Dorset Council Tax Hardship Fund: How Section 13A Discretionary Relief Works

What the Hardship Fund Is

Section 13A(1)(c) of the Local Government Finance Act 1992 gives Dorset Council the power to reduce or wipe any individual's council tax liability by up to 100% in exceptional circumstances. This is the discretionary hardship fund — a safety net for people whose income sits just above the standard Council Tax Reduction thresholds or who face a crisis that makes paying even a reduced bill impossible.

It's strictly a fund of last resort. Dorset Council will only consider your application after every other discount, exemption, and standard CTR entitlement has been claimed.

Who Can Apply

You don't need to be on benefits. The criteria are about demonstrating genuine hardship:

1. All statutory discounts and standard CTR have already been claimed
2. You've taken reasonable steps to meet your council tax liability
3. You hold no disposable capital, savings, or non-essential assets that could cover the debt
4. Severe hardship would result if financial relief were withheld

Common scenarios: a sudden drop in income from redundancy or serious illness, a domestic crisis, or circumstances where your income sits just above the Band 5 ceiling (£245/week for a single person, £323/week for a couple) and you can't absorb the full bill.

How to Apply

Apply in writing by letter or email to [email protected].

You'll need to include:

• A detailed household income and expenditure statement
• Recent bank statements (typically 3 months)
• Supporting evidence of the hardship — medical reports, redundancy notice, debt advice schedules, or whatever demonstrates your specific circumstances
• Confirmation that you've already applied for standard CTR and any other relevant discounts

Be specific about why you can't pay. A generic "I can't afford it" won't get far. The assessor needs to see your actual numbers and understand what changed.

What Happens Next

Dorset Council reviews the application and decides whether to grant relief and how much. The award is discretionary — there's no automatic right to it, and the amount varies.

If the application is rejected, you can request an internal review by a more senior officer. If you're still dissatisfied after the review, you have the right to appeal to the Valuation Tribunal for England (VTE) within two months of the review decision.

Hardship Relief and Standard CTR: The Order of Calculation

Dorset Council applies reliefs in a fixed sequence: statutory exemptions and re-bandings first, then personal discounts (like the single person 25%), then CTR, and finally Section 13A hardship relief. The hardship element only applies against whatever's left after everything else has been calculated.

This means you could receive, say, 60% CTR on a Band D bill, and then Section 13A relief on the remaining balance if your circumstances warrant it.

For the full evidence checklist and hardship application guidance, the Dorset Council Tax Reduction guide covers the complete process.

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