The Welsh Government has claimed it will protect 330,000 household in Wales from UK Government cuts in council tax benefit.
From this month onwards, council tax reduction schemes are operating in Wales to help households pay their council tax bills. The schemes replace council tax benefit, which was devolved to Wales, as part of the UK Government’s welfare reforms.
As part of the reforms though, the UK Government cut funding to the benefit by 10%, leaving a £22m financial hole.
Labour’s Welsh Ministers had previously said there was no money available to plug the gap meaning average cuts to people on the benefit of £67. This would have affected 20,500 households in Caerphilly County Borough.
In January though, the Welsh Government signalled a U-turn and said it would cover the shortfall.
The Welsh Government has said that Welsh Ministers have repeatedly challenged the reduction in funding and remain profoundly concerned about the financial implications of the welfare reforms for some of the most vulnerable people in Wales.
Lesley Griffiths, Minister for Local Government said: “In collaboration with local government, we have introduced schemes to provide vital financial assistance to approximately 330,000 households in Wales. The additional funding we have provided means some of our most vulnerable individuals will be protected from the UK Government’s cut in funding for council tax support.”