DOZENS of councils are being forced to cut back on the cost of living help they can give residents ahead of council tax rises next month.
The support is a lifeline for thousands of households who are struggling to keep up with rising food and energy prices.
But an investigation by The Sun has revealed that some households will be forced to pay council tax for the first time, while others will lose out on the support altogether.
The Local Government Association has warned that council finances remain “extremely challenging” and there may be further cuts to services.
The news comes as households brace for bumper council tax increases next month.
Local authorities in England that are responsible for delivering social care can increase their council tax by up to 4.99%.
Read more on council tax
Meanwhile, small councils that are not responsible for social care can hike bills by up to 2.99%.
But 29 local authorities have been given permission to put up their bills by more than 5%, which could add an extra £213 a year to household bills.
Among them is Falkirk, which will push up the tax it charges on a typical Band D property by 15.6%, or £212.75 a year.
Meanwhile, in East Lothian the council tax on a property in the same band will rise by £143.56, or 10%.
Which councils are cutting back on funding?
Somerset Council
Somerset Council is reducing the financial support it offers through its Council Tax Reduction scheme from April 1.
From next month the council tax discount it offers to residents in the most financial hardship will fall from 75% to 50%.
Meanwhile, those who received a 40% discount will see this plummet to 25% in weeks.
It will also limit the Council Tax Reduction it offers those who live in properties in bands E, F, G and H to the amount they would pay if they live in a Band D home.
Plus the period that claims can be backdated will fall from 12 months to just three.
Somerset Council declared that it was in a “financial emergency” in 2023 due to soaring costs and demands on services.
What energy bill help is available?
There's a number of different ways to get help paying your energy bills if you're struggling to get by.
If you fall into debt, you can always approach your supplier to see if they can put you on a repayment plan before putting you on a prepayment meter.
This involves paying off what you owe in instalments over a set period.
If your supplier offers you a repayment plan you don't think you can afford, speak to them again to see if you can negotiate a better deal.
Several energy firms have schemes available to customers struggling to cover their bills.
But eligibility criteria vary depending on the supplier and the amount you can get depends on your financial circumstances.
For example, British Gas or Scottish Gas customers struggling to pay their energy bills can get grants worth up to £2,000.
British Gas also offers help via its British Gas Energy Trust and Individuals Family Fund.
You don't need to be a British Gas customer to apply for the second fund.
EDF, E.ON, Octopus Energy and Scottish Power all offer grants to struggling customers too.
Thousands of vulnerable households are missing out on extra help and protections by not signing up to the Priority Services Register (PSR).
The service helps support vulnerable households, such as those who are elderly or ill.
Some of the perks include being given advance warning of blackouts, free gas safety checks and extra support if you're struggling.
Get in touch with your energy firm to see if you can apply.
At the time the council set out a series of actions to try and plug the funding gap, including selling assets and buildings.
It also announced plans to increase Council Tax, fees and charges as much as possible.
Cheshire West and Chester
From April 1 Cheshire West and Chester is making changes to its Council Tax Reduction scheme for working age claimants.
Households of pension age will not be affected.
The council said the majority of claimants will either be better off or their award will stay the same.
But some claimants will see their payments reduced.
The council will also introduce a transitional support scheme that will run for a minimum of two years.
The scheme will provide additional support to residents who may be affected by the changes.
Among the chances is a restriction on the amount you can have in capital such as shares, money in a bank account or property other than their primary residence.
Under the current scheme the maximum amount you can hold in capital is £16,000 for those in protected groups, and £6,000 for non-protected groups.
But from April 1 this limit will be slashed to just £6,000.
Meanwhile, new banding restrictions will reduce the amount that households will get in support.
Currently there are no banding restrictions for protected claimants, who would receive support equivalent to the council tax band of their property.
This was the case even if their property was higher than Band D.
But from April 1 the Band D banding restriction for non-protected groups will also be applied to protected groups.
This means a protected claimant who receives support for a property that is higher than Band D will see their support capped at this level.
A new minimum payment level will also come into force next month.
This means that any claimant who is entitled to a payment of less than £2 a week will get nothing.
For example, a household that previously got £1.50 a week would now get nothing deducted from their council tax from April 1.
What water bill support is available?
IT'S always worth checking if you qualify for a discount or extra support to help pay your water bill.
Over two million households who qualify to be on discounted social water tariffs aren't claiming the savings provided, according to the Consumer Council for Water (CCW).
Only 1.3million households are currently issued with a social water tariff - up 19% from the previous year.
And the average household qualifying for the discounted water rates can slash their bills by £160 a year.
Every water company has a social tariff scheme which can help reduce your bills if you're on a low income and the CCW is calling on customers to take advantage before bills rise in April.
Who's eligible for help and the level of support offered varies depending on your water company.
Most suppliers also have a pot of money to dish out to thousands of customers who are under pressure from rising costs - and you don't have to pay it back.
These grants can be worth hundreds of pounds offering a vital lifeline when faced with daunting water bills.
The exact amount you can get depends on where you live and your supplier, as well as your individual circumstances.
Many billpayers across the country could also get help paying off water debts through a little-known scheme and even get the balance written off.
