The report was introduced by Councillor Lowry (Cabinet Member for Finance) and seconded by Councillor Penberthy (Cabinet Member for Housing, Cooperative Development and Communities).

The Council agreed to:

1.    The Council Tax Base for 2025/26 of 76,557 equivalent Band D dwellings as set out in the report;

2.    The continuation of the current Council Tax Support scheme and Exceptional Hardship Scheme for 2025/26.

For (49)

Councillors Allen, Allison, Aspinall, Bannerman, Blight, Briars-Delve, Mrs Bridgeman, Coker, Cresswell, Dann, Dingle, Evans OBE, Freeman, Gilmour, Goslin, Haydon, Hendy, Holloway, Krizanac, Laing, Lawson, Lowry, Lugger, McCarty, McLay, McNamara, Moore, Morton, Murphy, P. Nicholson, S. Nicholson, Noble, Penberthy, Penrose, Poyser, Raynsford, Reilly, Ricketts, Simpson, M. Smith, R. Smith, Sproston, Steel, Stephens, Taylor, Tippetts, Tofan, Ms Watkin and Wood.

Against (0)

Abstain (0)

Absent/Did Not Vote (2)

Councillors Mrs Beer and Tuohy.

Councillor Penberthy (Cabinet Member for Housing, Cooperative Development and Communities) introduced the report and highlighted the following:

a)     85.2% of dwelling within Plymouth were situated within bands A-C, 8.3% band D and 6.2% in Band E-G. It was important to note that when reporting Council Tax increase, national media reported against the national average of Band D, which produced with low fidelity the situation for most living within the City;

b)    Changes to the amounts levied as Empty Homes Premiums and Second Homes Premiums instigated in 2024 which enabled the Authority to charge more would begin to take effect in 2025;

c)     Given a 97.5% collection rate, Council Tax was forecast to contribute £150 million to the budget;

d)    The current proportion of the local budget which was comprised of Council Tax compared against the same report in 2010 indicated the tax-burden had shifted towards local government and, to that extent, more deprived areas of the country;

e)     Large sections of the report were dedicated to Council Tax Support as it had been an unusually busy year in terms of benefit payments transferred to individuals within Plymouth, specifically higher numbers of Universal Credit and Legacy benefits. Council Tax Support Schemes would not be changing in the subsequent year in order to facilitate the operation of the uptake of these complicated mechanisms and to ensure recipients were sufficiently provided for given the concurrent economic background; 

f)      Effectively 20% of the population of Plymouth received Council Tax Support, most of whom were of working age, demonstrating the low-wage economy of the locality.

David Northey (Service Director for Finance) added:

g)     That whilst a technical paper, it was critical that Cabinet and Council review the document in order to render educated analysis of the resource assumptions evident within the final budget documentation.

That Cabinet agreed to recommend to Council –

1.     The Council Tax Base for 2025/26 of 76,557 equivalent Band D dwellings as set out in the report.

2.     The continuation of the current Council Tax Support scheme and Exceptional Hardship Scheme for 2025/26 with no updates.