City Hall, Norwich. Photo: Nick Butcher.
Norwich councillors warn £5m of savings would be needed to protect unemployed from benefit cuts
Richard Wheeler
Thursday, June 14, 2012
6:08 PM
Labour officials have warned they would need to save £5m to protect unemployed and low-earning Norwich people from impending council tax benefit cuts.
Norwich City Council stands to lose £1.7m a year under government plans to reduce the national council tax benefit bill by 10pc from 2013.
District councils are expected to receive an average of 10pc less in government grants to provide benefits to their residents.
This policy is expected to force councils to either help fewer people or find other ways of making up the cash shortfall.
A further complication for councils is most pensioners and “vulnerable people” will suffer no cuts, with councils expected to choose who is classed as being vulnerable.
This means people of working age could lose more than 10pc of their benefit.
And Alan Waters, city council cabinet member for resources, told last night’s cabinet meeting it was likely people on low incomes, or who received a “reasonable level” of council tax benefit, would face “additional hardship” under the government proposals.
He said: “We do need to do some careful thinking about this.
“It doesn’t protect all pensioners but it is supposed to provide an incentive about work paying.
“Given the state of the economy, it’s going to be a challenge for a number of local authorities, I’d imagine particularly in the north of England to deliver against this, but we will have to wait to see how this works out.”
A group containing councillors from the authority’s three political parties will meet to decide how Norwich approaches the issue.
Mr Waters said: “The government says ‘well it’s localism, if you want to pick up the cost of the additional 10pc’, which for us it would be £1.7m from the yearly budget.
“We are quite welcome to go ahead and do that but it does raise some difficult situations that we would have to find up to £5m in future savings in the next couple of years.
“The other alternative is looking at council tax increases but these are regulated by the secretary of state.
“None of this is particularly palatable.
“It will be interesting to see what the definition of ‘vulnerable person’ is.
“If it’s left to the local authorities to decide you could have a postcode lottery.”
Norwich City Council provides council tax benefit to around 19,000 households.
Claire Stephenson, Green Party opposition leader, said: “This is an horrendous situation, which is being forced upon the council.”
What do you think? Write to Evening News Letters, Prospect House, Rouen Road, Norwich, NR1 1RE or email eveningnewsletters@archant.co.uk
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15 comments
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
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norfolkgirl
Saturday, June 16, 2012
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
Report this comment
norfolkgirl
Saturday, June 16, 2012
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
Report this comment
norfolkgirl
Saturday, June 16, 2012
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
Report this comment
norfolkgirl
Saturday, June 16, 2012
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
Report this comment
norfolkgirl
Saturday, June 16, 2012
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
Report this comment
norfolkgirl
Saturday, June 16, 2012
District and County councilors are quick to make cuts but there is always plenty of money for their allowances and expences, many receive more than many people earn, most people who are out of work is often through no fault of their own, they need help and support not cutting benefits.
Report this comment
norfolkgirl
Saturday, June 16, 2012
you don't need change for a bus fare--a fiver will often suffice.
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bookworm
Friday, June 15, 2012
i pay £20 a week on bus fares. the country cannot afford free passes.Pensioners on my route also get half price fares before 930am.an extra bonus. Several have cars as well.Most go on jollies to the coast for free.How is this sustainable or fair?
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bookworm
Friday, June 15, 2012
I received a bus pass in November 2010 and was staggered it was neither means tested nor was there an admin. charge. I had to pay for my Senior Railcard so why not an admin. charge for a bus pass? It is the convenience of not requiring to have the right change for my fare which is the good thing about my bus pass!
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Lynda Edwards
Friday, June 15, 2012
The problem is the council - overpaying £17 million in benefits - sort this out and there is money to spare.
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Sheila Blige
Friday, June 15, 2012
Dear Mr Waters, I am unemployed and a council tenant, I feel again we are being used to get more money, and being made scapegoats I apply for 3 jobs a week, and have to send out 2 spec letters. Perhaps if the council actually employed more people like myself and some more of the young people who want to work, this I believe would also reduce the benefits bill. And started helping businesses by reducing rents in the city, rather than pushing them up so they close. People might start voting again and taking an interest in those who want to help them rather than just use them. Also something needs to be done about the buses in Norwich. So people can rely on them to get them to work and about the city. Perhaps by looking after people rather than using them, everyone might pull together and then help Norwich city council out of the mess its in.
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Jean Killett
Friday, June 15, 2012
Why is it only moronic comments appear on Archant forums?
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Cyril the Canary
Friday, June 15, 2012
dontcare.com, good point....nuLabour gave rich and corrupt communist China millions, tory boy chooses India to stash cash, whilst the working poor of this country will have to find another hole on their already tightened belt.Shipping out our jobs and cash, has to stop or blighty will become a very uncomfortable place in the coming years.
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nrg
Thursday, June 14, 2012
take the £5 mill of the £300 or s0 mill we send to india they dont want it
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dontcare.com
Thursday, June 14, 2012