Questionnaire
Council Tax Reduction Scheme 2027/28 Consultation
Last updated September 2026
We are asking for your views on proposed changes to our scheme which helps people of working age with Council Tax.
If approved, some households on the lowest incomes could receive 100% Council Tax reduction from April 2027. This could mean they would not have any council tax to pay. The Council is considering these changes to help residents who are struggling with the cost of living and to make the support available more consistent with neighbouring areas. No decision has been made and we want to hear what you think before any decision is taken.
What is a Council Tax Reduction Scheme?
Our Council Tax Reduction Scheme helps people on lower incomes pay less council tax.
The amount of support someone receives depends on their income and household circumstances.
At the moment, eligible working-age households can receive a reduction of 90%; 70%; 50% or 30%.
This means everyone currently pays at least 10% of their council tax bill.
What changes are we considering?
We are considering offering more support. We are looking to increase the highest level of support from 90% to 100%.
We are also considering a small increase in support for people who currently receive a 70% reduction.
People who currently receive a 50% or 30% reduction would generally see no change.
|
Current level of support |
Proposed level of support |
|---|---|
|
90% |
100% |
|
70% |
75% |
|
50% |
50% |
|
30% |
30% |
The rules about who can get help would stay the same. Only the amount of help would change.
What could this mean for residents?
Here's how the proposed changes could affect people:
Example 1
A household currently receiving a 90% reduction pays 10% of their council tax bill.
Under the proposal, that household could receive 100% support and would not have any council tax to pay.
Example 2
A household currently receiving a 70% reduction could see their support increase to 75%. This means they would have to pay 25% of their council tax bill.
Example 3
A household currently receiving a 50% reduction would generally see no change.
Example 4
A household currently receiving a 30% reduction would generally see no change.
Around 9 in 10 people who get Council Tax Reduction receive the highest level of help. Most of these people would get more help under the proposed changes.
Why are we looking at this?
Many households continue to face financial pressures due to rising living costs.
We know that council tax debt is more common among residents who receive Council Tax Reduction than among those who do not receive support. We are therefore looking at whether increasing support for households on the lowest incomes could make council tax more affordable and help people avoid getting into debt.
Neighbouring areas already offer up to 100% support to households on the lowest incomes, so we are considering whether support in Wyre Forest should move closer to those arrangements.
We want to give more help to people who need it most, but we also need to make sure we can afford it.
What would it cost?
Based on the number of households currently receiving support, the proposed changes would increase the cost of the scheme by just over £520,000 across the organisations that receive a share of council tax income.
This proposal is about how support is provided to residents on the lowest incomes. Decisions about future council tax levels for all households are made separately through the Council's annual budget process.
When making a decision, we will need to consider both the benefits for residents and the financial impact. That is why it is important we hear from as many people as possible.
Other options we considered
Before deciding to consult on this proposal, we looked at a number of different options.
These included:
- Keeping the current scheme unchanged – this would mean no changes to the support people currently receive. This would mean no additional cost but people on the lowest income would continue to pay at least 10% of their council tax bill.
- Reducing the amount of support available. This would lower the cost of the scheme but it could increase financial pressure on households, lead to more council tax debt and increase requests for hardship support.
We believe the option we are consulting on provides extra help for people on the lowest incomes while keeping additional costs at a level that is more affordable.
However, no decision has been made and we would like to hear your views before a final decision is taken.