We provided £3.7 billion for localised council tax support in 2013-14 and 2014-15, and will be providing the same amount in 2015-16.
We have also provided further central government funding for councils to freeze council tax again in 2015-16. Not only does freezing council tax help all council taxpayers, but it also helps keep down the cost to councils of local council tax support.
Spending on council tax benefit doubled under the last Administration, costing taxpayers £4 billion a year – equivalent to almost £180 a year per household. Our reforms to localise council tax support have given councils direct financial incentives to support local firms, cut fraud and promote local enterprise. Councils now benefit, via the falling cost of local council tax support, from positive action taken to reduce welfare dependency, increase employment and make work pay.