Luton Borough Council approves cuts to council tax reduction scheme

The Lib Dems argue it will hurt 2,000 of the lowest income households in the town, while Labour insists the very poorest will still be protected.

At last night's (Tuesday) full council meeting, the changes to the council tax reduction scheme were approved after a recorded vote.

A shake-up to the scheme was proposed as part of the emergency budget on June 14, aimed at clawing back £22m in savings due to the impact of the pandemic.

The scheme costs £13.5m down from £14.2 after changes introduced by the council last year, head of revenue and benefits Clive Jones stated.

Liberal Democrat group leader David Franks had said: "There are times when I just can't believe I'm sitting in a meeting of a council that is Labour-controlled.

"I can't believe the Labour Party is asking us to endorse a change in the council tax reduction scheme which, at the budget meeting, was going to force 2,000 of the lowest income families in Luton to pay £220 extra in council tax on average."

Labour Round Green councillor Mark Rivers had replied: "The very poorest people are being protected in this proposal.

"The people who will lose out are at the better off end of the poorest. Nobody wants to do this.

"It's a bit of a cheek to say the Labour Party are doing this and it's somehow our fault."

Labour Limbury councillor Rob Roche described it as "still a generous scheme, despite the proposals", saying: "Do nothing was never an option."

Councillor Franks accused the report to Tuesday's (Jan 19th) full council meeting of being misleading as it highlighted "the 20 per cent with a nil balance on their council tax invoice" rather than the 80 per cent who find themselves in arrears.

"That would have been a more honest way to describe what's going on," he said.

Labour High Town councillor Andy Malcolm, who's the finance portfolio holder, said: "It's with a heavy heart we agree to this.

"We asked for help from central government and it wasn't forthcoming."

Labour Challney councillor Tom Shaw suggested councillor Franks was "being very unfair", knowing the savings cannot be made elsewhere.

"I wish the Liberals would get some backbone and make some proposals, rather than just objecting to everything which has got to be done," he said.

"They haven't got the nerve or intelligence to come forward with an alternative."