Decision Maker: Cabinet

Outcome: Recommendations Approved

Is Key Decision?: Yes

Is Callable In?: No

Date of Decision: May 6, 2025

Purpose: Cabinet is recommended to approve the request to consult on the proposed reduction to the MIG uplift.

Content: Cabinet:   (1)          agreed that a consultation should be carried out on the proposed changes to the Fairer Contributions Policy discretionary uplift applied to the Minimum Income Guarantee, as set out in paragraph 3.14 of the report; and   (2)          noted that analysis of the consultation will be undertaken, and the outcome and recommendations will be brought back to Cabinet for decision in November 2025.     Options & Alternatives Considered   No change: Do not proceed with the public consultation and maintain the current policy which includes a 25% discretionary uplift to the Minimum Income Guarantee. This is not considered a viable option due existing financial pressures on the Council’s financial sustainability.   Two alternative options were considered as part of this review: ·         Consulting on an immediate reduction of the discretionary uplift to the Minimum Income Guarantee from 25% to 5%, and ·         Consulting on the immediate removal of the discretionary uplift, aligning support with the national Minimum Income Guarantee levels   These options were not considered feasible. While they could generate income for the Council, they would not provide a sufficient transitional period for residents. Implementing such changes immediately could result in significant financial pressures and increase the risk of hardship for those affected.   Proposed Option: Proceed with a public consultation on the potential phased reduction of the discretionary uplift of the Minimum Income Guarantee from 25% to 10% initially, and further reduction to 0% in subsequent year. This consultation would enable an assessment of the impact to residents and explore how a managed transition could be supported if changes were implemented. The consultation process would help determine the feasibility and implications of this approach while ensuring that residents views are taken into account.