Cabinet Member for Finance

Cabinet considered the report of the Head of Service Delivery and the above Cabinet Member which analysed the current scheme’s effect on collection and benefit claimants and recommended the percentage reduction from Council Tax Support (CTS) that should be set for 2015/16.

The Cabinet Member for Finance referred Members to the tabled Community Impact Assessment which outlined the final results from the consultation.  He thanked the Assistant Revenue and Benefits Manager for her work.

The Assistant Revenue and Benefits Manager explained that the scheme had been reviewed by a Welfare Reform Group comprising officers and Members.  The Group felt was clear that the CTS Scheme had worked well for 2014/15 and it was therefore recommended that it be continued for 2015/16.

The Cabinet Member for Environmental and Rural Affairs raised concern with recommendation (2), and the possible unintended consequences of reducing the short term empty discount from three months to one month.  He suggested that a one month turnaround of tenants was very tight and that private landlords may increase the rent to cover this.  He considered that the Council should not be discouraging Private Sector Landlords, in view of the Borough’s housing shortage.

The Cabinet Member for Housing acknowledged the Member’s comments but considered that this proposal may encourage a quicker turnaround of tenants which would be beneficial.

RECOMMENDED:

(1)  That the Council Tax Support (CTS) Scheme for 2015/16 be kept the same as 2014/15 and CTS continues to be reduced by 15%.

(2)  That the short term empty discount is reduced from 3 months to 1 month.

(3)  That a 50% premium is charged on properties that have been empty for more than two years.