Many UK residents could be missing out on significant savings by overlooking their eligibility for a full council tax discount. Official government guidelines reveal that certain individuals and households are entitled to have their bill reduced by up to 100%, meaning they pay nothing at all.
Who is Exempt from Paying Council Tax?
Council tax is an annual charge set by your local authority to fund services like rubbish collection and road maintenance. The amount you pay typically depends on your property's valuation band and your local council's rates. The system assumes at least two adults live in a property, making them jointly liable for the bill.
However, not every adult is counted for this purpose. Some people are officially "disregarded," which can lead to substantial discounts. If you are the only adult who counts in your home, you are entitled to a 25% single person discount. If everyone in the household is disregarded, a 100% discount applies.
Full-Time Students and Apprentices
A household where every occupant is a full-time student is completely exempt from council tax. To be classed as a full-time student, your course must last at least one year and involve a minimum of 21 hours of study per week.
For those under 20 studying for a qualification up to A-level, the course must be at least three months long with 12 hours of study weekly. If you receive a bill in error, you must apply for an exemption through your council. It's crucial to remember that if one person in the home is not a full-time student, a bill will be issued, though a discount may still be available.
Other individuals often disregarded include those under 18, student nurses, certain apprentices, live-in carers for non-family members, and diplomats.
Support for Severe Mental Impairment
Individuals diagnosed with a severe mental impairment may qualify for a significant council tax discount. To apply, you must first obtain a medical certificate from a GP or consultant confirming the condition. You also usually need to be eligible for specific benefits, such as Attendance Allowance or the daily living component of Personal Independence Payment (PIP).
If you qualify as severely mentally impaired, a 100% discount is granted if you live alone, or if every other adult in your household is also severely mentally impaired or is a full-time student. A 50% discount applies if all other adults in the home are disregarded for other reasons.
Council Tax Reduction for Low Incomes
Separate from discounts and exemptions, a Council Tax Reduction (CTR) scheme exists for those on a low income. Sometimes called Council Tax Support, this is a means-tested benefit administered by your local council.
You can apply whether you own your home or rent, and whether you are working or unemployed. Your eligibility and the level of support depend on factors like your household income, savings, the number of children you have, and your benefits status. Your bill could be reduced by up to 100% under this scheme.
It is vital to check directly with your local authority, as each council runs its own scheme with different criteria and levels of support. Your residency status and who else lives with you will also be considered.
To see if you are eligible for any discount, exemption, or reduction, you should visit the official GOV.UK website and contact your local council directly. Millions of pounds in support go unclaimed each year, so it is always worth checking your potential entitlement.
