Agenda item

The Leader of the Council presented the report which detailed two discretionary payment policies that are reviewed each year.

The policies provide flexibility and support available to eligible residents, alongside alleviating poverty, preventing homelessness and addressing individual needs.

The administration of the Discretionary Council Tax Payment Policy was at the Council’s discretion. Funding was solely provided by SKDC and each year, a provision of £30,000 was made.

It was proposed to make one change to the policy from 1 April 2026. The change was to limit the amount of household capital to £4,000.

The administration of a Discretionary Housing payment policy was based on guidance from Department of Working Pensions, as well as areas of eligibility which were at the discretion of the Council. Funding was determined by Department of Working Pensions on an annual basis. For 2026/27, they had provisionally confirmed a no change to the existing funding allocation (£156,000).

An integration of the Discretionary Housing payment into the crisis resilience fund would be a phased approach by March 2029.

Both policies and relevant changes were included as part of a local council tax support consultation, with 90% of respondents agreeing to the policies with no change.  

Concern was raised on the £4,000 limit on household capital during cost-of-living pressures. It was queried how the Council decided the £4,000 limit was the right ‘cut off’ point and was anything in place to monitor the impact of people just above the limit.

The Head of Service (Revenues, Benefits, Customer Service and Community) confirmed that applications could be reconsidered in any circumstances of crisis where an individual has dropped below the £4,000 limit. Any changes implemented would be monitored thoroughly.

It was confirmed the Council would communicate with residents on the £4,000 limit, any changes that were due to be implemented and inform them that if circumstances were to change, a reapplication should be made.

A query was raised on whether the Council work towards the £30,000 contribution level or whether the level needed to be increased.

The Head of Service (Revenues, Benefits, Customer Service) clarified the contribution level was monitored on a monthly basis. In 2024, there was an underspend of £82. The team would continue to review the level and should there be a need to increase it, a delegated decision would be taken in-year to the Deputy Chief Executive (S151 Officer).

One Member queried whether ongoing support and advice was taking place following the ‘one-off’ payment.

The Head of Service (Revenues, Benefits, Customer Service) assured the Committee that support was being provided.

ACTION: For the Head of Service (Revenues, Benefits, Customer Service and Community) to provide case studies on how residents and tenants were being supported.

It was proposed, seconded and AGREED to:

1. Consider and comment on the feedback from the public consultation.

2. Recommend to Cabinet the Discretionary Council Tax Payment Policy for 2026/27 with a change to limit the amount of household capital (claimant and/or partner) to £4,000

3. Recommend to Cabinet a ‘no change’ Discretionary Housing Benefit Policy for 2026/27.