Companies match the payments eligible customers make against the debt on their account to help clear it sooner.
If you're on a water meter but find it hard to save water as you have a large family or water-dependent medical condition, you may be able to cap your bills through the WaterSure scheme.
Bills are capped at the average amount for your supplier, so the amount you could save will vary.
The Consumer Council for Water estimates that bills are reduced by £307 on average through the scheme.
Brent
In a meeting on February 27 Brent Council voted to update the local authority’s financial support scheme.
From April 1 working age households will be required to contribute a minimum of 35% towards their Council Tax liability.
Their council tax will then be calculated based on their income, which will determine which income band they fall into.
The council estimates that the move will reduce the cost of the scheme by £7.6million.
Meanwhile, the council is set to bring in two new flat rate discounts for most households with other adults living in the property.
There will be an £8 a week deduction in the amount of support you get for non-dependents out of work and £20 deduction for non-dependants in work.
The change will remove the need to verify the income of non-dependents, which should save the council around £700,000.
Greenwich
Greenwich council is attempting to make £30million of cuts this year as it tries to shore up its finances.
Among those who will be hit by the changes are the borough’s poorest residents.
Currently the local authority’s council tax support scheme gives a 100% discount to around 14,750 people with no or low income.
But from April 1 working age households will be given a discount of up to 80% on their council tax bill.
This could mean thousands of households are forced to pay council tax for the first time.
The discount you get will depend on your income, savings and circumstances.
Meanwhile, from April 1 how earnings and income is taken into account will change for working age households.
The council uses an earnings taper to determine how much Council Tax Support is provided as earnings or other income increases.
For every £1 above a set threshold the level of support adjusts by the tapered rate.
This means the level of support you get reduces as your income grows.
But for working age households the earnings taper will change from 15% to 25%.
You will still get the maximum amount of help if you claim certain benefits including:
- Income Support
- Income-based Jobseeker’s Allowance
- Income-related Employment and Support Allowance
- Pension Credit Guarantee
The amount of Council Tax Support you get may also be reduced if other adults live with you at home.
Currently, for working-age households the non-dependent deduction is a flat rate of £5 a week.
But from April 1 the deduction will go up to £10 a week for most households.
Waltham Forest
Waltham Forest is changing its Council Tax Support Scheme for working age people from April 1.
The council is moving to a banded system, which means a set-percentage reduction in Council Tax will be applied.
The reduction will be based on the income of the person responsible for paying the Council Tax.
The maximum discount of 85% will remain the same but will be limited to financially vulnerable groups.
These include households that are responsible for a child under six or at least one member of the household who is unable to work because of disability.
Only earned income will be assessed when calculating entitlement.
A person who is reliant on benefits will get a 57% reduction.
If they fall into one of the financially vulnerable groups then they will get an 85% reduction.
Meanwhile, non-dependent deductions will be applied to all non-dependents at a rate of £20 a week for those who are employed or their income cannot be determined.
Meanwhile, those who receive certain benefits will get a deduction of £8 a week.
Solihull
Solihull Council has also introduced an income banded Council Tax Reduction scheme for working-age residents.
Previously the council had a means-tested system.
Depending on your income and who lives in your household you may be entitled to a council tax reduction of up to 85%.
For example, a couple with two children who earn up to £475 will get a council tax reduction of 25%.
Hounslow
Hounslow Council said changes to its Council Tax Support Scheme will make it fairer and ensure families, larger households and carers receive vital support.
The changes will also help to combat the Council’s £30million funding shortfall.
Some households who previously did not have to pay council tax may now need to do so.
The discount you get on your Council Tax may increase or decrease.
The changes will only affect people of working age or who receive benefits.
Residents who will be affected by the changes will be sent a letter this month.
The Council has established a Hardship Fund for residents who may struggle with an increase in their Council Tax Bill.
The council Tax Support Hardship fund will be in place for two years from April 2025 to help reduce the impact of the changes.
Where to find financial help
There are several grants and cash payments you could get if you are struggling.
Warm Home Discount
The Warm Home Discount Scheme is a one-off £150 discount on your energy bill.
if you are eligible then your energy supplier will usually apply the discount directly to your bill.
If you have a prepayment meter then you may be sent a voucher.
Applications for the scheme opened in October but there can be a delay before the payments are made.
To qualify for the cash, you usually need to be claiming one of a range of means-tested benefits during the qualifying week, which is usually in August.
If you successfully claim backdated benefits then you may still be able to qualify after this date once your benefits are confirmed.
If you qualify for the Warm Home Discount, you should get a letter to tell you.
These letters are usually posted between October and January.
Free electricity and gadgets
Several energy suppliers are giving customers free gadgets to help them cut their bills.
Octopus Energy customers can get their hands on freebies including electric blankets from the supplier's Octo Assist Fund.
The blankets could save you up to £150 across winter.
Octopus customers can also borrow a thermal imaging camera to help find spots where heat is escaping in their homes.
once they have found the draughts they can look into ways to get them fixed.
This can reduce their energy usage.
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Meanwhile, EDF customers can get free energy-saving gadgets such as air fryers, kettles and slow cookers.
EDF has also said it will replace broken or poorly-working appliances with energy-efficient ones.
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
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