Part of the debate – in the Senedd at 4:27 pm on 8 January 2019.
I welcome the opportunity to bring forward these amending regulations today. I'd like to thank the Constitutional and Legislative Affairs Committee for its report on the regulations. The Council Tax Reduction Schemes (Prescribed Requirements and Default Scheme) (Wales) (Amendment) Regulations 2019 amend the 2013 council tax reduction scheme regulations. The scheme provides direct help to households across Wales by reducing their council tax bills. The UK Government abolished council tax benefits on 31 March 2013 and passed responsibility for developing new arrangements to the Welsh Government. The decision was accompanied by a 10 per cent cut in the funding for the scheme. The Welsh Government responded by meeting the funding gap to maintain entitlements to support for around 300,000 of the least well-off households in Wales.
Amending legislation is needed each year to ensure the figures used to calculate each household's entitlement to a reduction are increased to take account of the rises in the cost of living. The operating regulations therefore maintain existing entitlement to support. The financial figures relating to working-age people, disabled people and carers for 2019-20 are increased in Wales in line with the consumer price index at 2.4 per cent. This contrasts with the UK Government's policy to freeze working-age benefits until the end of 2019-20. Figures relating to pensioner households continue to be increased in line with the UK Government's standard minimum guarantee and mirror the uprating of housing benefit. I wish to protect families on low incomes who have been affected by welfare reform from further cuts to their income.
In making these regulations, I have also taken the opportunity to include minor technical changes and to make additional amendments to reflect other changes to related benefits and a new social security benefit, bereavement support payment. For example, in collaboration with local authorities, we've clarified the wording of the regulations in order to bring the regulations in line with housing benefit regulations. These changes will ensure that billing authorities assess entitlement to council tax reductions in a consistent manner. These regulations maintain entitlements to reductions in council tax bills of households in Wales. As a result of this scheme, around 220,000 of the most hard-pressed households will continue to pay no council tax in 2019-20. Council tax reduction remains a cornerstone of our targeted support for people and families who have been adversely affected by the UK Government's welfare reforms. I ask Members to approve these regulations today.