Thousands of Somerset's most vulnerable people have faced sharp rises in their council tax bills following recent changes in central and local government policy.

Somerset Council made changes to its council tax reduction scheme before setting its annual budget in February, intended to standardise the level of support offered across Somerset while addressing its wider financial pressures.

A study by Citizens Advice Somerset has since discovered that more than 4,000 people receiving universal credit – specifically the limited capability for work-related activity (LCWRA) element – have been hit with higher council tax bills as a result of the council's changes coinciding with wider central government reforms.

The council has responded that it would be reviewing its council tax support scheme ahead of next year's budget and "remained committed to supporting residents" during this process.

Councillor Caroline Ellis, who represents the Bishop's Hull and Taunton West division, raised the issue when the council's executive committee met in Taunton on Wednesday morning (November 5).

Councillor Caroline Ellis (Liberal Democrat, Bishop's Hull and Taunton West). CREDIT: Somerset Council. Free to use for all BBC wire partners.

Councillor Caroline Ellis (Liberal Democrat, Bishop's Hull and Taunton West) (Image: Local Democracy Reporting Service)

She said: "On October 2, Citizens Advice Somerset sent a briefing to all councillors highlighting how our council tax reduction scheme has made a very vulnerable group of universal credit claimants – those receiving the LCWRA element – suddenly and considerably worse off, with damaging consequences for their health and well-being.

"Citizens Advice pointed out that this group of disabled people, who are unlikely to ever be able to work, have been hit by council tax bills of several hundreds of pounds following their forced migration from income-related employment support allowance (ESA) to universal credit.

"Their income has not changed – all that has changed is the name of their benefit they rely on to live."

Under the previous council tax reduction schemes run in Somerset, those on income-related ESA were eligible for a 100 per cent discount on their council tax bills.

Citizens Advice Somerset has found that up to 4,481 residents may have been hit with higher bills as a result of these reforms.

One such individual, identified only as 'Shaun' in the study, saw his council tax support reduced from 100 per cent to 10 per cent – leaving him more than £1,000 a year worse off.

Shaun, 52, is currently under the care of a psychiatrist and takes various medications for a range of mental health issues, leaving him incapable of working.

Ms Ellis continued: "It sent chills through my spine – and I have residents affected by this who I am deeply fearful for.

"Why has there not been a consultation this year in light of the negative impacts of the policy? Has administrative convenience been prioritised over the well-being of disabled people?

"Simply relying on stressed, anxious and excluded people being aware of and having the ability to navigate the exceptional hardship scheme (with all its uncertainty as to outcomes), in the hope it may offer some succour is unreasonable and ineffective."

The then-Conservative government began moving people from "legacy benefits " (such as ESA or job seekers' allowance) onto universal credit from 2016 onwards, in a bid to cut bureaucracy – a transition which was expected to be completed by 2028.

The Labour government has continued this transition but has sought to speed up the process, aiming to complete all movement across to universal credit by April 2026.

Councillor Liz Leyshon (Liberal Democrat, Street). CREDIT: Somerset Council. Free to use for all BBC wire partners.

Council deputy leader Liz Leyshon thanked Citizens Advice for its "invaluable support and insight" on this matter, and said the council was committed to reviewing the council tax support it could provide to the most vulnerable in Somerset.

Responding directly to Ms Ellis, said: "This year, many Somerset residents have moved from ESA to universal credit, including those with limited capability for work and work-related activity.

"We recognise the challenges this transition presents, particularly for our most vulnerable residents, and this was recognised by our corporate and resources scrutiny committee when it met on July 30.

"The financial emergency we have faced stems from a fundamental imbalance: our expenditure, including over £400m annually to support those most in need, exceeds our income, which is primarily derived from council tax.

"In response, we have made necessary changes, including to our council tax reduction scheme and our exceptional hardship scheme, with the allocation of £800,000 from the household support fund."

"I acknowledge that council tax reduction schemes vary across the south west, and that our lower council tax base often coincides with higher levels of need. This is a structural unfairness that must be addressed – nationally."

The government has promised a root and branch review of both council tax and business rates during this parliament – but there is currently no indication of when any changes would be implemented.

Ms Leyshon (who represents the Street division) added: "For 2026/27, my focus will be on revising our exceptional hardship policy and shaping the newly renamed crisis and resilience fund, formerly the household support fund.

"We are currently reviewing our exceptional hardship policy, and this will be presented to the relevant scrutiny committee at the end of November, followed by the executive and then the full council in December.

"We remain committed to supporting residents through these changes."