News and Updates

Abolition of Council Tax Benefit

The national Council Tax Benefit scheme was abolished on 31 March 2013 and has been replaced by a local Council Tax Reduction Scheme from 1 April 2013. People who need help with their Council Tax will now need to apply for a reduction directly to their Local Authority.

As Council Tax Benefit has been abolished, central government funding has been substantially reduced while the law that previously applied no longer exists and has been replaced by local rules. Due to this, there are changes that affect the amount of reduction people who are not pensioners can qualify for.

Pensioners will continue to receive the same level of support as they did under the Council Tax Benefit scheme. People who are not pensioners will not qualify for maximum support and will see an increase in the amount of Council Tax they have to pay - even if they previously qualified for full Council Tax Benefit.

For further information please visit our Scheme for Council Tax Support page.

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Important changes to the Local Housing Allowance rules from January 2013

Important changes have been made to the Local Housing Allowance (LHA) rules to:

• Abolish Anniversary Dates from January 2013
• Introduce annual LHA Rates from April 2013; and
• Take account of changes in rent from April 2013 (subject to specific criteria)

If the Anniversary Date of your LHA rate is due between 1 January 2013 and 31 March 2013 a new rate cannot be applied until 1 April 2013.

If the Anniversary Date of your LHA rate is due on or after 1 April 2013 a new rate will replace it on 1 April 2013.

Once applied an annual rate will not change until the following April except where:

• the number of rooms you qualify for increases (subject to a maximum of 4 rooms); or
• the number of rooms you qualify for decreases

Changes in rent may also be taken into account from April 2013 as long as they do not exceed your LHA rate and only where:

• your rent is lower than your LHA rate; or
• or your rent decreases and becomes lower than your LHA rate

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Housing Benefit for people who are single and under 35 and rent from a private landlord

If you are 25 to 34 years old and you live alone in self contained accommodation, your Housing Benefit will be restricted to a Shared Accommodation Rate if all of the following apply to you:

• You live alone in self-contained accommodation, and
• You rent from a private landlord, and
• Your LHA Rate or Rent Officer Decision is due to be reviewed on or after 1 January 2012, and
• On the date of your review you are 25-years-old or over but are under 35-years-old, and
• You do not qualify for an exemption from a Shared Accommodation

For further information, please visit our Local Housing Allowance pages.

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Changes affecting people who have non-dependants living with them

We normally have to reduce your Housing Benefit and Council Tax Reduction (CTR) for every non-dependant who lives in your home. We call this a 'non-dependant deduction'. Non-dependants are normally adult children or relatives, but they can also be friends or anyone else who lives with you.

We will not make any non-dependant deduction if you or your partner is registered blind, gets Attendance Allowance or Disability Living Allowance (care component).

The following tables are a comparison of the deductions for 2012 and the increased amounts for 2013. The 2012 CTR rates are those that applied in Council Tax Benefit.

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