Council Tax Reduction Scheme
Councils are reforming Council Tax Reduction Schemes to address financial pressures, with Wandsworth proposing significant changes and Hillingdon having already implemented alterations.
Wandsworth Council is currently discussing significant reforms to its Council Tax Reduction Scheme, aiming to make it more financially sustainable. The Finance Overview and Scrutiny Committee discussed proposals in October 2026, including an option to reduce the scheme's projected annual cost from £14 million to £7.1 million by 2030/31. This follows the Cabinet's approval of a Medium Term Financial Strategy in October 2026, which includes council tax increases and spending cuts.
Other councils have already made changes or are considering them. Hillingdon Council implemented alterations to its scheme in April 2026, applying non-dependent deductions to all working-age claimants, including those receiving disability benefits. This decision, acknowledged as negatively impacting vulnerable residents, was made due to financial pressures. Richmond upon Thames Council and Newham Council are also facing substantial budget shortfalls, with Richmond challenging government funding cuts in October 2026.
In December 2025, Haringey Council launched a Council Tax Hardship Fund with an initial £66,000 allocation to assist residents struggling with payments. Meanwhile, Brent Council's council tax collection rate was reported in October 2026 to be 52.2% by the end of September, falling short of its target and significantly below the London average.
Key facts
- Brent Council's council tax collection rate was 52.2% by the end of September 2026, falling short of its target and below the London average. Source
- Wandsworth Council's Finance Overview and Scrutiny Committee discussed proposals in October 2026 to reform its Council Tax Reduction Scheme, aiming to reduce its projected annual cost to £7.1 million by 2030/31. Source
- Richmond upon Thames Council passed a motion in October 2026 challenging government funding cuts, warning of a projected £70 million budget gap. Source
- Hillingdon Council implemented changes to its Council Tax Reduction scheme in April 2026, applying non-dependent deductions to all working-age claimants. Source
- Haringey Council launched a Council Tax Hardship Fund with an initial allocation of £66,000 in December 2025 to support residents struggling to pay. 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 21 October 2026. Spotted a mistake? Email community@opencouncil.network.