Hull City Council is to reduce council tax by up to £150 per year for low-income households during the coronavirus pandemic.
It will see all 20,000 working age claimants of Council Tax Support in the city re-billed in coming weeks.
It comes after the local authority received £4.25m from the Government, part of £500m handed out nationally to reduce the burden on those who could be hardest-hit by the outbreak.
It means a single person in a Band A property receiving maximum Council Tax Support will reduce annual bills from £174.08 to £24.08, with couples going from £232.11 to £82.11.
Residents who become eligible for Universal Credit and Council Tax Support after losing income as a result of the outbreak will also benefit, with the improved scheme also applying to all new claimants.
New claimants of Council Tax Support will be identified from Universal Credit claims made to the Department for Work and Pensions. They will then be contacted by the council’s revenues and benefits service for more information regarding their claim.
It will not affect the 3.9 per cent increase in charges for council services that was agreed earlier this year.
Councillor Phil Webster, portfolio holder for finance and transformation, said: “In these difficult times, we are doing all we can to support those in the city who are hardest-hit by the coronavirus pandemic.
“We hope this can go some way to ease the financial stress felt by so many people during these unprecedented circumstances.”