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Changing a Name Could Change Lives

March 16, 2010 6:34 PM

Paul Burstow, MP for Sutton and Cheam, presented a Bill to Parliament today (16th March) calling for Government action to improve the lives of thousands of people living in poverty who miss out on help they desperately need. The Bill would change the name of the Council Tax benefit to Council Tax rebate.

Council Tax benefit has the lowest take-up of all means-tested benefits with 2.95m people missing out on money they are entitled to. Take up of the benefit is especially low among pensioners as only 55-61% of those eligible to claim do so.

Mr Burstow has been working closely with the Royal British Legion to persuade the Government to change the name. He has presented a petition signed by 25,000 people supporting a campaign by the British Legion to re-brand Council Tax benefit as a rebate. Research has shown that the poor take-up of this benefit, particularly amongst older people, is due to the stigma attached to the label 'benefit'.

In 2004 a cross-party select committee highlighted this problem and suggested the Government change the name, because even a 10% increase in take-up could lift 47,000 pensioners out of poverty.

Mr Burstow has called on the Government to take notice of evidence from the Audit Commission, British Legion, Citizens Advice and the Local Government Association.

All of these organisations agree that changing the name to council tax rebate or relief would be an easy and effective way to lessen the burden of Council Tax on those living in poverty.

Commenting Paul Burstow MP said:

'Names mean a lot to people. But when they are what's keeping people in poverty something needs to change.

'75% of the public agreed that re-branding the benefit as a rebate would increase take-up. The case is backed by numerous charities, independent organisations and even the Government have acknowledged the problem.

'Ignoring this wealth of research condemns people to miss out on essential help they're entitled to. Such a simple change would make a huge difference to some of our poorest pensioners and families.'

NOTES TO EDITORS

Text of the Bill

Council Tax Benefit (Change of Name)

Bill to change the name of Council Tax Benefit to Council Tax Rebate; and for connected purposes.

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