Thousands of Universal Credit recipients in Somerset have been confronted with significantly higher council tax bills—some rising by as much as £1,000—following recent adjustments to the council tax reduction scheme. More than 4,000 people receiving the Limited Capability for Work-Related Activity (LCWRA) element of Universal Credit, primarily disabled individuals, have been hit hardest by these changes.
Somerset Council has standardized support levels across the county while managing its broader financial challenges. This has resulted in a reduction in council tax relief for those transitioning from income-related Employment Support Allowance (ESA) to Universal Credit, despite no change in their actual income.
Councillor Caroline Ellis, representing Bishop’s Hull and Taunton West, expressed deep concern over the impact on vulnerable residents. “Citizens Advice Somerset alerted us that this change has left a vulnerable group suddenly and substantially worse off, with serious consequences for their health and well-being,” she said. “These disabled claimants, unlikely ever to return to work, face council tax bills hundreds of pounds higher after being forced to move from ESA to Universal Credit—without any increase in income.”
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Ellis criticized the council for failing to consult with affected groups before implementing these changes and questioned whether administrative convenience was prioritized over the welfare of disabled people. “Expecting already anxious and excluded individuals to navigate the complexities of the exceptional hardship scheme, with no guarantee of support, is both unreasonable and ineffective.”
Council Deputy Leader Liz Leyshon acknowledged the difficulties caused by the transition from ESA to Universal Credit and recognized the challenges faced by the council’s most vulnerable residents. She noted the council’s financial emergency, with expenditures exceeding income — including more than £400 million spent annually supporting those in need, funded mainly by council tax.
“In response, we have adjusted our council tax reduction and exceptional hardship schemes, allocating £800,000 from the household support fund to help address these pressures,” Leyshon said. She also pointed out the structural unfairness inherent in Somerset’s lower council tax base combined with higher levels of need, underscoring that this imbalance requires national attention.