A simplified Council Tax Support Scheme for working age people is coming into operation in Liverpool next month.
Council Tax Support is a discount which helps households on low incomes with their annual bill.
Around a third of households in Liverpool are in receipt of the benefit.
The changes, which begin in April, have been designed to support people on the lowest incomes, ensure they are easy to understand and provides incentives for people moving into work.
Households will get a 12-month award so they know how much their Council Tax bill will be reduced by over a year, enabling them to budget.
The changes also align with Universal Credit and provide some certainty for people moving into or out of work, whilst continuing to provide support to those that need it most.
The new-look scheme is designed to be financially sustainable but is still one of the most generous among the UK’s big ‘core’ cities and in the Liverpool City Region.
The upper and lower limits in net earning bands have been extended by £50 per week for couples, while for households with children they are increased by £25 per child per week.
The maximum percentage of Council Tax discounted has changed from 91.5 per cent to 84 per cent, and awards are capped at the level of a Band B property, which has an annual bill of £1,980.57.
More information is available at https://liverpool.gov.uk/counciltaxsupport.
The new changes do not affect the Council Tax Support Scheme for pensioner households, the rules for which are controlled by central Government.
Deputy Council Leader and Cabinet Member for Finance, Resources and Transformation, Cllr Ruth Bennett, said: “We are hugely proud of the range of support we offer to the most vulnerable residents in Liverpool and take our responsibility extremely seriously.
“However, we need to make sure that the Council Tax Support Scheme is affordable and sustainable in the long-term.
“The changes make the scheme simpler to understand, and also provide households with a level of certainty by enabling them to know how much they will receive over a 12-month period, and is focused on providing support for those who need it most.
“Our Council Tax Support Scheme remains one of the most generous among the big cities and within the Liverpool City Region.”
