Introduction and background – Council Tax Support scheme consultation 2025
Consultation closes: Wednesday, 7 January 2026
Consultation opened: Wednesday, 26 November 2025
Council Tax funds council services across Central Bedfordshire. It contributes to road maintenance, street lighting, waste, and recycling collections, libraries, and leisure centres. The largest share, more than 60%, is used to fund adult social care and children’s services, which are increasing in cost and demand.
The Local Council Tax Support (LCTS) scheme helps people on low incomes by reducing the amount of Council Tax they need to pay. It is part of a broader range of financial support we provide for residents on low incomes, to help with the cost of living and day-to-day essentials.
Like many councils across the country, we're facing significant financial pressures as the demand for adult social care and children's services grows. This is a national challenge, and like many councils across the country, we must review our services and how public money is spent, and the Local Council Tax Support scheme is included in this process.
The Medium-Term Financial Plan approved by Full Council in February 2025, includes a proposal reducing the cost of the LCTS scheme by £1.1 million, however, since that plan, the government has announced the Fairer Funding Review which is likely to significantly reduce the funding that we receive for 2026/27 and beyond, so the proposed changes in this consultation, if implemented fully, after the costs to administer the changes have been taken into account, will reduce the cost of the scheme by £3.4 million.
The Local Council Tax Support scheme for working age residents is determined locally, and we're proposing some changes. Council Tax Support is also available for pension age residents, but that is set nationally, so is excluded from these proposed changes.
We spend £21 million on Council Tax Support, of which £14 million per annum (67%) relates to the working age scheme.