Reducing council tax relief for some of Central Bedfordshire’s poorest residents could lead to people being “dragged to court and to destroying families”, a meeting was warned.

A consultation has begun around proposals to make changes to Central Bedfordshire Council’s local council tax support scheme for 2026/27.

The local authority is required to review this annually and to either maintain or replace it, according to a report to its corporate resources overview and scrutiny committee.

Any changes from April 1, 2026 would help mitigate the cost of the scheme, said the report. “It provides financial help to people on low incomes to pay their council tax, and can be up to 100 per cent of that amount.”

placeholder image — File photo of a council tax bill

Independent Aspley and Woburn councillor John Baker explained: “The current budget details a £1.1m efficiency by reducing the cost of the scheme by that amount next year.

“The £22m cost has increased by £7.5m in five years. That’s mostly through growth in elderly residents, who’ll be protected and won’t be impacted by any changes.

“This is only looking at working age residents. As the pensioner population grows, a greater number of people are eligible for a scheme we need to provide by law.”

CBC’s service director revenues and benefits Gary Muskett told the committee: “It’s our local scheme with an overall spend of £21.1m, of which working age claimants covers about £14.1m.

“Pension age claimants are dealt with under government regulations,” he said. “About a third of local authorities provide 100 per cent relief. Every individual claimant will receive a letter inviting them to be involved in the consultation.

“We’ll be talking to all of our community organisations and support groups, as well as posters in the libraries. This brings collection challenges with it, but we’re aware of that and trying to think ahead.”

Labour Dunstable North councillor Matt Brennan described it as “absolutely ridiculous” saying: “Considering what a couple in a Band D property paying nothing will now have to pay, it’s the equivalent of a 20 per cent council tax rise for someone currently paying the full amount.

“It’s £500 for people who don’t have any money. That band for 100 per cent relief starts from people with zero income. How much are you going to gain from it? It’s suggested a recovery rate of 75 per cent.

“I assume there’ll be a 4.99 per cent council tax increase for the general population. For the poorest in our county, this will be a 20 per cent increase.

“I hope they don’t get all of a sudden a bill through the door for £500, which they can’t pay. That will be litigation, and it’s dragging people to court and destroying families.”

Executive member for finance councillor Baker replied: “Nobody wants to ask people to pay something they’re not already contributing to, but the reality is the council has to provide statutory services to all residents and everyone has to pay in some way.

“Our funding from government is decreasing by £24m. What’s not here is anything to even address the £1.1m efficiency, which the council has agreed already.”

Independent Leighton Linslade West councillor Victoria Harvey suggested officers “could be faced by someone in floods of tears because they don’t have the income” to balance their budget.

“Does it mean they’ll give up their tenancy and have to be housed by the council in temporary accommodation?” she asked. “At which point the cost to the council might be extortionate, let alone the personal misery.”

Conservative Flitwick councillor Ian Adams referred to the council being “caught between rock and a hard place”, adding: “I’ve sympathy for councils picking up the tab for what was funded nationally.

“For claimants, it’s a postcode lottery. But people who work in the borough are paying for those who don’t and are also struggling to pay their bills. Whatever benefit system we have has to incentivise work.”

A report to the executive in February will detail any recommendations for change to be presented to full council on February 26.