People on low incomes in Banbury will receive cost of living support in the coming days

The payments are fully funded by central government grants to Cherwell District Council, so residents will not have to pay anything extra on their Council Tax.

The move follows on from the over £5.5m in £150 energy rebates paid by the council earlier in the year.

Depending on whether they have already received this, all households who get Council Tax Reduction (CTR) will now receive the payments of either £30 or £180.

People will not need to apply for these discretionary payments; they will be paid automatically using the bank account details connected to their Council Tax accounts.

Residents who have previously supplied their bank details to the council for the £150 energy rebates will also be paid the £30 top-up automatically.

For the eligible households who do not pay by direct debit, the same amounts are being added to their Council Tax accounts as credits.

Council Tax payers who don’t already receive CTR but think they may be entitled to it can find out more and apply on the council website at www.cherwell.gov.uk/ctr

Cllr Adam Nell, the portfolio holder for finance, said: “This new round of payments follows on from the £150 Council Tax rebates many households received earlier in the year.

“The idea is that low-income households in bands A – D who receive Council Tax Reduction get that rebate topped up by a further £30 for a total of £180. If you are in bands E – F you won’t have received the initial £150 so you will get the £180 in one single payment.

“We’re distributing over £219,000 to these two groups and if they pay their Council Tax by direct debit it will reach their bank accounts this week. We are acutely aware of the pressure that the increasing cost of living is placing on low-income households and I hope that these payments help towards alleviating that for people on lower incomes in our area.”

For help with your council tax, contact the Cherwell District Council on 01295 227000.