Herefordshire is set to continue with its policy of exempting nearly one in seven households from paying council tax.

Papers published ahead of a meeting of Herefordshire Council’s cabinet next week propose that its council tax reduction scheme continue into the next financial year, which starts in April.

The policy was brought in for the 2021/22 year and has remained in place since.

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Keeping it for another year “will ensure that eligible households receive support as the impact of the rising cost of living continues,” the proposal for the meeting says.

It adds that while a less generous discount would make “additional resources available”, keeping it at 100 per cent will lower the risk of those eligible not paying, and so “moving further into debt if summons charges are levied”.

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This would also avoid the cost to the council of collecting unpaid, overdue debts, it said.

In the last financial year, 6,570 bill payers of working age were granted the exemption, along with 4,885 pensioners, with the total value of foregone income to the council put at £14.2 million.

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There are 82,800 households in Herefordshire in total according to the 2021 census, suggesting nearly one household in seven is entitled to the exemption.

Rules for this are set nationally for pensioners, but locally by the council for those of working age – the policy for which is set out in a 135-page council document.

In essence it is for those on low income, even if in work, with savings and capital below £6,000, regardless of the council tax band of their property.