Council Tax Discount

Jeremy535897

It will be to do with the fact that there is no mechanism for the council to get the bank account details.

CIS

Grumpy_chap said:

rapp55 said:

Latest version of government 'fact sheet' says households in bands A to D, including those getting 100% Council Tax Support/Reduction, will get the £150 payment. The money will be paid to householders bank accounts (if they have one).
Properties in A to D will not get the £150 if they are:
1. Empty
2. Second homes
3. Exempt from paying council tax eg occupied solely by students or someone qualifying as severely mentally impaired.
I suppose those in the latter category, if they pay energy bills, might be able to apply for some of the discretionary funds being given to councils. 

I can't understand why group 3 would not receive the energy subsidy. 

Might be complicated in the case of students where there are 3 or 4 (or more) unconnected people in one property, but that is for the Government / Council to overcome with a solution.

Does make sense for students in Campus accommodation, but not privately rented.

Really can't think why the mentally impaired don't qualify.

It's not an energy subsidy, it's simply a targetted council tax rebate. The energy subsidy is a different thing.

Class U and Class N (and Class M) exempted properties have no council tax charge to rebate against. Empty and second homes is on a matter of policy to prevent those properties being given a rebate.

rapp55

Jeremy535897 said:

It will be to do with the fact that there is no mechanism for the council to get the bank account details.

Councils will need to ask for bank details from every household that does not already pay their council tax by direct debit. Not sure why they couldn't also ask for those details from households that are in certain exempt categories.

badmemory

The admin time & other costs for all this will be eyewateringly expensive.  I am prepared to bet that the gov who put this in place will not be paying for it.  I doubt they will even refund the £150 in full too.

rapp55

CIS said:

Grumpy_chap said:

rapp55 said:

Latest version of government 'fact sheet' says households in bands A to D, including those getting 100% Council Tax Support/Reduction, will get the £150 payment. The money will be paid to householders bank accounts (if they have one).
Properties in A to D will not get the £150 if they are:
1. Empty
2. Second homes
3. Exempt from paying council tax eg occupied solely by students or someone qualifying as severely mentally impaired.
I suppose those in the latter category, if they pay energy bills, might be able to apply for some of the discretionary funds being given to councils. 

I can't understand why group 3 would not receive the energy subsidy. 

Might be complicated in the case of students where there are 3 or 4 (or more) unconnected people in one property, but that is for the Government / Council to overcome with a solution.

Does make sense for students in Campus accommodation, but not privately rented.

Really can't think why the mentally impaired don't qualify.

It's not an energy subsidy, it's simply a targetted council tax rebate. The energy subsidy is a different thing.

Class U and Class N (and Class M) exempted properties have no council tax charge to rebate against. Empty and second homes is on a matter of policy to prevent those properties being given a rebate.

The governments factsheet on this is headed 'Energy Bills Rebate' and explains how the 'Energy Bill Discount' (£200 loan) and the 'Council Tax Rebate' (£150 payment) will work. The factsheet describes this as "a package of support to help households with rising energy bills". The govt letter to councils said the £150 payment would be made "outside the council tax system".

So its not really a council tax rebate, it is just a way to pay households £150 to help us pay our higher energy bills. If that is the case it shouldn't make any difference whether the household has paid their council tax in full, or is in arrears, or has a zero bill through 100% council tax support or doesn't have anything to pay because they are exempt - as long as they have an energy bill to pay. So that should include those with severe mental impairment and student only households (assuming they pay towards energy costs) but the latter would be difficult to administer which might be why the government has opted for excluding all council tax exemption types.

rapp55

rapp55 said:

CIS said:

Grumpy_chap said:

rapp55 said:

Latest version of government 'fact sheet' says households in bands A to D, including those getting 100% Council Tax Support/Reduction, will get the £150 payment. The money will be paid to householders bank accounts (if they have one).
Properties in A to D will not get the £150 if they are:
1. Empty
2. Second homes
3. Exempt from paying council tax eg occupied solely by students or someone qualifying as severely mentally impaired.
I suppose those in the latter category, if they pay energy bills, might be able to apply for some of the discretionary funds being given to councils. 

