Info concerning proposed adjustments to Council Tax Reduction Scheme from April 2026

Ashford Borough Council is reviewing its Council Tax Reduction scheme with the present scheme for Council Tax Reduction (CTR) having existed in its present kind since 1 April 2020. 

Following a Cabinet assembly held on 11 September, it was agreed by Members {that a} public session on the proposed adjustments will happen ranging from Friday 19 September to Friday 31 October 2025.

What is the Council Tax Reduction Scheme?

The Council Tax Reduction scheme gives assist for sure taxpayers who’ve a low revenue. Where entitled, the scheme gives a discount in legal responsibility for Council Tax. 

Under the Council Tax Reduction provisions, the scheme for pensioners is decided by central authorities and the scheme for working age candidates is decided by the council. Our pensioner residents are due to this fact unaffected by any proposed adjustments. 

Why does the present scheme must be modified?

Collection of Council Tax from the bottom revenue households may be tougher because of the restricted funds accessible to these households. As family payments proceed to rise, it is just proper to assessment the extent of assist accessible to a few of the lowest revenue households. 

Ashford is the one council in Kent to supply a extra beneficiant susceptible scheme that’s accessible for disabled and carer households. Rather than lower assist to working age residents, we wish to think about elevating the extent of assist for these not in receipt of incapacity or carer advantages, to that of an analogous degree of residents within the Vulnerable Scheme. 

As Universal Credit rolled out, 12 months on 12 months, extra advanced households had been moved over to Universal Credit. As a consequence, extra components seem within the Universal Credit calculation such because the restricted functionality for work aspect, disabled baby aspect and carers aspect.

The present CTR scheme doesn’t permit these varied Universal Credit components to be disregarded when calculating a family’s revenue. This session appears to be like to handle that concern, as all residents could have moved over to Universal Credit by April 2026.

Proposed adjustments

Several choices are being thought-about, and embrace; growing the utmost degree of assist accessible to all low revenue working age households to 90%, or 100%; disregarding the varied disabled and carer components of Universal Credit when calculating family revenue; aligning the Working Age Scheme and the Vulnerable Scheme into one seamless banded system, dependant on family make up.  

All urged adjustments will proceed to guard our disabled/ carer households by persevering with to ignore all incapacity and carer revenue reminiscent of Disability Living Allowance, Personal Independence Payment, Attendance Allowance and Carers Allowance.

No selections have been made but nevertheless and full consideration shall be given to the outcomes of the general public session.  

Noel Ovenden, Leader of the Council and Cabinet Member for Finance and Resource (with Special Responsibility for Housing and Homelessness), stated: “I assist that we need to seek the advice of on the creation of a less complicated and fairer scheme in response to the elimination of the KCC incentive grant.

“This scheme will align to other districts across the county and prepare us for Local Government Reorganisation. I’m pleased that there will continue to be an Exceptional Circumstances Fund for those that are negatively impacted by the scheme.”

Have your say

We need to hear your views to make sure that any adjustments to the scheme are honest, clear, and meets the wants of our group. The session shall be accessible by means of a dedicated consultation portal beginning on 19 September and working by means of to 31 October 2025.

More info on the proposed adjustments is out there on our devoted council tax discount session net web page and common info on our present Council Tax Reduction scheme may be discovered on-line.