Government urges households to get ready for 150 council tax rebate

Date:
Mon, 28 Feb 2022 19:32:52 +0000

Description:
Households in England are being urged to set up direct debits with their
local council

FULL STORY ======================================================================

The government is urging households across England to set up a direct debit with their local council so they can receive a 150 council tax rebate that
can be used to help with rising energy costs. Who will receive the 150
rebate?

Its expected that around 20 million households in council tax bands A-D
(which includes 95% of rented properties) will benefit from the council tax rebate, which is costing the government 3 billion. The rebate will come in
the form of a one-off payment that doesnt have to be repaid.

In addition to this, an extra 144 million is also being given directly to councils. This money will be used to provide discretionary support to vulnerable households who do not qualify for the rebate. Its expected most of this money will be provided to families on low incomes who live in properties in council tax bands E to H. How will the rebate be received?

People who pay their council tax via direct debit will see the 150 rebate go directly into their bank account from April. Anyone who does not pay via direct debit will be contacted by their local council and will be asked to make a claim.

As a result, those who set up a direct debit will receive their rebate far quicker than those who do not. They will also benefit from receiving the payment directly, rather than having to make a claim. Is any other support available?

The council tax rebate is a central part of the governments 9.1 billion support package.

From October, every household in the country will also receive a further 200 rebate on their energy bills. However, this rebate actually comes in the form of a loan. From April 2023, households will pay 40 per year in repayments for a period of five years. Its expected that global wholesale gas prices will have started to come down by this stage, so repayments will become more affordable.

Finally, the government is also expanding the Warm Home Discount Scheme .
This will mean that nearly 3 million low-income households will benefit from
a 150 discount. Why is all this help needed?

The government is stepping in to help vulnerable households because energy bills have risen sharply over the past 12 months.

On top of this, earlier this month, energy regulator Ofgem announced that it is increasing the energy price cap (which restricts how much a supplier can charge) by almost 700 from 1 April. This means the price cap will rise from 1,277 to 1,971 per year , on average.

This sharp rise in energy bills has been caused by a number of factors , including huge spikes in wholesale prices, supply issues and rising demand
for gas following the pandemic.

But, even though the price cap is rising, customers are being urged to do nothing instead of running an online energy comparison . This is because the best energy deals on the market from the UKs best energy suppliers are still unable to beat the price cap.

Instead, its hoped that the governments package of reforms will help prevent households from being plunged into fuel poverty.



======================================================================
Link to news story: https://www.techradar.com/news/government-urges-households-to-get-ready-for-po und150-council-tax-rebate/


--- Mystic BBS v1.12 A47 (Linux/64)
* Origin: tqwNet Technology News (1337:1/100)