Council tax reductions increase thanks to £244m Welsh Government scheme
A new report published yesterday shows almost 300,000 vulnerable and low income households in Wales received a reduction in their council tax in 2016-17.
Last September, Local Government Secretary Mark Drakeford confirmed the Welsh Government would continue to protect vulnerable and low income households by maintaining full entitlements to the Council Tax Reduction Scheme until at least the end of 2017-18.
The decision has ensured almost 300,000 households in Wales continue to be protected from any increase in their council tax liabilities. Of these, 220,000 households pay no council tax at all.
Commenting on the new report, Professor Drakeford said:
“Despite the UK Government cutting our funding by 10%, the Welsh Government has worked with local authorities to secure reductions in council tax for vulnerable and low income households. This has been supported by the £244m we have provided through our local government settlement.
“This is in stark contrast with the situation in England where local authorities have been left to design their own schemes and manage the associated funding shortfall. This has resulted in more than two million low-income households having to pay more of their council tax bills.
“Low-income families in England are now paying on average £169 a year more in council tax than they would have if council tax benefit were still in place.
“We’re ensuring that local authorities in Wales will continue to be shielded from the costs faced by councils in England and those households which need the most support continue to receive it.”
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