I can't understand why group 3 would not receive the energy subsidy. 

Might be complicated in the case of students where there are 3 or 4 (or more) unconnected people in one property, but that is for the Government / Council to overcome with a solution.

Does make sense for students in Campus accommodation, but not privately rented.

Really can't think why the mentally impaired don't qualify.

It's not an energy subsidy, it's simply a targetted council tax rebate. The energy subsidy is a different thing.

Class U and Class N (and Class M) exempted properties have no council tax charge to rebate against. Empty and second homes is on a matter of policy to prevent those properties being given a rebate.

The governments factsheet on this is headed 'Energy Bills Rebate' and explains how the 'Energy Bill Discount' (£200 loan) and the 'Council Tax Rebate' (£150 payment) will work. The factsheet describes this as "a package of support to help households with rising energy bills". The govt letter to councils said the £150 payment would be made "outside the council tax system".

So its not really a council tax rebate, it is just a way to pay households £150 to help us pay our higher energy bills. If that is the case it shouldn't make any difference whether the household has paid their council tax in full, or is in arrears, or has a zero bill through 100% council tax support or doesn't have anything to pay because they are exempt - as long as they have an energy bill to pay. So that should include those with severe mental impairment and student only households (assuming they pay towards energy costs) but the latter would be difficult to administer which might be why the government has opted for excluding all council tax exemption types.

Turns out the govt has decided that households occupied only by students or the severely mentally impaired (which are exempt from council tax) will receive the £150 payment after all...Support for energy bills - the council tax rebate 2022-23: billing authority guidance - GOV.UK (www.gov.uk) 

law2468

What do the rules say about moving house in April? I will be changing councils at the start of April and I'm worried each council will expect the other to pay it and I'll get nothing. Google is being very unhelpful on the subject.

molerat

law2468 said:

What do the rules say about moving house in April? I will be changing councils at the start of April and I'm worried each council will expect the other to pay it and I'll get nothing. Google is being very unhelpful on the subject.

The .gov link in the post above shows exactly what will happen, the rebate goes to the person responsible for the property on 1st April.

law2468

molerat said:

law2468 said:

What do the rules say about moving house in April? I will be changing councils at the start of April and I'm worried each council will expect the other to pay it and I'll get nothing. Google is being very unhelpful on the subject.

The .gov link in the post above shows exactly what will happen, the rebate goes to the person responsible for the property on 1st April.

I will be responsible for property A on 1st April but then moving to property B on 7th April. Will council A be efficient enough to get the £150 to me before I move? Or will it still be sent to me at some point in April even though I've moved?

Lollyrs58

rapp55 said:

From the information issued by govt so far my understanding is that councils will pay the £150 direct to the bank account of everyone who has a council tax account. That means you will get the payment whether you pay full, part or zero council tax because of existing exemptions or benefits. They will use the bank account details they already have for people who pay council tax by direct debit. Those who pay by cash or card (or have a zero bill) may be asked for details so the council can pay them. I don't believe it will be paid by reducing the monthly council tax instalments as the MSE article suggested.

Councils have to give this energy tebates to residents. Lots of problems though with government not thinking this through. No real information on second homes, exempt properties, tied accommodation, annexes, properties left empty whilst occupier provides care.
councils have a huge task of making sure they pay the correct people - its ripe for fraud.
to start they will pay known trsidents who pay by direct debit. Everyone else will have to fill in an application form which needs to be validated. Imagine working at a council having to deal with 40,000 applications in april - the busiest time of the year for council tax teams.
no councils really want this admin nightmare- the cost of printing posting  monitoring 40,000 cheque payments is eye watering.
its all got to be audited and accounted for.
if you pay the electric bill but your landlord pays your council tax - who should get the £150.
in Scotland they are just knocking it off your first instalment.
then after the rush the councils will have to look at all the cases left over that havent been claimed and work out whst to do with that.
for a chancellor to dump this on local authorities so he can get a few happy claps in parliament is appalling