Number of council tax reduction recipients in Scotland peaked at more than half a million in early months of Covid-19 outbreak

Largest increase occurred in April and May 2020 as economic effects of the pandemic began to bite

The number of council tax reduction (CTR) recipients in Scotland peaked at more than half a million in the early months of the Covid-19 outbreak, according to new Scottish Government statistics.

In Council Tax Reduction in Scotland: 2020/2021, the Scottish Government reports that the number of CTR recipients in Scotland increased sharply by 4.4 per cent between March and April 2020 to 490,160, with further increases recorded in subsequent months as a result of the economic impacts of Covid-19. Claimant numbers then peaked at 501,680 in August 2020.

CTR recipients, March 2020 to March 2021

In addition, the statistics show that -

• there were 496,580 CTR recipients in March 2021 (representing one fifth of chargeable dwellings), an increase of 6 per cent from March 2020;
• the number of CTR recipients was only 10 per cent (55,800 recipients) lower in March 2021 than it was when the scheme began in 2013 - reversing a general downwards year-on-year trend in numbers claiming; and
• weekly income paid out by local authorities due to the CTR scheme increased from £6.525 million in March 2020 to £7.328 million in March 2021.

Elsewhere, the figures show a rise in CTR recipients who were not passported to full entitlement - initially rising by 9 per cent in April 2020 and now exceeding passported recipients. The Scottish Government says that this was most likely accelerated by an increased number of universal credit claimants (who are not passported to 100 per cent CTR) as a result of the initial economic impact of Covid-19.

For more information, see Council Tax Reduction in Scotland 2020/2021 from gov.scot