Issue - meetings

To consider the report of the Director Finance.

Agreed:

RECOMMENDED that in principle agreement be given for a Council Tax exemption for care leavers up to the age of 25 and looked after by Devon County Council, subject to a further report setting out all the implications including the financial impact on Exeter City Council.

Reason for Decision: As set out in the report.

The Executive received the report which sought Members agreement for in-principle support for a Council Tax exemption for care leavers up to the age of 25. A subsequent report would be presented to Executive in November 2023 outlining the financial impact of the in-principle support

Work was being undertaken with Devon County Council and other District Councils in Devon, following recent focus on the responsibility of local councils in being a Corporate Parent. Members were referred to the seven corporate parenting principles outlined in the report and advised that district level authorities must have specific regard to Council Tax, Housing and Leisure functions. Although the report was focussed on Council Tax, work with Team Devon was being undertaken in relation to care leaver support for Housing and Leisure functions.

The Service Lead Revenues, Benefits and Customer Access presented the report and made particular reference to:-

·         There had been a Devon wide process for supporting care leavers with a Council Tax liability, which had been agreed by Members in 2019. The Council Tax Team Leader had been designated the nominated contact in Exeter for care leavers in relation to Council Tax. For those care leavers entitled to Council Tax support, where there was any shortfall the financial difference could be cleared using the exceptional hardship fund. For those with no entitlement to Council Tax support, a write-off could be considered.

·         Section 13A (1) (c) of the Local Government Finance Act 1992, provided Councils with discretionary powers to reduce the amount of Council Tax payable to a person, and any write off amounts would be made under these powers.

·         The cost of Council Tax support and the exceptional hardship fund was apportioned between Exeter City Council, Devon County Council and the Police and Fire Authorities as per the preceptor percentages for Council Tax. However, Exeter City Council would have to meet the cost of any write offs.

·         Although Devon County Council was the corporate parent, there was a county wide ambition to strengthen the local offer to care leavers and following advice from the National Advisor for Care Leavers, an element of the offer was a Council Tax exemption for care leavers up to the age of 25.

·         There were 161 care leavers between 18 and 25 in Exeter, of which 50 had a current Council Tax liability and 32 of those were in arrears, highlighting that there was a vulnerability for younger people.

·         The annual cost would be dependent on the agreed final policy, however, the discretionary awards for these 50 residents after national discounts, would be a £60,000 cost to the Council. If the discretionary awards were made after the Council Tax support application, the cost would be reduced to £25,000 per year. Anything introduced during this financial year would likely reduce the amount to an estimated £12,000.

·         Section 151 Officers were meeting regularly to discuss how exemptions would work to support the final policy for Member approval. It was likely that there would be amendments made to the Council  ...  view the full minutes text for item 84