Solihull Council is considering a new ‘income banded’ council tax support scheme which has been met with mixed reactions. The current means-tested scheme may be replaced with a simplified system that aims to be more straightforward and supportive for those in need. While pensioners will not be affected by these changes, concerns have been raised about the potential impact on low-income households.
The proposed switch is expected to save the council around £420,000, but there are worries about the social and financial implications for some residents. Councillor Leslie Kaye pointed out that there could be additional stress on households with very low incomes, leading to potential bad debt and legal fees for the council. However, the officer reassured that the minimum level of support will be maintained at 85% and some of the savings will be used to bolster the discretionary scheme for those adversely affected.
The move towards an income banded scheme is aimed at making it easier for residents to understand their eligibility and make successful claims. A consultation on the proposed changes received positive feedback, with many in favor of the switch. The officer emphasized that a simplified scheme could reduce unsuccessful claims, clear backlogs, and ultimately improve services for residents.
There are uncertainties about the impact of the new scheme on the number of benefit claimants, as it will depend on individual circumstances and economic factors. The Resource and Delivering Value Scrutiny Board has approved the changes, and the proposals are set to be discussed at Solihull Council’s next cabinet meeting in November.
Overall, the council is aiming to create a more efficient and supportive system for those in need of council tax reduction, while also considering the potential challenges and implications of the proposed changes. Residents will need to stay informed about the developments and ensure they understand how the new scheme may affect them.