New Council Tax Reduction Scheme for working age households to begin

A new simplified Council Tax Reduction Scheme (CTRS) which will help thousands of working age households in Solihull with their council tax bills will begin on 1 April 2025.

More than 7,000 low-income working age households across the borough will continue to get a reduction of up to 85 per cent off their council tax bill through the CTRS.

Solihull Council’s new simplified scheme replaces a means tested system and is based on an income banded grid model, making it easier for working age residents to apply.

It will also ensure fairness across all those that are eligible for support, whilst helping to reduce the significant administrative burden on the Council. There will be no change to the level of support for the lowest income households.

Working age residents who already receive council tax reduction will have their entitlement automatically updated. The Council will send them a letter explaining their entitlement along with their new council tax bill in March. Residents whose circumstances have changed must inform Solihull Council.

The new working age CTRS is more directly linked to Universal Credit, so that people receiving Universal Credit will automatically receive the appropriate council tax reduction, improving the speed of response for those that are eligible.

The reduction is based on the income bands and household size as shown below:

Councillor Bob Sleigh, Cabinet Member for Resources, said:

“Our Council Tax Reduction Scheme supports thousands of households each year, but the system for working age residents had become old fashioned and over complicated.

“This new simplified model – which follows extensive consultation with residents – will make it much easier for working age residents to check if they are eligible for a discount and hopefully encourage more people to access support.

“We are also pleased to be maintaining the existing level of support available to the lowest income households in our borough.

“We will shortly be sending a letter to existing working age claimants informing them of their updated entitlement and their new council tax bill and encourage residents requiring further support or wishing to make a new claim to visit our website or call Solihull Connect on 0121 704 8200.”

The scheme for pension age households is based on national guidance. Pensioner age claimants will also receive a letter confirming their entitlement along with their new council tax bill in March.

Full details, including example cases and an explanation of entitlement letters, alongside how to apply are available at www.solihull.gov.uk/council-tax-and-benefits/council-tax-reduction.