Exploring innovative approaches to ensure more low-income households benefit from council tax support.
Funding snapshot
Programme area: Strengthening social security
Amount: £40,000
Length of grant: 2021-2023
Impact goal: Increasing benefits take-up
The challenge
Low-income households are sometimes eligible for a council tax reduction, to reduce the cost of their council tax bill. This is an important part of our social security system, potentially saving families on the lowest incomes significant amounts of money a year. But take up has historically been low, meaning households are missing out on vital income.
The project
A more efficient system to identify households who are entitled to council tax support could increase take up. This, in turn, would put money into the pockets of people on the lowest incomes.
Policy in Practice is a social policy software and analytics business, using data and technology to make the social security system work more effectively for households on low incomes. We funded it to develop an automated process to increase the uptake of council tax reduction. This included:
- Working with councils to understand if the data provided to boroughs by DWP could be used to automate council tax reduction processes.
- Reviewing the current approach from three local authorities to council tax reduction. This indicated the level of change needed to automate the council tax reduction process.
- Carrying out interviews with participating councils to understand the barriers to an automated process.
- Launching an active campaign in Enfield, using Universal Credit Data, illustrating how council tax reduction uptake could be increased.
Since our funding ended, the project has led to councils in London and across the UK exploring automated council tax support processes.