Changes to the Council Tax Support Scheme
Published Tuesday 7 March, 2023
Last updated on Tuesday 7 March, 2023
The Council is changing its Council Tax Support scheme (CTS) from 1 April 2023 for working age claimants only. The new scheme is a banded income scheme which is made up of five income bands:
- Band 1 – awards up to 80% CTS
- Band 2 – awards up to 60% CTS
- Band 3 – awards up to 40% CTS
- Band 4 – awards up to 20% CTS
- Band 5 – no entitlement to CTS
Non-Dependants
For any non-dependant living in your household, a non-dependant deduction will be made from your weekly liability before CTS is calculated. Deductions are as follows:
- £5.00 per week if they receive an ‘Out of Work’ benefit or they work under 16 hours per week
- £10.00 per week if they are working for more than 16 hours per week
No deduction will be made if you are in receipt of Disability Living Allowance or Personal Independence Payments. A non-dependant is an adult (over 18) living in the property who is not a partner, spouse, lodger or joint tenant.
Working Age claimants will fall into one of the following groups:
Working Age – Passported (In receipt of Income Support, Job Seekers Allowance (Income Based), Employment and Support Allowance (Income Related) or full rate Universal Credit
- Working Age – Non-Passported – Single
- Working Age – Non-Passported – Couple
- Working Age – Non-Passported – Single – 1 Child
- Working Age – Non-Passported – Couple – 1 Child
- Working Age – Non-Passported – Single – 2 Child +
- Working Age – Non-Passported – Couple – 2 Child +
Each of these groups will have a different income band
Group Description | Band 1 | Rate (%) Band 1 | Band 2 | Rate (%) Band 2 | Band 3 | Rate (%) Band 3 | Band 4 | Rate (%) Band 4 | Band 5 | Rate (%) Band 5 |
Working Age - Passported | 0.00 | 80% | ||||||||
Working Age - Non-Passported - Single | Less than £95 | 80% | £95.01 - £140 | 60% | £140.01 - £190 | 40% | £190.01 - £270 | 20% | More than £270.00 | 0% |
Working Age - Non-Passported - Couple | Less than £145 | 80% | £145.01 - £190 | 60% | £190.01 - £240 | 40% | £240.01 - £320 | 20% | More than £320 | 0% |
Working Age - Non-Passported - Lone Parent - 1 Child | Less than £150 | 80% | £150.01 - £200 | 60% | £200.01 - £250 | 40% | £250.01 - £320 | 20% | More than £320 | 0% |
Working Age - Non-Passported - Couple - 1 Child | Less than £200 | 80% | £200.01 - £250 | 60% | £250.01 - £300 | 40% | £300.01 - £370 | 20% | More than £370 | 0% |
Working Age - Non-Passported - Lone Parent 2 Child + | Less than £220 | 80% | £220.01 - £270 | 60% | £270.01 - £320 | 40% | £320.01 - £400 | 20% | More than £400 | 0% |
Working Age - Non-Passported - Couple - 2 Child + | Less than £270 | 80% | £270.01 - £320 | 60% | £320.01 - £370 | 40% | £370.01 - £450 | 20% | More than £450 | 0% |
Disability benefits, child maintenance and child benefit are disregarded. If anyone in the household receives a disability benefit, a premium will be awarded that may move you into a lower band.
The new scheme looks at the size of the household and only allows for a maximum of two children. This was an option that went out for consultation to the residents of Swale and was approved by Council Members.