Report by Executive Director of Resources

The Director of Finance submitted a report regarding the Council Tax support scheme, estimated Council Tax collection rate and Council Tax base for the 2024/25 financial year.  The report explained that Section 33 of the Local Government Finance Act 1992 and the Local Authorities (Calculation of Council Tax Base) (England) Regulations 2012 required the Council, as the Billing Authority, to calculate a Council Tax Base for its area by 31 January each year. 

The Tax Base for 2024/25 was calculated for the above purposes as being 58,944.73 (band D equivalent) properties – an increase of 1.93% on the 2023/24 Tax Base of 57,826.56. The declared surplus/deficit on the Council Tax Collection Fund balance would be paid out/recoverable by the Collection Fund in full in the following financial year. The estimated balance as at 31^st March 2024 on the Council Tax Collection Fund was a projected net deficit of £1.998m. The Council’s overall share of this deficit was £1.701m.

Each year, the Government amended the Council Tax Reduction Schemes (Prescribed Requirements) (England) Regulations 2012 to ensure that pension-age Local Council Tax Support (LCTS) schemes were updated in line with changes in the wider benefits system. The annual update also provided an opportunity to ensure that the residency requirements for accessing both pension-age and working-age LCTS remained consistent with the UK’s immigration policy. These updates would be incorporated into the Council’s 2024/25 Scheme in accordance with the principles of the Council’s original Local Scheme.

The report also stated that the Welfare Reform Act 2012 and Local Government Finance Act 2012 had replaced the Council Tax Benefit scheme with a locally determined Council Tax Reduction Scheme, which was effectively a type of Council Tax discount.  The legislation required the Council to approve the scheme by the end of January preceding the start of the financial year.  The recommended Scheme for 2024/25 was unchanged from the Scheme agreed by Council for 2023/24. 

The following motion was moved by Councillor Brock and seconded by Councillor Terry and CARRIED:

Resolved -

(1)            That the existing Council Tax Reduction Scheme be retained for 2024/25;

(2)            The Tax Base calculation for 2024/25 of 58,944.73 band D equivalent properties be approved;

(3)            The assumed Council Tax collection rate of 98.75% for 2024/25 be noted;

(4)            That the 2024/25 Council Tax Reduction Scheme would be updated in line with the Scheme’s regulations be noted;

(5)            That the estimated balance of the Council Tax Collection Fund as at 31^st March 2024 was an overall net deficit of £1.998m and the Council’s overall share of this deficit was £1.701m be noted.