Skip to main content

SponsoredBuild your website with Vincony

Disclaimer: This is not legal advice. Legislation and case law change. Always consult a qualified solicitor for your specific situation.

UK Law Reference
Full glossary
Legal term
Welfare

Council Tax Reduction

A discount on a council tax bill for people on a low income or claiming benefits, administered by each local council under its own scheme (sometimes called Council Tax Support). A bill can be reduced by up to 100%.

Independent editorial summary — not the official statute text. Read the official version on legislation.gov.uk.

The scheme is locally run rather than nationally standardised: applicants must 'apply to your local council for Council Tax Reduction (sometimes called Council Tax Support)', and 'each council runs its own scheme.' Eligibility is need-based rather than tied to employment status: 'You could be eligible if you're on a low income or claim benefits', and 'You can apply if you own your home, rent, are unemployed or working.' The potential saving is significant: 'Your bill could be reduced by up to 100%.'

Because each council sets its own rules, the amount awarded depends on a wider set of circumstances than income alone. Guidance lists the relevant factors as 'where you live', 'your circumstances (for example income, number of children, benefits, residency status)', 'your household income - this includes savings, pensions and your partner's income', and whether 'your children live with you' or 'other adults live with you.' A separate scheme applies in Northern Ireland.

Related terms

Official sources

This explanation is drawn from the official sources below; every substantive statement is verified against them. For advice on a specific matter, see our find help page.