Isle of Wight residents on low incomes will continue to see the same level of support for their council tax bills despite annual hikes of the property levy.
Full council unanimously voted for a recommendation to keep the Local Council Tax Support (LCTS) scheme for 2026/27 the same as the current arrangement in a report published prior to its Wednesday (21st January 2026) meeting.
The vote came after 163 residents responded to a consultation, with most saying they think the level of support given is sufficient.
75 per cent reduction
Current LCTS is limited to a maximum 75 per cent reduction of claimants’ bills.
Those who can receive the 75 per cent discount include couples with children earning up to £315 per week, single people earning up to £95 per week and single parents with one child earning up to £180 per week.
The lowest level of support is a 25 per cent reduction, available for example to a single person earning between £195.01 and £245 per week.
County Hall’s report notes annual council tax increases have made it harder for LCTS claimants to pay their bills.
Exceptional Hardship Fund
The council’s Exceptional Hardship Fund – further assistance available to applicants experiencing extreme financial hardship – will also continue.
Jordan: Helping residents on lowest incomes
Leader of the council and Alliance group Phil Jordan said,
Council tax support plays a vital role in helping residents on the lowest incomes meet their council tax liability.
“At present, the scheme supports thousands of households across the Island and represents a cost from the council of over 11 million each year.
“Any increase this year in council tax support would need to be funded locally by us and would add further pressure to an already stretched, difficult financial position.”
Garratt: It is right that we have got this council to this level of support
Councillor Andrew Garratt, Liberal Democrat leader, said,
“We are in the fifth year of a four-year term of office…we started this cycle on 65 per cent, we have improved as a council this support level to 75 per cent.
“I would hope there’s no person in this room who would not want to see greater support given to those in the greatest hardship.
“It is right that we have got this council to this level of support that we are still intending to maintain…despite the very very hard financial circumstances that we have all heard about this evening, that the council faces.”
Elements disregarded from the calculation
Councillor Chris Jarman, who leads the Empowering Islanders group, said three important elements would be disregarded from the calculation of LCTS. He told the chamber,
“Those include…the veterans’ compensation payments which are made, veterans’ war pensions will be disregarded and support under the homes for Ukraine scheme will also be disregarded.
“All of those reflect circumstances of war and the first two are care and support for our armed forces personnel.”
Independent Socialist Councillor Geoff Brodie said,
“I’ve heard the message about £23 million (budget) shortfall…I will support this paper on this occasion.”
This article is from the BBC’s LDRS (Local Democracy Reporter Service) scheme, which News OnTheWight is taking part in. Some alterations and additions may have been made by OnTheWight. Ed
