Council tax saving for low-income Barking and Dagenham homes

It is understood that 15,000 households in receipt of council tax support will see a one-off reduction of up to £25 on their bill and will not need to apply for it themselves.

The £25 reduction was agreed upon by cabinet members on Tuesday (January 17).

READ MORE: Barking and Dagenham Council opens consultation on budget

Speaking during the cabinet meeting, deputy leader Dominic Twomey said: “The £25 is a pitiful amount per household but I will mention it comes from ‘DOLUP’, [the] Department of Levelling Up.

“Even though it’s a small amount, every little helps at the moment. But it’s just clearly not enough.”

Members also heard from Cllr Twomey about plans to drop the minimum council tax payment for low-income residents from 25pc to 15pc for 2023/24.

Cllr Twomey said: “I’m pleased to say that we are in a position to change this scheme in a positive way for the most vulnerable of our residents, particularly in the current cost-of-living crisis."

During the council’s consultation stage which took place in autumn 2022, there were a number of varied responses from residents.

One concerned resident said: “Many families on low income are struggling to even find the 25pc required to pay. It is causing hardship and
stress trying to balance all the outgoings on reduced incomes.”

The scheme will be discussed this month at a full council meeting, and if approved, would come into force from April 1.

Cllr Twomey warned the rest of the cabinet that the reduction the council is making now would have to be funded “at some point” and it will have to find “the means to do it” moving forward.

He said: “When we look at moving forward next year and we think of council tax among other things we’ve all got to consider the situation our council is in but also equally our residents are in – it’s a really difficult balancing act to get right.”

The council recently revealed plans to increase council tax by 5pc, including a 2pc precept for social care.