Posted 03 04 14
Research just published by the Joseph Rowntree Foundation (JRF) shows that nearly 600,000 poor families in England are facing a second successive year of above average Council Tax rises, far in excess of the increase facing households on average.
2.3 million low income families will pay an average £149 a year more in Council Tax than they were paying before April 2013. This includes 580,000 families paying £54 more this year on top of the £97 rise they faced last year.
This is in contrast to the Government's determination to limit overall Council Tax increases to 2%, which has kept the increase for the average band D property to £12 this year.
The findings are detailed in a New Policy Institute (NPI) report for JRF. The report is the first, full assessment of Council Tax Support (CTS) 12 months on from its introduction.
Last April, Council Tax Benefit was abolished and replaced by CTS. England's 326 local councils had to devise their own CTS schemes, but with 10% less funding. Pensioners remained fully protected as before.
To limit the impact in the first year, the Government gave a one-year transitional grant to councils whose minimum payment was 8.5% or less of a household's normal liability. This latest research from JRF analyses the choices made by councils after that grant had come to an end.
The findings - How have low-income families been affected by changes to Council Tax Support? by a team at the New Policy Institute is available to download for free from the JRF website.
