Agenda item

To consider updates on actions agreed at the meeting held on 15 January 2024.

The Chairman informed Members that following a discussion in the November 2023 Committee meeting about the Council Tax Discount Scheme for veterans, further work had been completed by Officers.  The Head of Service for Revenues, Benefits, Customer and Community provided an update.

The 2021 census confirmed there were 8,694 veterans that were resident within the district of South Kesteven.  It was not known in which Council Tax Band the veterans resided.  The census gave an indication of the socio-economic classification which detailed 555 veterans were not in work or in some kind of occupation.  This left 8,140 veterans who the Council will class as employed for modelling purposes as a result of the meeting held in November 2023.

For the following options, no precepting Authority had confirmed their willingness to agree to a scheme.  The outcome of the consultation was shared with this Committee in November 2023 with regards to the potential of any such scheme.  Should a scheme be taken forward as part of consultation for implementation for 2025-2026, those preceptors again would be required to be consulted upon, as well as public consultation.

Further clarification was also needed in regards to scheme eligibility and as a result, a number of assumptions had been made for the 2 modelling options. 

Financial option 1 – Assuming all veterans live in Band A and all 8,104 veterans are eligible.  The Council Tax Band A for 2023-2024 is £1,307.64.  With a 5% discount, the total cost would be £532,209.  With a 10% discount, the total cost would be £1,064,418. (Further breakdown could be circulated to Members if required).

Financial option 2 –To award all veterans that live in Band A and to remove anyone who is in receipt of Council Tax Support and Single Persons Discount.

Across the district there were just over 67,000 residents.  Of those 30% in Band A, just under 6% were in receipt of Council Tax Support and just over 13% were in receipt of a Single Persons Discount.

With 2,426 veterans assumed to be living in Band A and working (therefore assumed to not be in receipt of Council Tax Support and Single Persons Discount, this would leave 855 veterans who could potentially benefit from the scheme.

Financial modelling for this would be for 5% - £55,900 and for 10% - £111,800.

The Officer emphasised that eligibility was key and assumptions had been made in the calculations.  A further report on the scheme was to be heard at the meeting on 8 May 2024 with a recommendation for a way forward.  Once scheme eligibility was confirmed, a further report would be brought before the meeting on 25 July 2024.

ACTION:

A breakdown of the financial modelling was to be circulated to Members of the Committee.

The Head of Service for Revenues, Benefits, Customer and Community was thanked by Members for providing a detailed report.

The following points were raised during discussion:

·       There was concern over the large difference in potential cost, based on eligibility criteria.

·       It was noted that the Armed Forces Covenant was perhaps not fully understood.  While veterans were not to be disadvantaged, there was no obligation for the Council to provide discounts.  There were many organisations available that offered support.

The Chairman clarified that a meeting was to take place following the circulation of the financial breakdown of each proposed option prior to the item returning to the committee meeting on 8 May 2024.