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Council Tax Discounts & Exemptions

Millions of households are overpaying council tax. There are numerous discounts, exemptions, and reduction schemes that many people never claim — some worth hundreds of pounds a year. Here's everything available.

The single most important thing: If you live alone or are the only adult in your household, you get an automatic 25% discount. Many renters on bills-included tenancies never realise they could be claiming this — check now.

Single Person Discount

If only one adult lives in a property, you're entitled to a 25% discount on council tax automatically. Apply through your local council. If you were single for part of the year, you can claim backdated discount.

Some people are disregarded for council tax purposes, meaning they don't count as a resident. If everyone else in your home is disregarded, you may qualify as if you live alone. Disregarded people include:

  • Full-time students (and student nurses)
  • People with severe mental impairments
  • 18/19-year-olds still in school
  • Care workers and care leavers under 25
  • Apprentices and youth trainees
  • People in prison or detention
  • Members of religious communities

Council Tax Reduction (formerly Council Tax Benefit)

If you're on a low income or receive certain benefits, you may qualify for a Council Tax Reduction (CTR) — up to 100% of your bill in some cases. Apply to your local council. Each council runs its own scheme so eligibility and amounts vary.

You're likely to qualify if you receive:

  • Universal Credit
  • Income Support
  • Income-based JSA or ESA
  • Pension Credit
  • Or have a low income and modest savings

Full Exemptions (Zero Council Tax)

Some properties pay nothing at all:

  • Student households — if all residents are full-time students, the property is fully exempt. Students must provide a certificate from their institution.
  • Empty properties — can be exempt for up to 6 months if the previous occupier has gone into a care home or hospital (note: most councils now charge a premium for long-term empty properties)
  • Properties where all residents are severely mentally impaired
  • Properties left empty after a death — until probate is granted and for up to 6 months after
  • Annexed properties — a granny flat or annexe used by a dependent relative may be 50% discounted or fully exempt

Disability Banding Reduction

If you or someone in your household is disabled and your home has been adapted for their needs (e.g. extra bathroom, extra room for a wheelchair, or a property larger than you'd need otherwise), you may qualify for a disability reduction — paying council tax at the rate of the band below yours.

Second Adult Rebate

If you own or rent your home but share it with another adult who isn't your partner and who is on a low income, you may qualify for a second adult rebate. This is calculated based on the other person's income, not yours.

Challenging Your Council Tax Band

Many properties are in the wrong council tax band. Bands were set in 1991 based on estimated values — mistakes were common. If neighbouring properties of the same size are in a lower band, you may be able to challenge yours.

  • Check neighbouring bands at voa.gov.uk
  • Challenge for free via the Valuation Office Agency
  • If successful, you get backdated refunds from when you moved in
  • If you're rebanded upwards, you only pay the higher amount from the date of the change — so challenging is generally low risk

How to Claim

Contact your local council directly — find them via gov.uk/apply-for-council-tax-discount. Most councils now have online application forms. Be aware that discounts often aren't applied automatically — you need to claim.

Check with Turn2us: The Turn2us benefits calculator includes council tax reduction in its assessment and can tell you if you're missing out.

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