On 3 February 2022 the government announced a
package of support known as the Energy Bills Rebate to help
households with rising energy bills for 2022/23. This included
£144 million in discretionary funding for billing authorities
to support households who are in need but are not eligible for the
core Council Tax Energy Rebate Scheme. Teignbridge has been
allocated £273,300 for the discretionary element of the
scheme.
The purpose of this funding is to provide support to other energy
bill payers who are not eligible under the terms of the core
scheme, or to provide carefully targeted ‘top-up’
payments to the most vulnerable households in bands A to D. The
Government expects that all support from the Discretionary Fund is
targeted towards those most likely to be suffering hardship as a
result of the rising cost of living.
The methodology for determining funding levels was based 50% on
shares of the index of multiple deprivation and 4% based on shares
of the estimated number of local council tax support claimants in
Bands E-H.
Councils can determine locally how best to make use of this funding
to support those suffering financial hardship as a result of the
rising cost of living. This could include households living in
property valued in bands E to H that are on income related benefits
or those where the energy bill payers are not liable for council
tax. Where councils consider it the best means of supporting those
in financial difficulty, they can use the discretionary fund to
offer carefully targeted ‘top-up’ payments to the most
vulnerable households in bands A to D (for example, those on means
tested benefits), or to offer discretionary support exceeding
£150 per household.
In order to align with the Government stated intentions for this
funding which is to provide support to low income households
including those who were ineligible under the core scheme the
Teignbridge scheme will provide support as follows:
•Households in Bands E-H in receipt of Council Tax Reduction
– a single one off payment of £150
Rationale: the Government made assumptions in the core fund that
households residing in lower banded properties were more likely to
have lower incomes than those residing in the upper banding levels
hence the mandatory allocation of £150 to each household in
bands A-D. The methodology used for determining funding for the
discretionary scheme included estimates for numbers of households
in Band E- H in receipt of Council Tax Reduction (CTR). Entitlement
to CTR is evidence of low income and therefore it is reasonable to
treat residents in bands E-H on CTR in the same way as households
in Bands A-D and award an equivalent £150 payment.
•Houses in Multiple Occupation
If you live in a house in multiple occupation (HMO), a hostel, or
have a long-term rental agreement and the cost of council tax is
included in your rent but you are responsible for your own energy
bills, every person living in the property can apply for £50
each. This amount may be uplifted to £150 where this would
appear reasonable in all the circumstances and where there is
evidence of energy arrears on 1st July 2022.
Rationale: Government guidance suggests that councils may wish to
provide support to occupiers of HMO’s as they were excluded
from the core scheme for the reason that they are not the liable
party for council tax purposes. Typically occupants have an
allocated bedroom and share communal kitchen and/or bathroom
facilities. Where occupants are liable to pay their own energy
bills it is reasonable to provide financial support to help cover
their increased costs. In recognition that the energy bills payable
will typically be lower for a bedsit than a chargeable dwelling in
band A-D It is reasonable to set support at a lower level. The
amount awarded will be £50.00 per unit of accommodation with
potential uplift to £150.00.
•Targeted top-up to households in Bands A-H in receipt of
maximum Council Tax Reduction
Rationale: The Government expects that all support from the
Discretionary Fund is to be targeted towards those most likely to
be suffering hardship as a result of the rising cost of living.
Typically, households who receive 100% reduction, will be low
income, vulnerable households in need of additional support to help
deal with these rising costs. These residents will typically be in
receipt of legacy and income related benefits whose incomes are
deemed by central government to reflect levels of the most basic
living needs. These residents will be amongst the poorest in
Teignbridge and at highest risk of suffering financial hardship as
energy bills rise.
This decision was made in consultation with the Executive Member
for Corporate Resources and S151 Officer
Decision type: Non-key
Decision status: Recommendations Approved
Notice of proposed decision first published: 05/08/2022
Decision due: 15 Jul 2022 by Revenue, Benefits & Fraud Manager
Contact: Tracey Hooper, Service Lead for Revenue, Benefits and Customer Support Email: tracey.hooper@teignbridge.gov.uk Tel: 01626 215266.