To approve the recommendations of the Cabinet meeting held on 15 November 2012, as set out in the attached appendices, to agree a Council Tax Support Scheme in the light of the requirements set by the Government and the outcome of local consultation and determine the level of Council Tax Discount for vacant properties and second homes.

The Cabinet Member Corporate Services presented the report of the Chief Officer Finance and Commercial on the Council Tax Support Scheme and Council Tax Discounts. 

Note:   At this point those Members that had declared an interest left the chamber whilst the item was discussed.

The Cabinet Member advised that the current Council Tax Benefit subsidy was £13m.  This was to be replaced with grant funding amounting to £11.6m leaving a funding gap of £1.4m.  The Cabinet Member stated there were not the reserves to fall back on therefore savings had to be made.  Council was referred to agenda page 36 paragraph 8.3 and the table outlining the proposed changes or funding streams.  The Cabinet Member added that the proposed budget was intended to take the Council forward, but referred to paragraph 10.4 of the report, which stated the new scheme was no longer a national scheme and therefore there was potential for local challenges.  It was not clear the impact this could have on the scheme or on the implementation timescales.

In response to a question of clarification Council was reminded that Government would be taking 10% off Council Tax support, which raised concern for young families on low incomes.  Concern was also raised at the low percentage of the population that had responded to the consultation and at the way residents were being reached for consultation.  Council was reminded that in the Government response it stated that all people should pay something towards Council tax.  It was moved and seconded that the recommendation be adopted and upon a vote being taken:

For                   24

Against            5

Abstentions     6

RESOLVED

          THAT:

a)    the Council Tax Transitional Grant be accepted;

b)    Council adopts a new Council Tax Support Scheme for 2013/14 based on the adoption of two of the principles that were consulted upon as indicated in paragraph 31 of the Cabinet report, so that the requirements of the grant be met; and

c)    changes to Council tax discounts outlined in the report be implemented from 1 April 2013.