Councillor says ‘struggling families’ in South Northants will be hit hard by new council tax scheme

A South Northamptonshire councillor has criticised a new unitary scheme which he says will impose ‘financial hardship’ on struggling families.
Lib Dem leader Councillor Chris Lofts will propose the motion at the next full council meeting.Lib Dem leader Councillor Chris Lofts will propose the motion at the next full council meeting.
Lib Dem leader Councillor Chris Lofts will propose the motion at the next full council meeting.

Council Tax Reduction Schemes are in place for Northampton, Daventry and South Northamptonshire, and are administered by the councils in each area. But they need to be merged into one for the new West Northamptonshire Council that will replace them next April.

The schemes provide a reduction for working-age people and households on low incomes, to help them pay their council tax bill.

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A current consultation – due to end on December 13 – has suggested a scheme that will see greater support given to working-age claimants in Northampton Borough, but less support given to working-age claimants in South Northants and Daventry compared to current levels.

And this has disappointed South Northamptonshire councillor Chris Lofts, who is the leader of the Liberal Democrat opposition. And at the next full council meeting he will call on the authority to express its ‘disappointment’ at the proposals.

His written motion states: “Despite Government and local MPs selling the reorganisation of councils in Northamptonshire as a way of reducing costs it is becoming more and more evident that the West Northamptonshire Unitary Council’s first budget will impose financial hardship on residents across South Northamptonshire.

“Not only will they face increased council tax demands it now looks likely that the most vulnerable will be hit by an unprecedented reduction in financial support to pay these increased bills. The current consultation on the Council Tax Reduction Scheme will see many of our struggling families having to find an extra several hundred pounds a year to pay for exactly the same services they receive at present.”

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The minimum council tax contribution that working-age people must pay ranges from 8.5 per cent to 31 per cent across the three councils. What appears to be a preferred proposal is for the minimum contribution to be set at 26.5 per cent, meaning a maximum discount of 73.5 per cent would be offered through the new scheme.

But Councillor Lofts feels that vulnerable families in South Northamptonshire will be ‘disproportionately penalised’ by the proposed changes.

He is calling on SNC to ask the West Northamptonshire Shadow Council – the precursor body working to set up the new unitary – to revise the scheme so that no resident in South Northamptonshire sees a reduction in the support provided in 2021/22 greater than the current Consumer Prices Index inflation figure of 0.7 per cent.

The motion will require the backing of the Conservative administration when they meet on Wednesday (November 18).

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Local Council Tax Reduction Schemes (LCTRS) were introduced from April 2013 when Council Tax Benefit was abolished and replaced by locally agreed schemes. Each council is legally required to have such a scheme.