Wandsworth Council proposes ending council tax exemptions

Wandsworth Council is reviewing its council tax reduction scheme, with proposals to remove 100 per cent discounts for certain working-age households. The authority plans to phase out these exemptions over four years, starting from April 1 next year, if the changes are approved.

Proposed changes to support

The Conservative-run council plans to end full council tax discounts for households receiving disability-related benefits or attendance allowance, and for those with no earned income and a child under three. These reductions in support would be implemented gradually over a four-year period. The council stated these measures are necessary due to significant financial pressures, including a projected £84 million annual reduction in central funding by 2030.

Alongside the review of the reduction scheme, the council is proposing a 94 per cent increase in overall council tax. This would see Band D bills rise by £958, from £1,020 to £1,978 annually. A report from council officers indicated that maintaining current discounts would be financially unsustainable with the proposed tax hike.

Councillor Peter Graham, cabinet member for finance, explained that requiring everyone to contribute something towards council services, as was previously the case, would prevent larger one-off increases. He noted that without reducing support, the scheme's cost would nearly double to an estimated £7.1 million by 2030/31.

Consultation and resident concerns

Wandsworth's cabinet approved plans to begin a public consultation on the council tax reduction scheme proposals on October 12. Labour opposition leader Simon Hogg described the proposed changes as "hugely concerning" and "appallingly unfair". Residents have expressed worries about the combined impact of increased council tax and reduced support, with some stating it could lead to debt or difficulty affording basic necessities.

The council administration stated that the proposals aim to offer a "fairer deal for more people" by ensuring all residents contribute to services. They also highlighted that some low-income households currently outside the scheme would receive assistance for the first time, and those on the lowest incomes would continue to receive the highest levels of support.

Next steps

The council will now launch a consultation period for residents to provide feedback on the proposed changes to the council tax reduction scheme. If approved, the changes would take effect from April 1 next year.