8,000 of the lowest income households will no longer pay council tax in Islington from April

The new banded Council Tax Support Scheme, agreed last night (Thursday, 14 December), will also give 95 per cent council tax discount to a further nearly 6,000 households. 

The Council Tax Support Scheme is an important part of the council’s safety net, supporting local people with the ongoing cost of living crisis. The Council invests more than £30 million every year to protect low-income households and create a more equal Islington. 

Cllr Diarmaid Ward, Executive Member for Finance and Performance, said: “We’re determined to make Islington a more equal place and with the cost of living crisis still affecting households right across Islington, it’s the families most in need who are being hit the hardest – threatening to deepen inequalities even more. 

“That’s why we’re improving our Council Tax Support Scheme - to soften the blow for those worst hit households. I’m proud to be going even further than last year – investing over £1.75 million more into the scheme, so 8,000 of Islington’s lowest-income households will no longer have to pay council tax at all.” 

The changes to the Council Tax Support Scheme, to be introduced in April 2024, are designed to reflect the changing welfare benefit system, with more working age households moving on to universal credit.  

The banded scheme will mean less frequent changes in Council Tax Support Scheme entitlement for those households with variable earnings, reducing the volume of updated council tax bills and payment plans for residents. 

People who are on a low income or are receiving benefits such as Universal Credit, Jobseekers Allowance, Employment Support Allowance, or Income Support and have savings and investments of less than £16,000 may be entitled to support if they are liable for Council Tax.  

The scheme for 2024/25 was approved at Full Council last on Thursday 14 December. Further details of the scheme can be found in the council’s report.