Ellie Ames 29 June 2023

Low-income households in Bristol could pay more council tax

Low-income households in Bristol could pay more council tax image
Image: ShaunWilkinson / Shutterstock.com.

Bristol City Council is considering reducing the support it gives low-income working age households to pay their council tax.

The council is looking to save at least £3m by reviewing how its Council Tax Reduction (CTR) scheme works.

The scheme supports over 22,000 low-income working age households.

Bristol is one of the last councils in England to provide a fully funded CTR scheme after the Council Tax Benefit system was abolished in 2013.

Currently, up to 100% of a household’s council tax bill can be paid for through the scheme in Bristol, with three quarters of eligible low-income households having their bills paid in full.

Proposals to be consulted on will only impact working age households and will not affect the entitlement of pensionable age households.

The council said the reduction in support was being considered in ‘the context of the budgetary pressures faced as a result of the reduction of funding being made available to local authorities by the Government’.

Councillors will consider how the CTR scheme could change for the 24/25 financial year.

The options include maintaining current levels of support, using a means tested approach to reduce the help available, and introducing a banded scheme so that support depends on household income.

Members of the council’s cabinet will meet on Tuesday 4 July to discuss the proposed options. A consultation based on these options will then begin later in the month.

Cllr Craig Cheney, Deputy Mayor and Cabinet Member for Finance, Governance, Performance and Culture, said: ‘Whilst we continue to prioritise support for low-income families, like recently securing £8m through the Household Support Fund, we do so against a financial backdrop that is proving increasingly challenging for local government across the country.’

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