Council Tax Reduction Scheme: annual report 2021 to 2022

On 1 April 2013, the Council Tax Reduction Scheme (CTRS) replaced Council Tax Benefit (CTB) in Wales and eligible households were automatically transferred onto the new scheme. The CTRS regulations were closely based on previous CTB rules. This ensured households retained their entitlement to support in meeting their council tax liability. We have amended the original regulations each year since to maintain entitlements.

We provided local authorities with £244 million for the 2013 to 2014 financial year to enable them to give all eligible households their full entitlement to support. We have maintained these funding arrangements each year since.

The annual report provides an update on the operation of CTRS in Wales from April 2021 to March 2022. This aids transparency in an area where substantial funding continues to be allocated.

• 268,020 households in Wales were in receipt of a council tax reduction (CTR) in March 2022, compared to 282,227 in March 2021, a decrease of 14,207 cases (5.0%).
• The estimated total value of reductions provided through the CTRS in Wales in 2021 to 2022 was £287.6 million, compared to £292.5 million in the previous financial year, a decrease of £4.9 million (1.7%).
• 103,987 pensioner households in Wales received a CTR in March 2022, compared to 106,854 in March 2021, meaning pensioner caseload has fallen by 2,867 cases (2.7%).
• 164,033 working-age households in Wales received a CTR in March 2022, compared to 175,373 in March 2021, a decrease of 11,340 cases (6.5%).
• Of the 268,020 households in Wales in receipt of CTR, 213,959 (79.8%) paid no council tax at all.
• In March 2022, 47% of households receiving a CTR were passported cases, whilst 19.8% were standard non-passported cases. 33.2% of households receiving a CTR were Universal Credit recipients.
• The most common type of passported case was Pension Credit, which accounted for 22.4% of all CTR cases.
• 93.7% of households receiving a CTR were living in properties in Bands A to C in March 2022.
• 36 new appeals in relation to CTRS were received by the Valuation Tribunal for Wales from April 2021 to March 2022, compared to 28 during the previous financial year.

Enquiries about the full annual report should be directed to:

Local Government Finance Reform
Welsh Government
Cathays Park
Cardiff
CF10 3NQ

Email: CouncilTaxSupport@gov.wales