Council looks to reduce council tax support for low-income residents

Elena Chiujdea, local democracy reporter

elenac@baylismedia.co.uk

06:00PM, Friday 16 January 2026

Council looks to reduce council tax support for low-income residents

Planned changes to reduce Slough Borough Council’s council tax support for thousands of low-income residents will go before councillors on Monday.

The Council Tax Support Scheme (CTS) is run by local authorities to support low-income residents with paying their council tax.

In Slough, there are 6,466 working-age households that receive council tax support and the majority of these, 5,545, will be impacted by the proposed changes.

Currently, non-working residents can receive a maximum 80 per cent discount on their bill, while working residents can get up to a 50 per cent discount.

Slough Borough Council is now proposing to reduce the maximum discount for non-working residents to 70 per cent.

A reduction by 20 per cent in the other discounts for working households, depending on income bands, is also proposed.

Pensioners will not be affected by the changes.

The scheme costs Slough Borough Council £10.45million but the proposed cuts would save £872,198 in council tax support in the 2026/27 financial year.

Slough Borough Council said the changes proposed would result in a reduction of between £126 and £200 per year, for the households affected.

Councillor Puja Bedi (Con, Colnbrook and Poyle), the council’s lead member for finance, said the local authority has had to make ‘hard choices’ to try and close its budget shortfall for the 2026/27 financial year.

Cllr Bedi said: “Reducing the level of support is not a decision we have taken lightly. We recognise that any reduction is likely to impact low-income households the most.

“However, this is a discretionary discount, and given the council’s current financial position, we must make hard choices to ensure our finances remain sustainable.”

A consultation, which ran from October 27 until December 21, also gathered the views of residents on the proposed changes.

The majority of the respondents, 84 per cent, came from people who objected to the changes as they currently receive the council tax support.

They said this could have ‘significant consequences’ and ‘add more pressure’ on them, including not being able to pay other essential bills given the current cost of living crisis and rising energy costs.

The results of the consultation will be discussed at a cabinet meeting on Monday (January 19) at Observatory House.

The report, due to go before councillors, said the opposition to the changes is ‘not surprising’ considering these residents will be impacted personally.

The Council Tax Support Hardship Fund, which residents can still apply for, will also remain open for the 2026/27 financial year.

This is a pot of money available for those who are experiencing ‘extreme financial difficulty’ and are unable to pay their council tax.

But it is proposed that this fund is reduced from £350,000 to £175,000 for people in the borough experiencing the ‘greatest financial hardship’.

According to the report, 743 applications were received for the hardship fund as of December 31. But only 137 were awarded the financial support.

If the council’s cabinet recommends the planned changes to the council tax scheme for approval, these will be further discussed at a full council meeting.

The revised scheme will then come into effect on April 1 if approved. 

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