East Riding of Yorkshire Council facing ‘difficulties’ over £150 tax rebate payments

Council leader Cllr Jonathan Owen said payment of council tax rebates by direct debit made the process more difficult as the authority does not hold bank details for around 30,000.

Deputy Leader Cllr John Holtby said its efforts to get payments to those who do not automatically qualify for the rebates would also be more difficult than they appeared.

It comes as the council’s cabinet approved drawing up a scheme to provide payments to households who fall outside the parameters of the Government scheme unveiled in February.

Council head of finance Julian Neilson told the cabinet the Government had provided £539,250 to spend on those households local officials felt needed the support but may not get it.

Mr Neilson added this included those in council tax bands higher than D but still receiving support.

He said it also included students, people for whom council tax is waived such as the severely mentally impaired and those living in housing of multiple occupation (HMOs).

It follows Chancellor Rishi Sunak’s announcement that households will receive £150 in April to ease the blow of rocketing energy bills.

The chancellor unveiled the rebate alongside a £200 discount on energy bills, to be paid back in £40 instalments over five years from 2023.

Council tax Band A to D households are eligible for the rebate, meaning 83% of homes in the East Riding will get it.

But questions remain as to the council will get payments to those it does not hold bank details for, many of whom pay council tax in cash.

East Riding Council previously stated it was studying the most effective and efficient way to get the payments out while around 60,000 households face a similar situation in Hull.

Cllr Owen said he was grateful for local efforts to get payments out, including to those who may not qualify but still need it despite complexities with making them.

The leader said: “It seems there’s a lot of difficulties involved in trying to give people £150.

“There’s a lot of properties which don’t pay by direct debit, I’m sure with hindsight this could have been managed a lot more simply at a national level.”