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Council tax reduction on hundreds of empty Walsall properties cut in bid to save cash-strapped authority money

A council tax reduction on hundreds of empty properties in Walsall will be cut under new plans revealed today to save the cash-strapped council more money.

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A full discount is currently awarded for the first three months but this is to be slashed to just seven days.

It is estimated around £1 million will have been awarded during this financial year and comes as the cash-strapped council needs to save £85m in four years.

It is also planned to scrap a 50 per cent yearly discount for buildings which require major repairs or structural alterations. A final decision is due to be made at a meeting of the full council.

More than 700 properties are currently in receipt of the 100 per cent council tax discount for the first three months. An initial public consultation showed of the first 119 people to respond, 60 per cent wanted the current system to remain.

But Councillor Diane Coughlan, portfolio holder for social care said: "There is a projected shortfall of around £85m to Walsall's budget over the next four years so if these changes are not adopted, additional money will need to be found by changing, reducing or ceasing other council services even more than currently proposed.

"This would have a greater detrimental impact on our more vulnerable residents than this proposal.

"Cabinet has therefore agreed to recommend to council that we retain the 100 per cent discount for empty and unfurnished properties but reduce the period of discount from three months to the first seven days.

"In addition to that, we propose to remove the discount for properties requiring major repair or those that are undergoing structural alterations.

"These recommendations will be put to council in the New Year."

A report to the decision-making cabinet said: "If the discounts on empty properties were amended this would generate additional income for the council. The council's overall financial outlook is of course highly challenging."

It comes after it emerged earlier this month that almost 20,000 hard-up householders in Walsall will have to pay increased council tax after borough bosses voted to reduce their subsidy.

The discount is aimed at people on low incomes, who can claim a reduction in the amount of council tax they have to pay.

The cabinet has chosen to reduce the subsidy by 25 per cent, the highest of the four options put out to public consultation and the least popular with residents.

It will mean a weekly increase of £5.03 for households in band A; £5.87 for band B and £6.70 for those in band C.

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