Agenda item

10.1

It was moved by Councillor Kurtis Crossland, and seconded by Councillor Rebecca Atkinson, that this Council:-

notes:-

(a)      the distress caused to residents over the uncertainty regarding the potential removal of the 25% council tax discount for single person households, following the Deputy Prime Minister’s refusal to rule it out during weeks of questioning;

(b)      that according to the 2023 Council Taxbase statistics, over 8 million households across the country, particularly in the North of England, have been left anxious about potential financial hardship due to this uncertainty;

(c)      that many of those potentially affected are pensioners who have already endured the removal of their Winter Fuel Payment this year, compounding financial struggles;

(d)      that removing the discount would not only affect pensioners but also impact single parents, first-time buyers and those fleeing domestic violence;

believes that:-

(e)      the Single Person Council Tax Discount needs to remain to provide essential financial relief to those who rely on it;

(f)       after only four months, the Government appears to be targeting the most vulnerable in society, as evidenced by the removal of the Winter Fuel Payment for pensioners and the anxiety caused over the potential loss of the Single Person Council Tax Discount;

(g)      targeting the most vulnerable in our society is unjust and exacerbates inequality, eroding the social safety nets that protect those in need;

(h)      Sheffield residents deserve stability and respect rather than fear and confusion;

(i)       those with the broadest shoulders should bear the brunt of any tax rises and it is fair to ask those who are more able to contribute more, rather than placing the burden on those already struggling;

(j)       there are other methods to raise council tax income, such as increasing taxes on properties purchased as second homes;

(k)      there are alternative ways that exist to secure much-needed funds, such as reversing cuts made to banks by the previous government, redirecting resources from those who can most afford it to those who need it most;

resolves to:-

(l)       oppose any attempt to abolish the Single Person Council Tax Discount;

(m)     call on the Government to provide assurances that policies affecting vulnerable households will be communicated clearly and considerately to prevent unnecessary distress; and

(n)      ask the Chief Executive to write to the Deputy Prime Minister conveying this message and highlighting the detrimental impact of recent policies on the most vulnerable in our community.

10.2

Whereupon, it was moved by Councillor Laura Moynahan, and seconded by Councillor Ruth Milsom, as an amendment, that the Motion now submitted be amended by the deletion of all the words after the words “That this Council” and the addition of the following new paragraphs (a) to (g):-

(a)      notes that the incoming government faces a reported £22 billion financial blackhole, and believes that whilst we need a full comprehensive spending review it is welcome the Government has indicated that the single person council tax discount will remain;

(b)      welcomes the commitment by the Government to not raise taxes on working people – through no rises in income tax or VAT, and welcomes the Government’s mission to tackle economic insecurity – at work, at home, in our communities and public services;

(c)      notes that the Government has committed to reforming the Department for Work and Pensions to decisively refocus on work – with action to drive higher engagement, higher employment and higher earnings – to boost living standards, power the economy and improve the public finances;

(d)      notes the difficulties facing local authorities and how inadequate council tax funding is at plugging the hole in council finances, and believes that a growing economy will be essential for supporting councils;

(e)      notes that local government funding is expected to move to multi-year settlements and believes that this will have a hugely positive impact on council funding;

(f)       supports the Government’s commitment to reform the benefit system so that it encourages work and provides the right support; and

(g)      supports the Government’s maintenance of the pension triple lock, meaning that the State Pension will go up by £460 next year.

10.3

It was then moved by Councillor Christine Gilligan Kubo, and seconded by Councillor Marieanne Elliot, as an amendment, that the Motion now submitted be amended by:-

1.       the addition of a new paragraph (g) as follows, and the re-lettering of the original paragraphs (g) to (k) as new paragraphs (h) to (l):-

(g)      the cut to Winter Fuel payments and retention of the Two Child Cap on benefits shows that the new Government has made a political choice to place the burden on those who can least afford it;

2.       the addition of new paragraphs (m) to (q) as follows, and the re-lettering of the original paragraphs (l) to (n) as new paragraphs (r) to (t):-

(m)     to make Council Tax fairer, a re-valuation of Council Tax bands is needed to reflect big changes in value since 1991;

(n)      those with the broadest shoulders should contribute more in taxes - those with assets above £10 million at 1% and assets above £1bn at 2% annually;

(o)      with only a very small minority of people subject to a wealth tax, the overwhelming majority would benefit and those struggling would not bear the burden;

(p)      the UK has one of the most concentrated land ownership systems in the world, with half of England being owned by less than 1% of the population;

(q)      as part of shifting taxation towards wealth, a Land Value Tax would ensure that those with the most valuable and largest land holdings would contribute the most;

3.       the addition, at the end of newly re-lettered paragraph (t) [the original paragraph (n)], of the words “, including the contents of this motion”.

10.4

After contributions from seven other Members, and following a right of reply from Councillor Kurtis Crossland, the amendment moved by Councillor Laura Moynahan was put to the vote and was lost.

10.4.1

(NOTE: The result of the vote was FOR - 32 Members; AGAINST - 38 Members; ABSTENTIONS – 1 Member.)

