North Somerset Council is once again considering cutting council tax support for the area’s poorest residents—a year after shelving a similar proposal amid strong criticism that it was “so discriminatory” it might be illegal.
Currently, 11,250 low-income households in North Somerset benefit from council tax discounts. However, more than half of these households, specifically 6,400 of working age, could see their discounts reduced under new plans. The council is consulting the public on proposals to save half a million pounds by lowering the discount for working-age claimants by ten percentage points.
For households with no monthly income, the existing 75.5% discount could be cut to 65.5%. Those earning between £1,000.01 and £1,400 per month could see their discount drop dramatically—from 18% to just 8%. Pensioners will be unaffected due to government mandates protecting their support levels.
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If approved, these changes would come into effect from April, the start of the new financial year. The consultation period is open until 5pm on January 6.
Council leader Mike Bell defended the plan, acknowledging the “most challenging financial situation in its history.” He said, “Every council service is being reviewed, and really tough decisions are having to be made. We must strike a balance between a council tax reduction scheme that is affordable and fair—for both those receiving support and the broader community who rely on our services.”
To mitigate the impact, the council is proposing a discretionary hardship fund to assist those unable to pay their council tax bills as a result of the cuts. Applicants will need to provide proof of financial hardship, confirm they have claimed all eligible benefits, and demonstrate efforts to find alternative payment means.
This is not the first time the council has looked at reducing council tax discounts. Last year, a proposal to save £1.5 million was dropped after concerns from councillors and feedback from consultations highlighted the risk of increased hardship and potential breaches of the Equalities Act.
Financially, North Somerset Council is in a precarious position. It has warned it might have to issue a section 114 notice—essentially declaring it cannot balance its budget—and is discussing exceptional financial support with the government, which could include approval for higher council tax increases. Bell explained, “Like many councils across the country, we’re facing rising demand for services and significant cost increases. Social care now consumes 62% of our revenue budget, and recent announcements indicate our funding will be cut by a further £17 million.”
Residents are encouraged to share their views on the consultation before the deadline on January 6.