Cabinet Member: Councillor Evans (Councillor Lowry has declared a disclosable pecuniary interest in this item).

The City Council will be asked to consider the Cabinet recommendation. 

Minute 104 (of the Cabinet meeting held on 11 December 2012) and the report of the Director for Corporate Services refer.

Councillor Evans (Leader) presented the recommendations in Cabinet minute 104 on the council tax technical reforms. The written report of the Director for Corporate Services to Cabinet also referred.

Councillor Dr Salter indicated that he wished to move an amendment and, having been reminded that he had declared a disclosable prejudicial interest in the item, he withdrew from the meeting.  

The proposals were seconded by Councillor Peter Smith.

Councillor Mrs Pengelly moved an amendment as follows and asked that, if the amendment was not accepted, the Leader looked at the proposal, as follows –

‘To be more generous than the existing Class F exemption ‘Left Empty By Deceased Person’ giving just six months of exemption after the grant of Probate, which can currently be followed by a Vacant Property (Class C) exemption only if a property is newly built or both unoccupied and unfurnished, in future the Council agrees on compassionate grounds to exempt from Council tax for a period of up to two years properties which are unoccupied due to the recent death of a resident, while the executors of that resident’s estate make necessary repairs or alterations to prepare the property for sale or for letting’.   

Following an assurance given by the Leader that the proposal would be looked at the next day, Councillor Mrs Pengelly withdrew the amendment.

Agreed to - 

(Councillors Mrs Bowyer, Bowyer, Churchill, Martin Leaves, Michael Leaves, Sam Leaves, Lowry, Dr Mahony, Ricketts, Dr Salter, John Smith and Wigens declared interests in the above item and withdrew from the meeting during consideration of the item).

The Director for Corporate Services will submit a report seeking approval for changes to current Council tax exemptions in preparation for main billing in April 2013.

The Director for Corporate Services submitted a written report seeking approval for changes to current Council tax exemptions in preparation for main billing in April 2013.  

The report indicated that national welfare reform changes would place additional pressure on Council tax collection which was estimated at £1m less than current collection. The proposed recommendations would provide more opportunity for local authorities to set council tax levels more appropriately for its citizens by relieving the burden of council tax in relation to second homes and empty properties where the authority felt that properties receiving this relief did not merit it. 

Councillor Peter Smith (Deputy Leader) presented the report.  Financial regulations had yet to be set and therefore the flexibility of the changes could be subject to amendment.   

Alternative options considered and reasons for the decision –

As set out in the report.

The City Council is Recommended to –

(1)  remove the current 10 per cent discount on second homes and charge the full Council tax;

(2)  charge 50 per cent Council tax for properties undergoing major repair for as long as the property remains in that state up to the maximum period of one year;

(3)  reduce the 100 per cent discount on empty properties from six months to one month;

(4)  charge a 50 per cent premium on homes that have been empty for more than two years, taking the total Council tax due to 150 per cent.

(Councillor Lowry having declared a disclosable pecuniary interest, withdrew from the meeting during consideration of this item.)