CORNWALL Council is considering reducing the amount of council tax support Cornish families receive in a bid to save around £5-million. It would impact 19,000 households of working age currently receiving financial help.

The authority’s cabinet member for resources, Cllr Adam Paynter, is due to sign off a recommendation next week to consult the public on amending the maximum award level of council tax support (CTS) to 70 per cent, 65 per cent, 60 per cent or 55 per cent. The maximum support Cornish residents currently receive is 75 per cent.

A report to an Individual Decision Day meeting next week by officers, including chief operating officer Annabel Scholes, states: “The government introduced a revised funding formula for local authorities in December 2025, which reduced the Revenue Support Grant received by Cornwall Council. Combined with increasing service demand, inflationary pressures and wider collection fund challenges, this has increased the financial pressure facing the council.

“The council is therefore required to consider a range of options to support its long-term financial sustainability and ensure it can continue to set a balanced budget while protecting services for residents.”

In February, the council – which is £1.5-billion in debt – agreed to undertake a full review of CTS as well as business discretionary rate relief (DRR, which helps charities, non-profit bodies and community groups) during 2026/27. The CTS scheme currently costs the council £48-million and DRR £1.3-million. The council has decided not to look at reducing DRR.

Cornwall Council’s working age CTS is a means tested support scheme where an individual’s household, income, capital and personal circumstances are all considered to establish an applicable amount, which is then compared against a person’s actual income.

At August 2026, Cornwall had approximately 36,000 claimants. Around half of the current claimants are working-age adults, with the cost of support for this group this year at £21-million.

The majority of those claimants, 91 per cent, currently receive the maximum level of support. The cost of the scheme is projected to rise to £49.6-million in 2027/28, of which £22.2-million relates to working-age adults.

The total cost of the scheme is met between Cornwall Council and the precepting organisations (the police and city/town/parish councils), with Cornwall Council bearing 80.5 per cent of the total cost.

How the suggested council tax support changes will affect people

  • 70 per cent maximum – Average annual reduction in support £79.84 per household
  • 65 per cent maximum – Average annual reduction in support £159.20 per household
  • 60 per cent maximum – Average annual reduction in support £240.96 per household
  • 55 per cent maximum – Average annual reduction in support £319.13 per household

In total 19,009 households of working age currently receive CTS. All will be impacted should the decision be made to reduce the level of support. Of these, 17,218 receive the maximum 75 per cent support of which 16,976 are receiving Universal Credit (UC).

The proposed public consultation will run from October 19 to December 13 and the results will come before the council’s cabinet on December 16 as part of 2027/28 draft budget discussions. Full council would consider any revised scheme recommended by cabinet on January 19, 2027.