to Property

Band D

Increase the income

taper from 20% to 30%

AbolishBackdated Payments

Increase non dependant

deductions

Results of consultation – preferred scheme

• Over 1000 responses received

Council Tax Proposals

Results of consultation – Second home discount

Work incentives

Results of consultation – Work incentive – Extended payments

Council Meeting Summary 23.1.13

• Councillor Anstee presented the preferred scheme to full Council

• Conservative group supported changes as provided least impact on households

• Labour group oppose Welfare Reform changes

• Lib dem group, concerned about the changes but support the scheme in the fact that there are protections and the majority of households not impacted

• Full vote carried out and passed the scheme

What does this mean?

From 1/4/13 the following will take effect:•Preferred Council Tax Support scheme goes live•Extended Reductions will be increased to 8 weeks•Child care disregards will be increased by 10%•Second home discount removed•Empty and Unfurnished properties will be charged the full Council Tax after 1 month

•In addition properties which are empty and unfurnished for over 2 years will be charged a 150%

Example of households affectedOver a year (3339 for 2012-2013)

Household Type No of claimants

Average yearly Council Tax Benefit reduction

Average weekly Council Tax Benefit reduction

Single Claimant 25 or over 1251 £112.38 £2.16

Lone Parent 18 or over 1228 £180.79 £3.48

Family - one or both over 18 552 £231.13 £4.44

Couple - one or both over 18 220 £124.43 £2.39

Single Claimant 18 to 24 83 £80.79 £1.55

Couple - one or both aged 60 to 64 3 £59.06 £1.14

Single person aged 60 to 64 2 £15.45 £0.30

Full Equalities impact breakdown available on the Council Website

Communications

• Press release available at:• http://www.trafford.gov.uk/news/press/details.asp?ID=29

87• Letters being issued to affected households (approx.

2500 letters)• Website being updated• Dedicated Benefits helpline available from 1st February

0161 9122090; Mon - Fri 8.00am to 7.00pm• Benefit Roadshows and drop in sessions arranged

Communications

Mobile Advice Centre (Benefits Bus)

Date: Location:

Monday 18 Feb Sale West Community Centre

Tuesday 19 Feb Altrincham Market

Wednesday 20 Feb Central Road, Partington

Thursday 21 Feb Sale Town Hall

Friday 22 Feb Urmston Library

Welfare Reform - Drop in advice sessions

Date: Location:

Monday 11 Feb Stretford Library

Tuesday 12 Feb Old Trafford library

Wednesday 13 Feb Stretford Library

Thursday 14 Feb Sale Waterside

Friday 15 Feb Urmston Library

Some schemes in AGMARochdale:

•Restrict all working age claims to Band A, and applying a 25% cut to all net awards. This will achieve £3.6m of the £5m required. The rest of the savings will be made through changes to council tax discounts and exemptions.

•In addition abolishing backdates, abolishing second adult rebate, doubling non-dep deductions (12/13 rates) and increasing income taper to 30%

•Developing a discretionary fund – No other protections.

•This scheme has received a legal challenge (according to HBINFO)

Stockport:

•CTS restricted to Band A for smaller households or Band B for larger households. Second Adult Rebate abolished. Non-dep deductions will be made at either £10 or £5 per week dependant on income. Support can only be claimed by people with less than £8000 capital or savings.

•No backdates. The minimum weekly payment of support will be £1 per week.

•Developing a discretionary fund.

Future plans – Information and advice

• Working with partners on the provision of information and advice

• Working to ensure joined up approach in reaching households

• Need more ideas on how this can be achieved.

Over to you!

Are there any questions?