What is a Council Tax reduction and how to claim it

A Council Tax reduction can help if you have little or no income to pay your Council Tax. We will not pay money to you but we will credit your Council Tax account. This will reduce the amount you have to pay.

The amount of Council Tax you pay will depend on your income.

The rules for a Council Tax reduction are different for people who are working age and people who have reached state pension age.

If you are of working age, Council Tax reduction is a maximum of 75.5%. This means if your annual Council Tax bill is £1,000, you could get up to a £755 Council Tax reduction. The scheme will provide 100% protection to pensioners.

You could be entitled to a Council Tax reduction if you or your partner:

• have no more than £6,000 in combined savings if you are working age, or no more than £16,000 in combined savings if you are a pensioner
• are responsible for paying the Council Tax for the property you live in

Who can't get a Council Tax reduction

You can't get a Council Tax reduction if we decide:

• you're a person who is excluded from our scheme because you are considered as either not being in Great Britain or a person who is subject to immigration control
• you're a full-time student who falls into a category of students that is excluded from our scheme

We will work out your Council Tax reduction using a scheme decided by the Government. We could reduce your bill by up to 100%.

You can’t get a Council Tax reduction if you have more than £16,000 in capital or savings, unless you get pension guarantee credit.

If you are of working age we will work out your Council Tax reduction using our income banded scheme. The amount of reduction you get depends on your net earnings.

This table explains how a household's net earnings place them into an income band. This income band sets the percentage of Council Tax reduction you will receive.

Income bands for 2025/26

Protected groups

Households with a disabled child in receipt of a disability benefit will fall into the protected group and will be protected by a minimum Council Tax reduction award of 65%.

You can’t get a Council Tax reduction if you have more than £6,000 in capital or savings.

You’ll need to log in to or register for MyAccount to apply for a Council Tax reduction. MyAccount is a quick and safe way to manage your benefits online.

Once you’ve logged in to MyAccount you’ll need to choose 'Benefit services' to apply for a Council Tax reduction.

The application process will tell you if you are entitled and how much you might receive. Your benefit will usually start from the Monday after we receive your claim.

We’ll write to let you know how much you have been awarded and how we have worked it out. We’ll credit your Council Tax account with the total amount awarded and you will receive a new Council Tax bill showing the revised amount.

If your circumstances change and there is an overpayment, your Council Tax account will be amended and you will receive a new Council Tax bill.

Claims for a Council Tax reduction can be backdated for one month.

All pensioner claims are backdated automatically for three months from the date the form is completed.

We have set up a hardship fund to make sure where there is exceptional need, extra help towards your Council Tax may be awarded. 

Please see our dedicated webpage for more information.