Islanders may not get a direct say on council tax support for low-income Isle of Wight households worth over 10 million pounds.
Amid an ‘unprecedented level’ of financial uncertainty for County Hall’s next budget, officers have said it is critical that the council continues to exercise financial restraint and manage its costs carefully.
The local authority continues to face significant financial challenges, including reliance on exceptional financial support (EFS) – described by the Institute For Government as one of the key sources of funding for financially distressed local authorities – and a forecast structural budget deficit rising to £66.3 million per year by 2029/30.
An officers’ report said suspending consultation on increases to Local Council Tax Support (LCTS) while keeping the current scheme and Exceptional Hardship Fund (EHF) represents the most affordable, least risky and legally compliant approach for 2027/28 and future years where the council relies on EFS.
LCTS helps people on a low income pay their council tax and the level of support Islanders can get is subject to income and personal circumstances. The EHF provides extra support to those in need.
Under current LCTS, working-age claimants are eligible for up to 75% support on their council tax bills.
Though claimant numbers have gradually declined since 2018, the scheme’s overall costs have increased – hitting £11.59 million in 2026.
The report also states that annual council tax increases have made it harder for those claiming LCTS to pay their bills.
Officers have recommended councillors on the policy, finance and resources committee (PFRC) agree not to carry out consultation on changes to the LCTS for 2027/28 and during the period where County Hall needs EFS.
The recommendation is also for the existing scheme to be rolled forward unchanged, subject only to changes required by legislation and administrative necessity.
Officers said maintaining current LCTS avoids extra financial pressures, preserves stability for vulnerable residents, and continues access to hardship support for those experiencing severe financial difficulty.
In addition, the report says there is still an opportunity for the public to have a say on County Hall’s annual budget which includes council tax.
PFRC councillors will meet at County Hall at 17:00 on Thursday (10th September).
So, what are the “subject only to changes required by legislation and administrative necessity.”? As they seem to be the only thing that might change, it would be good to know what they are.
Careful management! From a council that year on year, fails to collect millions owed.
Preferring to rip off those who actually pay.
Change the record, do your job.
Many are struggling to pay the CT.
Particularly with outrageous increases to cover the negligent IOW council.
stop handing out money to immigrants, sob stories and workshy layabouts then
Are you really that thick you can’t tell what the Council is responsible for, and what is Statutory Law that they have to comply with, regardless of cost?
How much council money is handed out to immigrants on the IoW? I can’t find data for this but you obviously have so could you share it?
Stop giving council tax support to people on benefits
they will have to learn to stop wasting all of their benefit
money on cigarettes, weed, vape, booze and scratchcards.
We cannot keep funding NON payers, we are not a charity
F.F.S
Many are struggling with council tax and the cost of living, with the ‘line in the sand’ for support set way too low, as in some cases people are paying around 25% of their income per month, even for a modest band C property. Urgent reform is needed as more people will be dragged into heavy dept.
As for managing the budget, how about looking into how their ‘gold plated’ pensions are funded?
The persons better off are those on benefits
FACT, all the b@llocks it pays to work is a load of
Shit.
They need people to work to pay for the shirkers
who will never work.
There is no cure for lazyitus!
It alright some of you calling all people that claim welfare lazy well there are some of us who are to ill to work with cancer and other illnesses on top of this who are being called lazy well I’m a ex soldier who fought for people to make horrible comments yes the welfare does need to be cut but working people have to claim welfare because there employers won’t pay them a living wage the whole country is in a mess but I don’t think making attacks on people when you dont know there personal circumstances helps make the right decisions it causes hate and division yes council tax help should only be for people that can’t work if they have a illness that’s backed up by Gp and specialists diagnosis I think this needs to be addressed