Cabinet considered the head of finance’s report that sought adoption of a revised council tax reduction scheme for 2014/15. Following a suggestion from the leader and feedback from the Scrutiny Committee, the draft scheme had been amended to not proceed with the modifications in respect of reducing the upper capital limit and treating child maintenance as income. The outcome of the Scrutiny Committee debate on 28 November 2013 was tabled at the meeting.
Cabinet noted that the council must adopt a local council tax reduction scheme for 2014/15 by 31 January 2014. Cabinet believed that the revised scheme supported residents on low incomes with help towards paying their council tax. The rationale of the scheme was to be fair on all residents, protect the vulnerable, and encourage residents back to work by the inclusion of work incentives. Cabinet also noted that Oxfordshire County Council and the Police and Crime Commissioner would meet their share of the cost, there would be no cost to this council to establish the scheme. Cabinet welcomed Scrutiny Committee’s plan to review the scheme after a year’s operation.
RECOMMENDED: to Council to
(a) adopt for 2014/15 onwards, the 2013/14 adopted council tax reduction scheme but with the following amendments:
· entitlement for working age claimants will be capped at 91.5 per cent of their council tax liability, except for these protected groups - people with disabilities, war widows and war disabled pension recipients;
· removal of the second adult rebate scheme;
· entitlement for properties in bands F, G and H will be capped to band E council tax levels;
· the current four week “run on” entitlement will be extended for thirteen weeks when a claimant moves into work. Any rules concerning eligibility for the run on remain the same;
· personal allowances and non-dependent deductions for working age claimants will be uprated by one per cent each financial year commencing 1 April 2014.
(b) establish a hardship fund to assist claimants who may face difficulties meeting their council tax liability;
RESOLVED:
(c) subject to Council agreeing (a) and (b) above, to authorise the head of finance to set the rules and eligibility criteria for the hardship fund in consultation with the Cabinet member for finance.