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Search the Public Notice PortalA COUNCILLOR has said he is "deeply concerned" by proposals that could see some of Herefordshire's poorest households pay more council tax.
Herefordshire Council has launched a consultation on changes to its Council Tax Reduction Scheme (CTRS) as it seeks to address a predicted budget shortfall of more than £10 million this year.
The scheme currently costs around £16.4 million a year and supports more than 6,500 working-age residents and 4,700 pensioners. It is funded through council tax income.
Coun Ed O'Driscoll, who represents Ross-on-Wye, said the council's own figures showed a resident living in a Band A property who currently receives full support could face an additional bill of up to £689 a year under some of the proposals.
"I fully recognise the enormous financial pressures facing Herefordshire Council, but I'm really uncomfortable with the suggestion that we should address our funding shortfall by asking the people who can least afford it to pay hundreds of pounds more each year," he said.
"It's just wrong.
"At a time when families are already struggling with food bills, energy costs and housing expenses, surely we should be doing everything possible to protect our most vulnerable residents?"
Coun O'Driscoll also questioned whether the council would be able to collect the additional income it expects to generate.
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"They estimate that the 50 per cent option could generate an additional £5.1 million annually in council tax income, but how much of that would actually be collected from people already assessed as needing financial support?" he said.
"It was only February this year when councillors unanimously agreed to maintain the current scheme and now we're considering significant cuts."
He urged residents to take part in the consultation, regardless of whether they currently receive support.
Under the proposals, the maximum level of support for working-age claimants could be reduced from 100 per cent to either 80 per cent or 50 per cent. Other changes include restricting support for some higher-band properties, increasing non-dependent deductions, introducing a minimum award threshold and tightening some eligibility rules.
The proposals would apply to working-age claimants only and would not affect pensioners.
Councillor Pete Stoddart, Cabinet Member for Finance and Corporate Services, said:
"Like councils across the country, we're facing significant financial pressures and must consider how we can continue to provide essential services while supporting residents who need help the most.
"The Council Tax Reduction Scheme provides important support for thousands of households, but it also represents a significant cost that is ultimately met by other council taxpayers.
"One of the main proposals would return the scheme to the level of support that existed before the Covid-19 pandemic. We're keen to hear residents' views on these proposals before any decisions are made, and I'd encourage anyone with an interest to take a few minutes to take part in the consultation."
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