posted on 19 May 2021, updated on 24 May 2021
On 14 May 2021, the local taxation division of the Ministry of Housing, Communities and Local Government wrote to all local authorities in relation to two grants to contribute to
(a) the funding
(b) the administrative costs of Local Council Tax Support (LCTS)
Provisional allocations for the 2021 to 2022 Local Council Tax Support Administration Subsidy (LCTS) grant were published in March 2021. Final allocations were published in May 2021, and the accompanying letter also contained information on allocations for the 2021 to 2022 local council tax support schemes grant.
There is a new grant for 2021-22, as originally announced at the spending review on the 25 November (chapter 6, paragraph 65). It is being provided to authorities in recognition of the anticipated additional cost of providing LCTS in 2021-22, at a time when more households are likely to be facing financial difficulties as a result of the COVID-19 pandemic. The grant is for local authorities to keep, and the funding is un-ringfenced.