In their latest budget plans for the new financial year, Tower Hamlets’ Labour Mayor and Councillors are once again protecting support for the borough’s poorest residents through the Council Tax Reduction Scheme (CTRS).
Despite the squeeze on council funding – the council has had to save over £200m since 2010 – the Labour council will continue to offer a 100% reduction in council tax bills for the poorest households, making it one of only a few local authorities that still offers a 100% reduction.
As the Tory Cost of Living Crisis and the triple whammy of the £20 cut to Universal Credit, the National Insurance tax hike, and rising energy prices hits household budgets, the CTRS offers a real lifeline to struggling households.
Recognising the impact of the cost of living crisis, the Labour council is also proposing to freeze the Council’s portion of Council Tax this year and protect services by proposing no new cuts to council services.
33,966 Tower Hamlets households have been in receipt of council tax reduction so far this year with 18,530 cases receiving a 100% reduction, meaning they don’t pay a single penny of council tax.
This year’s budget proposals will be debated at the Full Council meeting on Wednesday 2nd March. You can read the full Budget proposals here.
Mayor of Tower Hamlets, John Biggs said:
“This is a time of huge uncertainty as the Tory Cost of Living Crisis takes hold in Tower Hamlets, and councils across the country are walking a financial tightrope in these difficult times.
“I am very proud that we have protected our council tax reduction scheme to ensure that the poorest families in our borough do not have to eat into their own hard-pressed budgets for council tax. We will continue to protect the universal services our residents rely on and maintain our support for those facing hardship.”
Cllr Candida Ronald, Cabinet Member for Resources and the Voluntary Sector said:
“Despite the damaging effect of Tory austerity on Tower Hamlets, we are one of the few councils in London to offer a 100% council tax reduction scheme, which means our poorest residents don’t have to pay a single penny of council tax.
“This discount has led to 33,966 receiving extra help in their council tax bills with 18,530 not having to pay any council tax at all. This shows the important work a Labour council can do in the face of Tory inaction.”