Changes to Council Tax support scheme proposed for low-income household
News release issued:
Wyre Forest District Council is considering changes to its Council Tax Reduction Scheme that would increase support for some low-income working-age households from April 2027.
The authority is proposing increasing the highest level of Council Tax Reduction available to working-age residents from 90% to 100% from April 2027. If approved, households receiving the maximum level of support would no longer have any council tax to pay. Those who currently receive a reduction of 70% would also see a small increase in support. They would have to pay 25% of their bill.
The proposal forms part of the council's annual review of its Council Tax Reduction Scheme, which helps people on lower incomes pay less council tax. It is being discussed by the Overview and Scrutiny Committee on Thursday 3 September and then the Cabinet on Wednesday 16 September. They are being recommended to carry out a public consultation on the proposed changes to the scheme. If Cabinet agrees, a public consultation would run from 21 September to 31 October 2026.
The proposal comes as many households continue to face financial pressures and council tax arrears remain significantly higher among people receiving Council Tax Reduction than among other households.
Under the proposals, the Council would consult on revised support levels. This is to help give more support to people who need it most while making sure the scheme is affordable. Councillor David Ross, Cabinet Member for Finance and Capital Portfolio, said:
"We know many households are still feeling the strain from rising living costs, and for some people even a small council tax bill can be difficult to manage.
"These proposals would mean some of the lowest-income households in Wyre Forest could receive full support and no longer have any council tax to pay.
"No decision has been made. At this stage we're asking councillors to consider whether residents should be consulted on the proposals so we can understand what people think before any final decision is taken.
"If approved, the changes would provide extra support to those who need it most while helping us prepare for the move to North Worcestershire Council in 2028."
Any changes to the scheme would need to be approved by Full Council before they could come into effect from 1 April 2027.