Council Tax and Benefits From April 2013

The government told us that Council Tax Benefit is stopping from March 2013 and will be replaced by Council Tax Support Each Council can design their own local Council Tax Support Scheme Councils will have about 10% less money to spend on the new scheme The government has told Councils that pensioners must be protected from any changes Background

Consultation Scheme 1 (preferred) A combined scheme with several options + protections+ work incentives Scheme 2 Up to 80% reduction off the Council tax bill + protections+ work incentives The public consultation lasted 12 weeks and consulted on two proposals Postal form, web form, Neighbourhood forums, meetings, telephone and

Preferred Scheme options Minimum benefit award of £5.00 per week Change the charge for second homes Protect DLA Middle / High rate Child Benefit - Children under 5 Abolish Second Adult Rebate Restrict benefit to Property Band D Increase the income taper from 20% to 30% Change the empty property discount Abolish Backdated Payments Include Child Benefit in the calculation Increase non dependant deductions

Results of consultation – preferred scheme Over 1000 responses received

Council Tax Proposals Empty Properties 2 proposals Apply 25% discount for six months from the property becoming empty Apply 100% discount for one month and then the full Council Tax charge will apply Second Homes in Trafford There is 1 proposal Remove the 10% discount for people who own a second home

Results of consultation – Second home discount

Work incentives Consultation asked for opinions on the following: Pay Extended Reductions (formally Extended Payments) for longer to ease the financial worry of waiting for a first wage Increase the amount of money we will ignore when a family pays towards registered child care

Results of consultation – Work incentive – Extended payments

Council Meeting Summary Councillor Anstee presented the preferred scheme to full Council Conservative group supported changes as provided least impact on households Labour group oppose Welfare Reform changes Lib dem group, concerned about the changes but support the scheme in the fact that there are protections and the majority of households not impacted Full vote carried out and passed the scheme

What does this mean? From 1/4/13 the following will take effect: Preferred Council Tax Support scheme goes live Extended Reductions will be increased to 8 weeks Child care disregards will be increased by 10% Second home discount removed Empty and Unfurnished properties will be charged the full Council Tax after 1 month In addition properties which are empty and unfurnished for over 2 years will be charged a 150%

Example of households affected Over a year (3339 for ) Household TypeNo of claimants Average yearly Council Tax Benefit reduction Average weekly Council Tax Benefit reduction Single Claimant 25 or over1251£112.38£2.16 Lone Parent 18 or over1228£180.79£3.48 Family - one or both over 18552£231.13£4.44 Couple - one or both over 18220£124.43£2.39 Single Claimant 18 to 2483£80.79£1.55 Couple - one or both aged 60 to 643£59.06£1.14 Single person aged 60 to 642£15.45£0.30 Full Equalities impact breakdown available on the Council Website

Communications Press release available at: 87http:// 87 Letters being issued to affected households (approx letters) Website being updated Dedicated Benefits helpline available from 1 st February ; Mon - Fri 8.00am to 7.00pm Benefit Roadshows and drop in sessions arranged

Communications Mobile Advice Centre (Benefits Bus) Date:Location: Monday 18 FebSale West Community Centre Tuesday 19 FebAltrincham Market Wednesday 20 FebCentral Road, Partington Thursday 21 FebSale Town Hall Friday 22 FebUrmston Library Welfare Reform - Drop in advice sessions Date:Location: Monday 11 FebStretford Library Tuesday 12 FebOld Trafford library Wednesday 13 FebStretford Library Thursday 14 FebSale Waterside Friday 15 FebUrmston Library

Some schemes in AGMA Rochdale: Restrict all working age claims to Band A, and applying a 25% cut to all net awards. This will achieve £3.6m of the £5m required. The rest of the savings will be made through changes to council tax discounts and exemptions. In addition abolishing backdates, abolishing second adult rebate, doubling non-dep deductions (12/13 rates) and increasing income taper to 30% Developing a discretionary fund – No other protections. This scheme has received a legal challenge (according to HBINFO) Stockport: CTS restricted to Band A for smaller households or Band B for larger households. Second Adult Rebate abolished. Non-dep deductions will be made at either £10 or £5 per week dependant on income. Support can only be claimed by people with less than £8000 capital or savings. No backdates. The minimum weekly payment of support will be £1 per week. Developing a discretionary fund.

Future plans – Information and advice Working with partners on the provision of information and advice Working to ensure joined up approach in reaching households Need more ideas on how this can be achieved.

Over to you! Are there any questions?