Shropshire Star

Shropshire Council tax collection rates to drop

Shropshire Council is expecting council tax collection rates to drop this year after council tax support charges were introduced.

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Taxpayers will fork out about £145 million to the authority this financial year.

James Walton, head of finance, governance and assurance, told the council's audit committee on Thursday that he is expecting the collection rate to drop and then recover.

He said: "98.4 per cent of people is the figure estimated to pay this year. That figure has been consistently at the top end, within the top 10 of unitary authorities throughout the country.

"The difference in this year is from April we undertook council tax support charges so there are now a proportion of people paying part of their council tax who haven't before.

"Our expectation was that our collection rate would fall this year and that's in line with other authorities.

"Their experience has been that the collection rate falls and then recovers over time as people get used to paying council tax."

The council tax support charges were set to save the council an estimated £1.1 million, but the plan was hit with criticism.

A six per cent increase in council tax was approved by Shropshire Council for this financial year in February.

As of April, people on council tax support have had to pay 20 per cent of their council tax.

The rise - which follows last year's 3.99 per cent increase - is an attempt to help the authority cope with pressure on its adult social care and children's social services budget.