A council tax clampdown is expected to cost Wokingham Borough Council some £12,000 in fees to a private software company, it can be revealed. But council officials hope the move will rake in much more in currently unpaid tax.

Wokingham Borough Council announced this week it would launch a “review” of people claiming single person discount on their council tax. The 25per cent discount is for people aged 18 and over living alone in their main home.

The council also said it had contracted NEC Software Solutions to carry out the review – at a likely cost of around £12,000. But it says a previous review in 2020 resulted in £330,000 extra council tax being collected.

As part of the review the council will send letters to discount claimants asking if their circumstances have changed. Some 19,000 people in Wokingham borough currently claim the discount.

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Councillors say the clampdown is necessary as its budget is squeezed by a combination of high inflation and low government funding.

Councillor Imogen Shepherd-DuBey, responsible for finance, said: “We are under severe financial pressure due to out-of-control inflation and increasing demand for support for people in need.

“We need to make sure we are fair and that help is directed where it is needed. As such we felt it was time to review the single person’s discount and make sure our records are up to date.

“Council tax income is critical to fund essential services which benefit all our residents so it’s important we make sure households contribute their fair share.”