Bedford Borough’s lowest-income households could face higher council tax bills from April 2026 as the council looks to reduce the help it gives through its Council Tax Reduction Scheme.
A report going to full council on Wednesday (26 November) sets out plans to cut the maximum level of council tax support for around 7,200 working-age households, as the authority tries to close what it describes as “very significant financial pressures”.
The council says it is facing a £32.5 million shortfall in 2026/27 and a £58.6 million gap over the next four financial years. Reducing council tax support is expected to generate around £1.5 million a year to help fill that hole.
Read: £11.5m Bedford Borough Council savings plan includes cuts to staff, voluntary service and libraries
Under the proposals, the maximum discount for working-age residents in Bands A to D would fall from 100 per cent to 80 per cent, meaning people who currently pay no council tax would have to start contributing.
In Bands E to H, support would drop from 82 per cent to 65.6 per cent.
By law, councils must operate a local Council Tax Reduction Scheme for working-age residents who are judged to be in financial need, but they can decide who is eligible and how much support is given.
Pension age residents receive help under a national statutory scheme which local authorities cannot change.
Consultation response
Read: Bedford Borough Council opens second phase of 2026/27 budget consultation
The Bedford Borough proposals were put out to consultation between 1 October and 12 November 2025.
According to the council’s own report, 48 per cent of respondents disagreed with the plan to reduce maximum support for Band A to D households, while 37 per cent disagreed with the changes for Bands E to H.
However, the council’s executive has been accused of ignoring the consultation responses and treating the process with “contempt”.
Read: Bedford Borough Council’s executive accused of treating public consultations “with contempt”
Speaking at Wednesday night’s Executive meeting (19 November), Green cllr Ben Foley (Greyfriars) referred to the length of time executive councillors considered the council tax reduction scheme consultation.
“Remarkably quickly after that consultation closed at midnight on Wednesday last week, on Monday, you signed off a decision to recommend to full council exactly the scheme consulted on,” he said
“Despite there being more answering ‘disagree’ than ‘agree’ to the most crucial question. Why wasn’t there a serious reconsideration given the outcome of that consultation?” he asked.
Read: £11.5m Bedford Borough Council savings plan includes cuts to staff, voluntary service and libraries
Responding to the claims, Mayor Wootton replied, “I strongly disagree, because I think there was some serious disagreements and arguments going on in the administration about that.
“I think we weighed very heavily on the arguments that were in that consultation, and we thought long and hard about it.”
Cllr Foley said: “You thought long and hard for what, two working days? It feels like the result of the consultation has been put aside so quickly, and in doing so, you’ve been treating the consultation process with contempt.”
Read: Bedford Ian writes… (21 November)
In the days after the meeting, Bedford Borough Council has said all responses are being logged and will be presented to the Mayor and councillors before a final decision is taken on the scheme for 2026/27.
Read: Bedford Borough “no exception” as new report finds councils across England “on their knees”
Central Bedfordshire plans
Central Bedfordshire Council is running its own consultation on changes to council tax support for 2026/27, as it looks to reduce the cost of its scheme by £1.1 million.
A report to the council’s corporate resources overview and scrutiny committee says the local scheme currently costs £21.1 million a year, with around £14.1 million of that going to working-age claimants.
Overall, costs have risen by £7.5 million in five years, mainly because more pension-age residents now qualify for support.
National rules protect pensioners and would not be affected by any local changes. Any reduction would fall on working-age claimants.
Independent cllr John Baker (Aspley and Woburn) warned at the meeting that cutting support risked pushing people with no spare income into debt.
He said the changes could see residents “dragged to court” over unpaid bills, calling the impact on some households “equivalent of a 20 per cent council tax rise” when combined with expected annual increases.
Labour cllr Matt Brennan (Dunstable North) described the proposals as “absolutely ridiculous”, highlighting that some people currently paying nothing could face bills of around £500 a year.
Cllr Victoria Harvey (Independent, Leighton Linslade West) raised concerns about residents “in floods of tears because they do not have the income” to cope with higher bills, warning that some could give up their homes and need temporary accommodation from the council.
Read: “Deeply unpalatable” changes to council tax support scheme proposed in Central Bedfordshire
Budget pressures
Central Bedfordshire’s service director for revenues and benefits, Gary Muskett, told councillors that about a third of local authorities still offer up to 100 per cent relief. Still, rising costs and falling government funding were forcing difficult decisions.
He said every individual claimant would receive a letter inviting them to take part in the consultation, and that the council would also work with community organisations, support groups and libraries to promote it.
Executive member for finance, cllr Baker, said no one wanted to ask people to pay when they were not currently contributing, but argued that “the reality is the council has to provide statutory services to all residents and everyone has to pay in some way”.
He pointed to a £24 million reduction in government funding, adding that the existing scheme did not contain changes “to even address the £1.1 million efficiency which the council has agreed already”.
A report on any recommended changes in Central Bedfordshire will go to the executive in February, with final decisions to be taken at full council on 26 February.
In Bedford Borough, councillors are expected to debate their council tax support proposals at the full council meeting on Wednesday 26 November, with any approved changes taking effect from April 2026.
By John Guinn and Euan Duncan, Local Democracy Reporters
Additional reporting and editing by Paul Hutchinson, Bedford Independent
