Council's cash boost to the needy

The council will look at how to develop the scheme if the situation worsens

Low income families struggling to meet increasing costs of living are set to receive a tax rebate in the first such move by a council in England.

Essex County Council is finalising details of a scheme to give council tax rebates to those most in need.

A council spokesman told the BBC News website it was working with the Department for Work and Pensions to identify those most in need.

He said details of the scheme should be announced in the coming weeks.

Those set to benefit include low-income families, some pensioners and other vulnerable groups who are being hardest hit in the economic downturn although the exact number of people to benefit has yet to be finalised, the council said.

Innovative authority

The scheme is being funded from the authority's own financial reserves.

The spokesman added: "Essex is an innovative local authority and we try to recognise what is important to our residents.

"It wouldn't be a permanent fixture... but we will look at how we could tailor it if the economic situation gets worse.

"We understand people's pain and we want to do our bit."

The spokesman said other local authorities had been in touch with Essex to find out more about the plans.

It comes as the council prepares to reopen its first post office after stepping in to take over a number which were earmarked for closure.