Tariff Income for Council Tax Support - pensioners

I have just seen a couple (one over 65, the other over Pension Credit age). She works (14 hours a week - low income) and he is about to claim PC. They have some savings and have been told by the local authority in writing that each £250 over 600 (typo error) attracts £1 of tariff income.

I advised them that this was incorrect and should be each £500 (or part therof) over £10000 attracts £1 of tariff income.

I examined the local authority’s Council Tax Support Scheme as published online and it does specify £250/£6000 but says nothing directly about different calculations for pensioners.

Is a local authority permitted to amend local pension age schemes in this way or have they simply been misinformed by the council?

Interesting question. Which LA out of interest?

The Council Tax Reduction Schemes (Prescribed Requirements) (England) Regulations 2012 (http://www.legislation.gov.uk/uksi/2012/2885/schedule/1/made) at Schedule 1 para 37 seem to suggest that LAs are required to use the £1 for every £500 figures for pensioners.

Calculation of tariff income from capital
37.  The capital of an applicant, calculated in accordance with this Part(94), is to be treated as if it were a weekly income(95) of—
(a)£1 for each £500 in excess of £10,000 but not exceeding £16,000; and .
(b)£1 for any excess which is not a complete £500.

Many thanks. I’ve checked the scheme again and it refers to said regulations. Just misinformed then. I’ll not name the authority to spare their blushes and, mine for not knowing.