Can I Get a Council Tax Discount in England?

Who this guide is for

People in England who pay council tax, or live with someone who does, and want to know about discounts, exemptions, help on a low income and how to challenge a bill.

What this guide does not cover

• Wales or Scotland: see the Wales guide or the Scotland guide.
• Northern Ireland: there is no council tax. Homes pay domestic rates, run by Land and Property Services: see nidirect: A guide to rates.
• Council tax arrears, liability orders and bailiffs: see the debt help guide for England and Wales.
• How much your bill is, and how much Council Tax Reduction you would get: each council sets these. Ask your council.
• How to challenge your council tax band: this guide names the route only. Ask the Valuation Office.

What the rules depend on

1. Where is the home? England: this guide. Wales and Scotland have their own guides. Northern Ireland has rates, not council tax.
2. How many adults (18 or over) live there as their main home? One: a single person discount. Two or more: see who is not counted.
3. Is anyone not counted (disregarded)? For example a full-time student, a student nurse or someone who is severely mentally impaired.
4. Is anyone disabled? See the Disabled Band Reduction Scheme and the rules on severe mental impairment.
5. Is the household on a low income or claiming benefits? Apply for Council Tax Reduction.
6. Is the home empty, or a second home? See "Second homes and empty homes".

Who is not counted (disregarded)

A full council tax bill is based on at least 2 adults living in a home. Spouses and partners who live together are jointly responsible for paying the bill. You are not counted if you are:

• under 18
• on certain apprentice schemes
• 18 or 19 and in full-time education
• a full-time student at college or university
• under 25 and funded by the Education and Skills Funding Agency
• a student nurse
• a foreign language assistant registered with the British Council
• severely mentally impaired
• a live-in carer who meets the conditions under Carers below
• a diplomat

These are the groups GOV.UK names. Ask your council if you think someone else in your home should not be counted.

Discounts

• You get 25% off your bill if you pay council tax and either live on your own or everyone else in your home is disregarded.
• You get 50% off your bill if everyone living in your household is disregarded.
• You need to apply to your council for a discount or an exemption, even if you are disregarded.
• Apprentices: to show you do not count as an adult, you need a declaration from your employer that you will not be paid more than £195 a week. It must also say that the training leads to a qualification accredited by a body recognised by Ofqual or the Scottish Vocational Education Council.
• If you get a discount by mistake, you must tell your council. If you do not, you could get a fine, and the council may ask you to pay the discount back.

Students

• Households where everyone is a full-time student do not have to pay council tax. If you get a bill, apply for an exemption.
• To count as a full-time student, your course must last at least 1 year and involve at least 21 hours of study a week.
• If you are under 20 and studying for a qualification up to A level, your course must last at least 3 months and involve at least 12 hours of study a week.
• If someone in the household is not a full-time student, there will be a bill, but the household may still get a discount because the students are not counted.

Carers

• A carer is not counted only if all of these apply: they care for someone for at least 35 hours a week on average; they live in the same home as that person; the person is not their spouse, civil partner or partner, and not their own child under 18; and the person they care for is entitled to a qualifying benefit.
• Qualifying benefits: Attendance Allowance (any rate), the middle or highest rate care component of Disability Living Allowance, the daily living component of Personal Independence Payment (either rate), Armed Forces Independence Payment, or certain constant attendance payments (your council has the list).
• The carer does not need to get Carer's Allowance, and income and savings do not matter.
• Paid care workers placed by a council or charity have separate rules: ask your council.
• The person who pays the council tax applies to the council, which may ask for proof of the benefit.

Disabled people

• Disabled Band Reduction Scheme: you may qualify if you live in a larger property than you would need if you or someone who lives with you were not disabled. You must have an extra bathroom, kitchen or other room that you need for the disabled person, or extra space inside the property for using a wheelchair.
• If you qualify, your bill is worked out at the next lowest band: for example, a Band D home pays the Band C rate. A home already in Band A gets 17% off instead.
• The home must be the main home of at least 1 disabled person, adult or child. It does not have to be the person who pays the council tax.
• Severely mentally impaired: you need a certificate from a medical professional, such as your GP, and must be entitled to certain benefits (your council has the list).
• Someone who qualifies as severely mentally impaired gets a 100% discount if they live on their own, or if every other adult in the home is also severely mentally impaired or a full-time student.
• If you live with someone who qualifies as severely mentally impaired, you get 25% off if there are no other adults, or everyone else in the home is disregarded.

