Exceptional Hardship Policy

Background

  1. As part of the Authority’s strategy to reduce poverty and target its limited money to support those most in need, the Exceptional Hardship Fund, which is part of the Council Tax Reduction Scheme, will work alongside other funding streams and support available to residents across the Authority. The Exceptional Hardship Fund is available to provide further financial assistance where a claimant:
  2. Is in receipt of a Council Tax Reduction (CTR) but the level of entitlement does not meet their full Council Tax liability (less any appropriate discounts) and where the applicant is facing ‘exceptional hardship’; or
  3. were entitled to Council Tax Support on 31 March 2025 but the new Council Tax Reduction Scheme has meant they no longer qualify, and they have made an application under the Exceptional Hardship Fund within one month of receiving the decision from the authority because they are facing ‘exceptional hardship’ .
    1. If a claimant applies to the Fund, they will need to provide evidence of exceptional hardship.
  4. Whilst there is no definition of exceptional hardship, claimants will need to show that:
  • making their increased payments would put them in severe financial hardship and unable to meet essential household expenses, therefore they are facing exceptional hardship; or
  • there is exceptional circumstances surrounding their claim that making their increased payments will put them in exceptional hardship. Exceptional circumstance is something that is not normal and unusual compared to generally other claimants. 

Exceptional Circumstances – due to terminal illness

Claimants (or their partner)on a low income in receipt of Council Tax Reduction but not entitled to 100%, and who are suffering from a terminal illness, will be treated as if they had income low enough to qualify for 100% support. This initiative aims to alleviate some of the financial burden that comes with caring for someone with a terminal illness. They must be diagnosed with a progressive disease with a life expectancy of 12 months or less. A medical professional must complete an SR1 form, confirming the terminal illness. This exceptional hardship will apply to the Council Tax bill until the end of the following financial year in which the SR1 form is submitted or the date of the person's death (whichever is soonest).