Council tax: Many are eligible for a discount which could help save £1,000s – are you? | Personal Finance | Finance


How much council tax a person pays depends on their local authority and the band that their home is assigned to. There are eight council tax bands, ranging from A to H. A is the lowest band with the lowest charges and H attracts the highest charges. Every local authority runs its own discount scheme, which means applicants need to apply directly through their council in order to get a reduction.

It’s possible to get anywhere between 25 percent and 100 percent, where a person would not pay anything at all, off a council tax bill.

However, the size of discounts can vary depending on each individual council in the UK.

People who live alone can get a discount of 25 percent off their council tax bill, regardless of their financial circumstances.

This is because the full bill is calculated assuming there are two or more people living in each home.

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People may be able to get a discount if they live with someone under the age of 18 years or is a full-time student or student nurse.

This is because council tax isn’t calculated for these groups. Some councils also include apprentices or trainees in this category also.

Households which are fully occupied by students do not have to pay council tax. Households may need to register as exempt if the property is not already registered as student accommodation.

Someone who is a carer, paid or unpaid, and lives in a household with the person to whom they provide care for at least 35 hours a week may also be disregarded for council tax purposes.


However, this does not apply if the person receiving care is the partner of the carer, or is the carer’s child aged under 18 years.

To get the reduction, the person being cared for must be claiming Attendance Allowance or Constant Attendance Allowance, Disability Living Allowance (DLA), Personal Independence Payment, or a disablement pension.

It is noted that carers do not need to be claiming Carer’s Allowance to receive the discount.

People who suffer from a “severe mental impairment” such as Alzheimer’s, Parkinson’s, severe learning difficulties, or who has had a stroke, or lives with someone who suffers from one could receive a discount on their bill.

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To qualify, the person will need to be both medically certified as having an SMI, and be getting at least one of several certain benefits.

If a person, or their partner, receives the “guaranteed” part of Pension Credit, their household could be eligible for a full reduction on their council tax bill.

However, this is part of the council tax support scheme, rather than a discount.

If someone gets the “savings” part of Pension Credit, then they may also be eligible for a reduction.

This won’t be a full reduction however and how much they will get will depend on how much you have in savings.

Britons who are on a low income or claim certain benefits such as Universal Credit can qualify for a 100 percent reduction on their council tax bill.

The reduction is part of the Government’s council tax support scheme and it doesn’t matter if a person owns the property or rents or whether or not they are employed.

The reduction is based on where a person lives and their circumstances such as income, number of children, benefits and residency status.

A person’s income includes things such as earnings, partners are included, savings, and pensions.

People are able to contact their local council to find out more information on the discounts that are offered and their criteria of them.

If people are not sure of their local council, then they can find out by using the Government’s Apply for a Council Tax Refund Tool on GOV.UK and enter their postcode.

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