Extra council tax support for low-income households in Islington

It would mean lower council tax bills for an estimated 19,000 low-income working age households, including many people who have suffered hardship because of lost employment during the Covid-19 pandemic, and the recent £20 reduction in Universal Credit payments.

Islington’s Council Tax Support Scheme is one of the most extensive in the UK and a key part of the safety net for low-income households.

Currently, working age households in Islington can receive up to 91.5 per cent of the level of support previously offered under council tax benefit, which was abolished by central Government in 2013.

Under the proposal, Islington would increase this to 95 per cent, further cutting council tax bills by an average of £42 per year for many residents in greatest need.

Cllr Satnam Gill, Islington Council’s Executive Member for Finance and Performance, said: “We’re working to create a more equal Islington, tackling inequality and ending poverty in our borough.

“Our Council Tax Support Scheme is a vital part of the safety net that supports and protects low-income households in Islington, and is already one of the most comprehensive and supportive schemes of any council in the UK.

“We know many working-age, low-income households in Islington have suffered greatly during the pandemic, and we’re proposing to increase council tax support to help them, and to help create a more equal Islington for all.”

Other proposed changes to Islington’s Council Tax Support Scheme include allowing council tax support on two homes when a person has left their normal home because of a fear of violence, or when they are awaiting disability adaptations on the new home.

The proposed Council Tax Support Scheme would retain the £100 older person discount for residents aged State Pension Age or over who are liable for council tax, and protect pensioners’ council tax support so it is broadly the same as under the Government’s abolished council tax benefit scheme.

Islington Council will vote on its Council Tax Support Scheme at its meeting on 9 December 2021.