Thousands of Brent residents eligible for help with council tax payments are set to have their support cut under new proposals laid out by the local authority.
Brent Council is looking to reduce the cost of its Council Tax Support (CTS) scheme by £8million in a bid to navigate an ‘incredibly challenging’ financial landscape.
The roughly £16m budget gap outlined for 2025/26 is expected to rise to around £30m by 2027/28, according to council figures, which it claims needs to be plugged via ‘further savings, efficiency, and income generation options’. The cost of providing the CTS scheme is forecast to increase from £19.9m this financial year to £21.2m in 2025/26.
Under the proposed changes, those residents currently in receipt of the support will lose out on their current discount. From 1 April 2025, all claimants of working age will be required to pay something towards their bill – whilst pensioners will be unaffected by the changes as their support is determined by central government. Hounslow Council recently announced similar proposed changes.
In 2024/25, a total of £32.8m of CTS was paid to 16,833 working-age and 8,428 pension-age claimants. Under current measures, residents can claim council tax support if they: are liable to pay council tax for their property; are living in the property as their main home; and have less than £6,000 in savings – though the amount is tapered depending on earnings. The average Band D council tax in Brent is £1,564.65 a year.
Those households earning between £151 and £250 per week are currently eligible for a 30 per cent reduction in their council tax, whilst incomes between £110 and £150 have a 50 per cent reduction, between £81 and £110 get it reduced by 80 per cent, and those earning less than £80 a week pay nothing.
If the latest proposals are approved, Brent Council will introduce a standard 35 per cent minimum payment for working age households and then a percentage reduction to each of the income bands. The amount of CTS they are eligible for will then be calculated based on their income, which will determine the income band they fall into.
Charges for ‘non-dependants’ – other adults aside from the main occupant – will also be ‘simplified’ as part of the changes, with just two flat rate deductions for most households with other adults living in the property – £8 per week for non-dependants out of work and £20 per week for non-dependants in work.
Removing the need to verify income for non-dependants and reducing the administration burden will reduce the cost of the scheme by £700,000, according to council figures.
If the changes go ahead, a single person living in a Band D property and earning below £80 a week – who would not currently pay any council tax – will be required to start paying £45.64 a month from April 2025.
The proposal aims to reduce the total cost of the scheme by £8m, which the council claims will deliver ‘vital savings’ of £5m – with the remaining £3m going towards a £1.5m hardship fund and £1.5m to make a mandatory contribution to the mayoral precept.
Following approval at a recent Cabinet meeting on 14 October, the plans will go out to public consultation first – with a final decision expected to be made ahead of the council’s budget being agreed in February 2025.
Cabinet Member for Resident Services and Culture, Cllr Fleur Donnelly-Jackson, said: “As we navigate the ongoing challenges of delivering essential services amidst rising costs and growing financial pressures, Brent Council continues its commitment to supporting our most vulnerable residents while ensuring that everyone contributes fairly to the funding of our community. The CTS scheme, which provides financial relief for many, faces growing costs.”
She added, “This year, we are proposing changes to the working-age CTS scheme that will not only alleviate the administrative burdens but also deliver significant cost savings for the council. […] These changes reflect our broader priorities as a borough: ensuring financial sustainability, targeting support where it is needed most, and fostering a sense of collective responsibility.”
