Why thousands of Hackney residents will receive an extra £30 off their council tax bills

General view of a council tax bill.

General view of a council tax bill. - Credit: PA Archive/Press Association Images

Thousands of families on low incomes will receive an extra £30 off their council tax bills, Hackney Council has said. 

Pensioners will also benefit from the new support scheme to help with the rising cost of living. 

Around 30,200 households are already receiving council tax reduction, a type of benefit that reduces bills for those on low incomes. They will automatically receive the payment on top of the £150 rebate announced by the government – saving them a total of £180 this year.

The government decided last month that council tax payers in band A to D properties (around four in five households) will receive a payment of £150 to support them with rising energy costs. 

The council’s extra payment is part of a £1.9m fund agreed by the cabinet in a meeting earlier this week. 

Ian Williams, director for finance and resources, said: “We know that many families in Hackney are struggling with the rising cost of living, and particularly higher energy bills this month.

“Using our discretionary funding in this way will mean that those most at risk from rising bills will get the extra help they need in the simplest way possible.”

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The meeting also decided other support for those not covered by the government’s announcement including nearly 3,200 households in larger homes (tax bands E-H) not eligible for the government’s scheme, but who receive council tax reduction, will also receive a £150 payment. Residents who move into the borough during the year ahead and are eligible for council tax reduction will receive a part-payment depending on when they move. Around 2,000 families who receive housing benefit or Universal Credit housing costs, but don’t pay council tax directly – for instance because their landlord pays it for them – will be able to apply for a £150 payment.

The council has said households who pay council tax by direct debit, or receive housing benefit, will receive the payments automatically.

Other residents will need to apply online, and further information will be available soon on this process. A dedicated phone line and access to face-to-face appointments with the council’s customer services team, and local advice charities, will also be available.