To enable Cabinet to consider and agree for recommending to Full Council the following:

·      Local Council Tax Support Scheme 2026/27;

·      Exceptional Hardship Policy;

·      Discretionary Council Tax Exemptions, Discounts and Premiums for 2026/27; and

·      Annual MRP Policy Statement for 2026/27.

RESOLVED that Cabinet agrees that -

(a)     the LCTS scheme for 2026/27 remains the same as the current year (2025/26);

(b)     the Council Tax Exceptional Hardship Policy be as set out in Appendix B to the report; and

(c)     the discretionary Council Tax exemptions, discounts and premiums for 2026/27 be as set out in the appendices to the Portfolio Holder’s report.

RECOMMENDED TO COUNCIL that –

(i)    the LCTS, as set out as Appendix A to the report, be approved with the maximum LCTS award being 80% for working age claimants;

(ii)   the Corporate Director (Finance and IT), in consultation with the Corporate Finance and Governance Portfolio Holder, be authorised to undertake the necessary steps to implement the LCTS scheme from 1 April 2026;

(iii)  the locally determined council tax discounts, as set out in Appendix C, be approved;

(iv)  the council tax discount policy for young people leaving care, as set out in Appendix D, be approved;

(v)   the discretionary council tax premiums, as set out in Appendix E, be approved;

(vi)  the Corporate Director (Finance and IT), in consultation with the Corporate Finance and Governance Portfolio Holder, be authorised to undertake the necessary steps to implement the council tax exemptions, discounts and premiums from 1 April 2026; and

(vii)  the Annual Minimum Revenue Provision Policy Statement for 2026/27, as set out in Appendix F, be approved.

Cabinet considered a report of the Corporate Governance & Finance Portfolio Holder (A.5) which enabled Cabinet to consider and agree for recommending to Full Council the following:

·      Local Council Tax Support Scheme 2026/27;

·      Exceptional Hardship Policy;

·      Discretionary Council Tax Exemptions, Discounts and Premiums for 2026/27; and

·      Annual MRP Policy Statement for 2026/27.

Cabinet was informed that in terms of the LCTS scheme, it was proposed to continue with the principle of providing financial stability wherever possible to Tendring residents. It was therefore proposed to keep the 2026/27 LCTS scheme the same as this year, which provided for a maximum discount of 80% for working age claimants. The associated exceptional hardship policy had also been subject to annual review, and it was not proposed to make any changes from the scheme operating this year and so it would remain available to support eligible claimants in 2026/27.

In respect of existing discretionary council tax discounts, exemptions and premiums (including discounts for young people leaving care), it was not proposed to make any changes for 2026/27, with the same levels applying as in 2025/26.

In respect of existing council tax premiums on long term empty properties, it was not proposed to make any changes for 2026/27, with the same levels applying as in 2025/26.

In respect of the existing council tax premium of 100% on properties used as a second home, it was not proposed to make any changes for 2026/27, with the same levels applying as in 2025/26.

It was reported that, as part of the extension to council tax premiums on long term empty properties and the introduction of council tax premiums on second homes last year, the Government had stated that their intention was not to penalise property owners where they were making genuine efforts to make use of their properties. The Government therefore had introduced mandatory exceptions where the council tax premium on long term empty properties and/or second homes was not chargeable and those remained in place for 2026/27.

The Annual Minimum Revenue Provision Policy Statement had also been reviewed for 2026/27, and no changes were proposed to the existing approach adopted from 2025/26.

Members were advised that if it was agreed that no changes were necessary to the proposed LCTS scheme, there would be no need for public consultation. However, if any amendments were proposed and approved at Full Council on 25 November 2025, then public consultation would be required before the final scheme could be agreed and adopted. Consequently, if consultation was required, this Council would have to notify the precepting authorities that the final council tax base would be delayed and not available until later on in the budget cycle.

Given the Portfolio Holder’s recommendation to continue with the existing LCTS scheme, it was also not proposed to formally refer it to the Resources and Services Overview and Scrutiny Committee, as it would be considered by Full Council on 25 November 2025.

In order to enable the implementation of an LCTS Scheme in 2026/27 along with  ...  view the full minutes text for item 78