The new Buckinghamshire Council’s aim is to have one Council Tax Reduction Scheme (CTRS) across the whole of Buckinghamshire. One scheme for the whole of Buckinghamshire will mean that people in the same situation are treated consistently and fairly wherever they live.
But what would this mean to you? To help you understand how the proposed changes could affect you, we’ve created a number of case studies.
Please note: These case studies are for illustrative purposes only and do not represent the actual amount of Council Tax Reduction awarded currently or in the future.
- Lone parent with child under 5
- Couple with child under 5
- Lone parent with child under 16
- Single person living in a high banded property
- Single person of working age with a non-dependent
- Couple in work with children
- Single person, self employed
Lone parent with child under 5
Jack lives with his 2 year old child in a band A property with an annual council tax bill of £1240.46. He currently receives a 25% single persons discount as he is the only resident over the age of 18. This reduces the annual charge to £930.35 or £17.89 per week. Jack receives Income Support.
If the council proposed not to define lone parents with children under 5 as vulnerable then Jack’s council tax support will either remain the same or reduce, depending on which authority he currently lives in. This would be due to no longer providing support for lone parents with children under 5 which is currently offered by AVDC and CDC.
In our proposals we are recommending that lone parents with children under 5 can receive full council tax support, so Jack will see an increase in his CTR entitlement. He will also benefit from the increase of up to 100% support, and therefore not pay any council tax.
Couple with child under 5
John and Julie live in a band C property with an annual bill of £1447.19 or £27.83 per week, they have one child under the age of 5. Both John and Julie work and have a combined weekly household income of £294.78. This is made up of £178.91 earned income, £57.61 Child Tax Credits, £37.56 Working Tax Credits and £20.70 Child Benefit.
Under our proposals, John and Julie will see a decrease in the amount of support they currently receive. AVDC offer additional protection to households with children under 5, this protection will no longer be available in our proposals. Changes to the way earned income is treated in Chiltern District Council (CDC) will lead to a larger decrease in support, as CDC currently offer higher levels of disregard than the other three districts. In Wycombe it is likely there would be no change.
Lone parent with child under 16
Gemma lives in a band C property with an annual council tax bill of £1653.94, she receives single occupiers discount of £413.49 resulting in a reduced bill of £1240.45 or £23.85 per week. Gemma lives with her 7 year old daughter. Gemma works and receives a top up of Universal Credit along with child benefit, resulting in a weekly household income of £161.56.
Under our proposals, Gemma will see little or no change to her council tax support.
Single person living in a high banded property
Dean lives alone in a band F property with an annual bill of £2687.65, he has a weekly household income of £134.30.
As Dean is the sole adult resident, he receives the 25% single persons discount resulting in the amount of Council Tax payable of £2,015.73 or £38.76 per week.
Under our proposals, Dean will see an increase in the amount of support (single persons discount) if he lives in the Chiltern District Council (CDC) area. This is because CDC limit the maximum amount of support at a band D property. This is only the case for Chiltern District Council, the other authorities do not have any current restrictions based on what band of property you live in so there will be no change to the weekly entitlement in three of the current districts.
Single person of working age with a non-dependent
Kirsty lives in a band C property with two other adults, Daniel and Ciara, who are non-dependents. Kirsty receives £54.72 Universal Credit each week, Daniel earns £323.08 per week and Ciara does not currently have an income.
The annual council tax bill is £1706.04 or £32.81 per week.
Under our proposals, Kirsty will see an increase in her CTR entitlement if she lives in the AVDC, WDC and SBDC areas due to a reduction in the Non Dependent Deductions. In AVDC’s current scheme, Daniel would be expected to contribute £14.00 and Ciara would be expected to pay £3.00 per week towards council tax. Under the proposed scheme the contribution would be set at £5.00 each.
Couple in work with children
Andrew and Joanna have three dependent children and live in a band B property with an annual council tax bill of £1447.19 or £27.83 per week. They have a combined weekly household income of £374.58, including child tax credits and child benefit for three children.
Under our proposals, Andrew and Joanna will see a small decrease or no change depending on the area they currently live in.
Single person, self employed
Lee is a self employed handyman, living in a band A property with an annual council tax bill of £1240.46 and receives a 25% discount due to being the sole adult resident resulting in the annual bill of £930.35 or £17.89 per week. Lee has a household income of £120.13
Based on Lee’s self employed earnings he currently receives £562.64 in council tax reduction, leaving £367.70 to pay. Lee will be affected by all proposed schemes due to the level of contribution for working age claimants increasing.
Lee will see a small increase in the amount of CTR awarded if he lives in the AVDC & CDC areas. If he lives in the SBDC & WDC areas it is likely there would be no change in the amount of council tax support he receives.