Thousands could be missing out on a Council Tax bill reduction – the key benefits you need to claim explained
THOUSANDS of pensioners could be missing out on Council Tax discounts – here’s how to check if you could reduce your bill.
If you are on a low income or receive certain benefits, you
might be able to claim a Council Tax reduction.
Council Tax is paid to local authorities with the amount you pay based on the value of the property you live in.
The average Band D Council Tax set by local authorities in England currently stands at £2,171.
The highest possible council tax is for people who live in Band H properties in Rutland, who are charged a hefty £5,087 each year.
While councils have the authority to set their own reduction terms, they all use the same scheme for people over the state pension age.
And, if you’re eligible you could claim to reduce your Council Tax payments, whether you rent or own your home and whatever your employment status.
The reduction could make a big difference and charity Age UK has urged pensioners to check and see if they might be eligible for a reduction.
How much could you save?
There are several factors that can influence the level of the reduction you could claim, including your age, income, savings, the benefits you receive, those living in your household and how much Council Tax you pay.
Benefits including Attendance Allowance, Disability Living Allowance, Personal Independence Payments and Carer’s Allowance could all increase the size of the reduction you could claim.
And, those that receive the Guarantee part of Pension Credit may be exempt from paying Council Tax entirely.
If you receive Pension Credit, but not the Guarantee part, you may still be able to reduce your bill if you’re on a low income and have less that £16,000 in savings.
As well as reductions specifically for those of state pension age, there are other discounts and exemptions available.
Those who live alone will be eligible for the 25% single person discount.
Even if there are other adults in your home, you might still be entitled to the 25% reduction, as some groups of people are ‘disregarded’ for council tax purposes.
Those ‘disregarded’ include anyone under the age of 18, those in full-time education or certain apprenticeship schemes, live-in carers and those with severe mental impairments.
And if everyone in the household – including you – is disregarded, you get a 50% reduction in Council Tax.
Other discounts could be available if the following apply:
- Someone in your household has a severe mental impairment such as dementia or learning difficulties
- Someone in your household is a carer
- Someone in your household has a disability that has required home adaptations
- Your home is empty – for example if you’re in hospital or have moved into a care home
- Your main residency is elsewhere
- You live with someone who is not your partner and is on a low income
How to apply
Applications can be made through your local council.
The government locator tool can be used if you’re unsure what council area you live in.
To qualify for certain discounts and exemptions you may need to provide supporting material such as a doctor’s letter.
If you require assistance Age UK can provide support.
If your application for a reduction is turned down you can appeal the decision.
And, if your appeal is unsuccessful, you can make a further appeal
to the Valuation Tribunal for England.
If all attempts are unsuccessful and you do find yourself struggling to pay your bill, you may also be able to get a deferral or speak to your council about setting up a payment plan to manage the cost.
But one thing to remember is if you are struggling you should contact your council as early as you can.
What council tax support is available?
THERE are several ways you can get discounts and reductions on your council tax bill.
In some cases, you can even get the bill completely wiped with a council tax reduction.
Factors such as your household income, whether you have children, and if you receive any benefits, will influence what you get.
To apply, visit https://www.gov.uk/apply-council-tax-reduction.
You’ll need your National Insurance number, bank statements, a recent payslip or letter from the Jobcentre, and a passport or driving licence when filling out the details.
Below, we reveal all the ways you can get discounts or a reduction on your bill:
Single person discount
If you live on your own, you can get 25% off your council tax bill.
This also applies if there is one adult and one student living together in a property, or if there is one adult and one person classed as severely mentally impaired in the home.
If you live with someone who doesn’t have to pay council tax, such as a carer or someone who is severely mentally impaired, you could get a larger reduction too, of up to 50%.
And, if you live in an all-student household, you could get a 100% discount.
Retirees
Pensioners may also find themselves eligible for a council tax reduction.
If you receive the Guarantee Credit element of Pension Credit, you could get a 100% discount.
If not, you could still get help if you have a low income and less than £16,000 in savings.
And a pensioner who lives alone will be entitled to a 25% discount too.
Low-income households
If you are on a low income or receiving benefits, you could be eligible for a reduction on your council tax.
Whether you are eligible will vary depending on where you live.
You could also get a deferral if you’re struggling to pay your bill, or you can speak to your council about setting up a payment plan to manage the cost.
But one thing to remember is if you are struggling you should contact your council as early as you can.
Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.
Plus, you can join our Sun Money Chats and Tips Facebook group to share your tips and stories