The Local Government Finance Bill introduced one of the biggest fundamental changes requiring all council tax billing authorities to devise a local Council Tax Support Scheme to replace the current national Council Tax Benefit Scheme to commence on 1 April 2012.

Members considered a report setting out the options of a local scheme and proposing a scheme recommended by the Kent Forum.  The Deputy Chief Executive and Director for Corporate Resources tabled the following revised recommendation:

Recommendation to Council that:

(a)     Members approve that the Council consult with its community on the proposal to reduce the council tax support payable to working age claimants by a standard percentage amount that delivers a local support for council tax scheme within the funding provided by Government; and

(b)     Members approve the principles of broad-based consultation and delegate authority to the Leader of the Council and the Portfolio Holder for Value for Money to approve the information and questions provided to the community within the consultation questionnaire.

The Leader introduced the report stressing that the Government had been keen to protect more elderly claimants and within the Sevenoaks District this group accounted for 53% of the recipients of council tax benefit.  The proposals under consideration would protect the District Council from any future increases in the number of recipients of council tax support. 

The Leader also noted that the recent article that had appeared in The Chronicle would have laid the way for the consultation that was being proposed.

The Deputy Chief Executive and Director for Corporate Resources outlined the consultation process, highlighting that the consultation would be promoted within InShape and via the Council’s Twitter account.  West Kent Housing Association had also agreed to facilitate the consultation and Officers would be meeting with the Citizens Advice Bureaus and other community groups in order to outline the proposals and promote the consultation process. 

The Deputy Chief Executive and Director for Corporate Resources acknowledged that the Town and Parish Councils were particularly concerned about the effect that the changes would have on them.  Officers hoped that using the current council tax software it would be possible to model the cost implications for each town and parish council.  Using this information the individual Council would be able to assess how much their precept would increase.

Members noted that the consultation would commence over the summer holiday but noted that an eight week consultation period was proposed which should give residents sufficient time to respond.  Members also noted that the consultation would be open to all council tax payers and not just those in receipt of council tax benefit. 

In response to a question, the Leader noted that the information that most affected the Town and Parish Councils was the number of residents of working age or over 65 in receipt of council tax benefit living in the Parish.  Using this information, parishes would have to consider how to best meet any shortfall in funding there may be.

Members thanked Officers and the Services Select Committee for the work that had been undertaken to develop the recommendations presented at the meeting.

Resolved: that full Council be recommended to approve:

(a)   That the Council consult with its community on the proposals to reduce the council tax support payable to working age claimants by a standard percentage amount that delivers a local support for council tax scheme within the funding provided by Government; and

(b)   The principles of broad-based consultation and delegate authority to the Leader of the Council and Portfolio Holder for Value for Money to approve the information and questions provided to the community within the consultation questionnaire.