Who has to pay Council Tax?
If you own a property, you’ll be required to pay Council Tax. However, there are some circumstances that could mean you’ll be eligible for a discount, and we’ll explore these in more detail further down the page.
Do I need to pay Council Tax if I rent?
The answer to this question is typically yes; if you live in a rented property in the UK, it’s likely that you’ll be responsible for covering the cost of Council Tax, unless your landlord has specified otherwise.
Who can get a discount on Council Tax?
- Single Person Discount
Are you the only person over the age of 18 living in your property? If so, you’re eligible for a 25% reduction on your Council Tax. - Disregarded
If you or someone in your household is ‘disregarded’, you could be entitled to apply for a Council Tax reduction. We’ll look into the factors that class someone as disregarded in the section below. If everyone living in your property is disregarded, you could get 50% off your bill.
Who is disregarded from paying Council Tax?
When calculating how many people live in a property, certain circumstances may mean that someone is ‘disregarded’. If you or someone you live with is disregarded, you could get a discount on your Council Tax.
You could be disregarded if you’re:
- Severely mentally impaired; for example, you have dementia.
- A live-in carer for someone who is not your partner, spouse, or child under the age of 18.
- Under the age of 18.
- Between the ages of 18 and 19 and in full-time education.
- Under the age of 25 and receiving funding from the Education and Skills Funding Agency.
- On certain apprentice schemes. Please note that you’ll need to provide a declaration from your employer saying that the training you’re undergoing will lead to an accredited qualification, and that while training, you will not be paid more than £195 a week.
- A full-time student at college or university.
- A student nurse.
- A diplomat; or
- A British Council registered foreign language assistant.
Can I get a Council Tax discount if I claim benefits?
If you claim benefits, you could be eligible for a Council Tax reduction of up to 100%. This will depend on your local council, however, as well as your circumstances including your personal and household income, and the benefits you claim.
Could I get a Council Tax discount if I’m on a low income?
You could be eligible for a discount on your Council Tax if you’re on a low income. Again, this will depend on your local council, income, and household income, if you live with others.
How to check your Council Tax band
If you live in England or Wales, you can check your council tax band on the Gov.UK website. If you live in Scotland, your council tax band can be found here.
| Band | England: Property value as of April 1, 1991 | Scotland: Property value as of April 1, 1991 | Wales: Property value of April 1, 2003 |
|---|---|---|---|
| A | Up to £40,000 | Up to £27,000 | Up to £44,000 |
| B | Between £40,001 & £52,000 | Over £27,000 & up to £35,000 | Between £44,001 & £65,000 |
| C | Between £52,001 & £68,000 | Over £35,000 & up to £45,000 | Between £65,001 & £91,000 |
| D | Between £68,001 & £88,000 | Over £45,000 & up to £58,000 | Between £91,001 & £123,000 |
| E | Between £88,001 & £120,000 | Over £58,000 & up to £80,000 | Between £123,001 & £162,000 |
| F | Between £120,001 & £160,000 | Over £80,000 & up to £106,000 | Between £162,001 & £223,000 |
| G | Between £160,001 & £320,000 | Over £106,000 & up to £212,000 | Between £223,001 & £324,000 |
| H | Over £320,000 | Over £212,000 | Between £324,001 & £424,000 |
| I | NOT APPLICABLE IN ENGLAND | NOT APPLICABLE IN SCOTLAND | Over £424,000 |
Source: https://www.gov.uk/guidance/understand-how-council-tax-bands-are-assessed / https://www.saa.gov.uk/council-tax/council-tax-bands/
How is Council Tax calculated on a new build?
In England and Scotland, the Council Tax band of a new build will be based on the 1991 value of a similar property. In Wales, it will be the 2003 valuation.
The builder will share information about the property, such as its location, size, and layout, with the council, who will then contact the Valuation Office Agency (VOA).
What to do if you think you’re in the wrong Council Tax band
You can challenge your Council Tax band if you believe it’s incorrect.
If you have legal right to challenge your band, it’s known as ‘making a proposal.’
You have a legal right to challenge your Council Tax band if:
- You’ve been paying Council Tax on your property for less than 6 months; or
- Your Council Tax has been changed by the Valuation Office Agency (VOA).
If you’ve been living in your property for more than six months or you suspect that your band is wrong, you can ask for a band review. You’ll need to provide evidence for your claim, such as highlighting up to 5 nearby similar properties in a lower band.
How to challenge your Council Tax band
Whether you have a legal right to or not, you can start the process of challenging your Council Tax through the Gov.UK website here.
Will I get a refund if I’ve been in the wrong Council Tax band?
If it’s confirmed that your property is in the wrong band and you have been overpaying on your Council Tax, you could be entitled to a refund. How much you’re refunded will depend on several factors, including how long you’ve lived in the property.
Want to talk to someone about money?
Please know that if you’re worried about money or debt, you can get free, impartial and confidential advice through the following charities and organisations: StepChange, MoneyHelper, Citizens Advice, and National Debtline.