10.5

The amendment moved by Councillor Christine Gilligan Kubo was then put to the vote and was carried, except for Part 2 of the amendment, which was lost.

10.5.1

(NOTE: The result of the vote was FOR - 38 Members; AGAINST - 32 Members; ABSTENTIONS – 1 Member.  Although Liberal Democrat Group Members voted for, they voted against paragraphs (m) to (p) in Part 2 of the amendment and abstained from voting on paragraph (q) in Part 2 of the amendment.)

10.6

The original Motion, as amended, was then put to the vote as a Substantive Motion in the following form, and was carried, except for paragraph (a), which was lost:-

RESOLVED: That this Council:-

notes:-

(a)      the distress caused to residents over the uncertainty regarding the potential removal of the 25% council tax discount for single person households, following the Deputy Prime Minister’s refusal to rule it out during weeks of questioning;

(b)      that according to the 2023 Council Taxbase statistics, over 8 million households across the country, particularly in the North of England, have been left anxious about potential financial hardship due to this uncertainty;

(c)      that many of those potentially affected are pensioners who have already endured the removal of their Winter Fuel Payment this year, compounding financial struggles;

(d)      that removing the discount would not only affect pensioners but also impact single parents, first-time buyers and those fleeing domestic violence;

believes that:-

(e)      the Single Person Council Tax Discount needs to remain to provide essential financial relief to those who rely on it;

(f)       after only four months, the Government appears to be targeting the most vulnerable in society, as evidenced by the removal of the Winter Fuel Payment for pensioners and the anxiety caused over the potential loss of the Single Person Council Tax Discount;

(g)      the cut to Winter Fuel payments and retention of the Two Child Cap on benefits shows that the new Government has made a political choice to place the burden on those who can least afford it;

(h)      targeting the most vulnerable in our society is unjust and exacerbates inequality, eroding the social safety nets that protect those in need;

(i)       Sheffield residents deserve stability and respect rather than fear and confusion;

(j)       those with the broadest shoulders should bear the brunt of any tax rises and it is fair to ask those who are more able to contribute more, rather than placing the burden on those already struggling;

(k)      there are other methods to raise council tax income, such as increasing taxes on properties purchased as second homes;

(l)       there are alternative ways that exist to secure much-needed funds, such as reversing cuts made to banks by the previous government, redirecting resources from those who can most afford it to those who need it most;

resolves to:-

(m)     oppose any attempt to abolish the Single Person Council Tax Discount;

(n)      call on the Government to provide assurances that policies affecting vulnerable households will be communicated clearly and considerately to prevent unnecessary distress; and

(o)      ask the Chief Executive to write to the Deputy Prime Minister conveying this message and highlighting the detrimental impact of recent policies on the most vulnerable in our community, including the contents of this motion.

10.6.1

(NOTE: The result of the vote on the Substantive Motion was FOR - 38 Members; AGAINST - 32 Members; ABSTENTIONS – 1 Member.  Although Green Group Members voted for, they voted against paragraph (a) of the Substantive Motion.)

10.7

Accordingly, the resolution passed by the Council was as follows:-

RESOLVED: That this Council:-

notes:-

(a)      that according to the 2023 Council Taxbase statistics, over 8 million households across the country, particularly in the North of England, have been left anxious about potential financial hardship due to this uncertainty;

(b)      that many of those potentially affected are pensioners who have already endured the removal of their Winter Fuel Payment this year, compounding financial struggles;

(c)      that removing the discount would not only affect pensioners but also impact single parents, first-time buyers and those fleeing domestic violence;

believes that:-

(d)      the Single Person Council Tax Discount needs to remain to provide essential financial relief to those who rely on it;

(e)      after only four months, the Government appears to be targeting the most vulnerable in society, as evidenced by the removal of the Winter Fuel Payment for pensioners and the anxiety caused over the potential loss of the Single Person Council Tax Discount;

(f)       the cut to Winter Fuel payments and retention of the Two Child Cap on benefits shows that the new Government has made a political choice to place the burden on those who can least afford it;

(g)      targeting the most vulnerable in our society is unjust and exacerbates inequality, eroding the social safety nets that protect those in need;

(h)      Sheffield residents deserve stability and respect rather than fear and confusion;

(i)       those with the broadest shoulders should bear the brunt of any tax rises and it is fair to ask those who are more able to contribute more, rather than placing the burden on those already struggling;

(j)       there are other methods to raise council tax income, such as increasing taxes on properties purchased as second homes;

(k)      there are alternative ways that exist to secure much-needed funds, such as reversing cuts made to banks by the previous government, redirecting resources from those who can most afford it to those who need it most;

resolves to:-

(l)       oppose any attempt to abolish the Single Person Council Tax Discount;

(m)     call on the Government to provide assurances that policies affecting vulnerable households will be communicated clearly and considerately to prevent unnecessary distress; and

(n)      ask the Chief Executive to write to the Deputy Prime Minister conveying this message and highlighting the detrimental impact of recent policies on the most vulnerable in our community, including the contents of this motion.