Some exempt council tax payers may be charged next year

Some people in Exeter who are currently exempt from paying council tax will probably have to pay a small monthly charge next year.

The government has decided to abolish the council tax benefit scheme that supports residents on a low income to pay their council tax bill.

Instead, the responsibility for providing that support will transfer to local councils beginning next April. The cut in government funding means Exeter will need to save over £1 million in the first year alone.

Everyone, apart from pensioners (who are protected by law), will have to pay something towards their council tax bill, with few exceptions. Exeter currently sets the fifth lowest district council tax in the country.

Under Exeter City Council's proposed local scheme, which will go before its Executive on 20th November, the highest level of support will be 80%.

Cllr Ian Martin, Lead Councillor for Business Transformation and Human Resources, said: "People need to be clear that these changes have been forced upon the Council because of a large reduction in government grant. 

"We always knew that we would have to make some difficult decisions about who gets financial support and how much they get and that is why we recently consulted the public on the impact of these changes. Consultation was thorough and resulted in some 1,400 responses from the public."

The City Council has drawn up a number of measures to help mitigate any problems arising from the changes to council tax benefit and the wider reaching implications of welfare reform.