Law or policy

Council Tax Reduction Scheme

7 stories · discussed at 4 council meetings · 8 councils

Councils are currently reviewing and reforming Council Tax Reduction Schemes to address financial pressures and ensure sustainability.

Wandsworth Council is reforming its Council Tax Reduction scheme, with proposals discussed by the Finance Overview and Scrutiny Committee on October 8, 2026. The current scheme is projected to cost £14 million annually by 2030/31, and proposed changes aim to reduce this to £7.1 million by 2030/31. Kensington and Chelsea Council also considered cuts to its scheme for working residents in October 2025, due to financial pressures.

Hillingdon Council implemented changes to its scheme in April 2026, applying non-dependent deductions to all working-age claimants, which an equality impact assessment acknowledged would negatively impact vulnerable residents. Haringey Council launched a £66,000 Council Tax Hardship Fund in December 2025 to support residents. Wandsworth Council's Cabinet is scheduled to discuss the topic on October 12, 2026.

Council Tax Reduction Schemes are administered by local authorities to reduce the Council Tax liability for eligible working-age residents on low incomes. Councils face significant financial challenges, with Richmond upon Thames Council warning of a £70 million budget gap by 2028/29 and Newham Council projecting a £53 million shortfall for 2026/27.

Key facts

  1. Wandsworth Council's Finance Overview and Scrutiny Committee discussed proposals to reform its Council Tax Reduction scheme on October 8, 2026. Source
  2. Wandsworth's proposed Option 3 aims to reduce the working-age scheme cost to £7.1 million by 2030/31. Source
  3. Hillingdon Council implemented changes to its Council Tax Reduction scheme in April 2026. Source
  4. Haringey Council launched a Council Tax Hardship Fund with an initial allocation of £66,000 in December 2025. Source
  5. Kensington and Chelsea Council's Leadership Team discussed consulting on changes to its scheme from April 2026 in October 2025. Source
About this summary

This summary was written automatically from our published stories and the council meeting records they draw on. It describes what councils have discussed and decided; it does not take a view on any decision. Each key fact links to the story it comes from. Updated 9 October 2026. Spotted a mistake? Email community@opencouncil.network.

Latest stories

  1. Wandsworth to reform Council Tax Reduction scheme Wandsworth Council is set to reform its Council Tax Reduction (CTR) scheme, proposing significant changes to support working-age households facing financial challenges. Wandsworth 9 October 2026
  2. Richmond Council challenges government funding cuts, warns of £70 million budget gap Richmond Council challenges government funding cuts, warns of £70 million budget gap Richmond upon Thames 7 October 2026
  3. Hillingdon Council Tax Reduction Scheme Changes Negatively Impact Vulnerable Residents Hillingdon Council has implemented changes to its Council Tax Reduction scheme that negatively impact vulnerable residents, including women and disabled individuals. The... Hillingdon 25 September 2026
  4. Hackney Council Sets 2026/27 Council Taxbase and Approves Business Rates Delegation Hackney Council has set its Council Taxbase for the 2026/27 financial year at 80,163.35 Band D equivalent properties, with an anticipated collection rate of 94.5%. This decision... Hackney 2 February 2026
  5. Haringey Launches New Council Tax Hardship Fund Haringey Council has launched a new Council Tax Hardship Fund to provide financial assistance to residents struggling to pay their council tax bills. Haringey 15 December 2025
  6. Newham Council Faces £53m Budget Shortfall and Seeks Public Input on Solutions Newham Council is facing a significant financial challenge, with a potential £53 million budget shortfall projected for 2026/27. This has prompted the launch of a public... Newham 28 October 2025
  7. Council Considers Cuts to Council Tax Support for Working Residents Kensington and Chelsea Council is considering potential cuts to its Council Tax Reduction Scheme (CTRS) for working residents, a move that could affect thousands of households.... Kensington and Chelsea 19 October 2025