What is this consultation about?
Each Council is required to review their Council Tax Reduction scheme each year and decide if they want to make any changes. Before any changes can be implemented, they must be subject to public consultation.
Stafford Borough Council is proposing a number of minor changes to its existing scheme and, in line with legislation, we have a duty to consult you and provide you with the opportunity to tell us your views on the proposed changes to our Council Tax Reduction Scheme.
The changes apply to the working age Council Tax Reduction scheme only, as the scheme for pensioners is prescribed by Central Government.
From April 2026, a number of changes are proposed to make the scheme fairer for all applicants and we welcome your comments on the proposed changes detailed below.
Why is a change to the Council Tax Reduction scheme being considered?
The changes proposed are designed to make the scheme fairer for all applicants and maintain consistency with recent changes to national benefits.
The Council is consulting on the following changes to its scheme for 2026/27:
- Option 1 - To enhance the scheme to allow for additional dependants (currently limited to two) in line with the changes to Universal Credit;
- Option 2 - To allow the Council to increase the income levels for each discount band by an appropriate amount to account for changes in benefit levels;
- Option 3 - To disregard all elements in Universal Credit which relate to disability or caring;
- Option 4 - To amend the Minimum Income Floor (MIF) for self employed and directors of Ltd companies to allow for variations to be made when the applicant is unable to undertake full time work; and
- Option 5 - To disregard payments made under the LGBT Compensation scheme and the Miscarriage of Justice Compensation Scheme when assessing any support;
In the Stafford Borough area, over 7,000 people currently receive Council Tax Reduction. The gross cost of the scheme is £8.0 million which is spread across the Borough Council (8%), the County Council (74%), Fire (4%), and the Police (13%) in accordance with the proportion of Council Tax which each organisation levies (which is shown in brackets).
Who will this affect?
All options, if accepted by the Council, will affect applicants who are in receipt of Universal Credit. Pension age households will not be affected as Central Government prescribes their scheme.
Are there any alternatives to changing the existing Council Tax Reduction scheme?
The alternative is to leave the scheme as it stands however, this will mean that the scheme will not align with national benefits and may be considered unfair to certain applicants.
Thank you for taking the time to share your views. It should take around 10 minutes to fill in this consultation.