Help on a low income: Council Tax Reduction

• Council Tax Reduction (sometimes called Council Tax Support) is applied for through your local council. Each council runs its own scheme.
• You could be eligible if you are on a low income or claim benefits, whether you own your home or rent, and whether you are working or unemployed. Your bill could be reduced by up to 100%.
• What you get depends on where you live, your circumstances, your household income (including savings, pensions and your partner's income), and whether children or other adults live with you.
• If you are pension age, you cannot get Council Tax Reduction if your capital, such as savings, is more than £16,000. This does not apply if you or your partner get the Guarantee Credit part of Pension Credit, because then your capital is ignored.

Second homes and empty homes

• You usually have to pay council tax on a second home (a furnished property that nobody lives in as their main home). Your council decides whether it is a second home, and can give a discount or charge up to 2 times your normal council tax (the second homes premium).
• You usually have to pay council tax on an empty home too. Your council can decide to give a discount.
• If a home has been empty for at least one year, the council can charge extra (the empty home premium). Your council can charge up to 4 times the normal council tax on a home that has been empty for at least 10 years.
• A premium may not apply for up to 12 months if probate (or letters of administration) was recently granted, or the home is being marketed for sale or to rent. Other exceptions include an annex used as part of the main home.
• Some empty homes get no bill for as long as they stay empty. These include the home of someone who has moved into a care home or hospital, the home of someone in prison (except for not paying a fine or council tax), a repossessed home, and a home that cannot be lived in by law.
• If you are selling a home for someone who has died, no council tax is due until probate is granted, as long as the home stays empty. After that, it may be exempt for another 6 months if it is still empty and still in the name of the person who died.

Backdating

• If you qualified for a discount, disregard or exemption earlier but did not apply, ask your council in writing to apply it from the date you first qualified, and give that date. If the council refuses, you can challenge the decision: see Challenging a bill.
• Council Tax Reduction can sometimes be backdated to before you applied. There are time limits, which depend on your age and where you live, so ask for backdating when you apply.
• Pension-age applicants: the national rules let you claim Council Tax Reduction for up to 3 months before you apply, with no reason needed. Working-age backdating is set by each council's own scheme.

Challenging a bill

• Tell your council straight away if you think your home should not be charged, the bill is in the wrong name, the amount is wrong, or a discount or exemption has not been applied.
• You cannot appeal just because you think the bill is too expensive.
• Write to your council saying why the bill is wrong. The council has 2 months to reply. If it agrees, keep paying the amounts on the original bill until the new bill arrives.
• If you disagree with the council's decision, or it does not reply within 2 months, you can appeal to the Valuation Tribunal. It is free, but you pay your own costs.
• You must appeal to the Valuation Tribunal within 2 months of the council telling you its decision, or within 4 months of first writing to the council if it has not replied. A late appeal may be allowed if circumstances beyond your control stopped you.
• To challenge your council tax band, contact the Valuation Office, not the council.

Common situations

• "My son is 19 and at university full time and lives with me": he is not counted, so if you are the only other adult you can apply for the 25% discount.
• "My mum moved into a care home and her house is empty": a home left empty because the owner moved into a care home does not get a bill while it stays empty. Tell the council.
• "My partner moved out and I live alone now": apply for the single person discount and give the council the date they left.

Deadlines

• The council has 2 months to reply to a written challenge.
• Valuation Tribunal: 2 months from the council's decision, or 4 months from your first letter if the council has not replied.

Money figures

• £195 a week: the most an apprentice can be paid to be disregarded (employer declaration).

Traps

• Waiting for a discount to appear: the council only adds it once you apply.
• Thinking one student in the house means no bill: only a home where everyone is a full-time student is exempt.
• Appealing because the bill feels too high: that is not a ground for appeal. Council Tax Reduction may help instead.
• Stopping payments while you challenge the bill: keep paying what the current bill says.
• Keeping a discount after someone moves in: tell the council, or you risk a fine and paying it back.