Council Tax Support Calculator 2025/26
Check your eligibility for council tax reduction — also known as council tax benefit or housing benefit for council tax
What is Council Tax Support (CTS)?
Council Tax Support (CTS) — also called Council Tax Reduction (CTR) — is a local discount scheme that helps people on low incomes pay their council tax bill. It replaced the old Council Tax Benefit in April 2013 when the government moved responsibility from the Department for Work and Pensions (DWP) to local authorities in England.
Before 2013, Council Tax Benefit was a national scheme with consistent rules across the country. Today, every council in England runs its own working-age scheme, which means eligibility criteria, maximum support levels, and income thresholds differ significantly from one area to another. Wales and Scotland have more nationally consistent arrangements — Wales introduced a unified scheme in 2023, and Scotland maintained a broadly consistent scheme throughout.
How CTS Differs from the Old Council Tax Benefit
The abolition of Council Tax Benefit in 2013 had a significant impact on working-age claimants. Under the old national scheme, eligible households could receive up to 100% of their bill covered. Under the new localised schemes, many English councils cap working-age support at 70–80% of the bill — meaning even the lowest-income working-age households must pay at least 20–30% of their council tax. Pension-age claimants are protected by a national scheme that still mirrors the old rules, ensuring they can receive up to 100% support.
Council Tax Support vs Housing Benefit
These are two separate schemes that are sometimes confused. Housing Benefit helps low-income households — primarily older claimants and those in temporary accommodation — pay their rent. It is also administered by local councils but funded by the DWP. Working-age claimants renting privately should now claim the housing element of Universal Credit instead of Housing Benefit. Council Tax Support is specifically for your council tax bill and remains a local authority responsibility — it is not part of Universal Credit.
Who Qualifies for Council Tax Support?
Eligibility depends on your age, income, savings, household circumstances, and the specific rules of your local council. Below are the main qualifying groups.
Pension-Age Claimants (National Rules)
If you or your partner have reached State Pension age (currently 66), you are assessed under the national Council Tax Support scheme, which follows rules similar to the old Council Tax Benefit. Key rules for pension-age claimants:
- Pension Credit Guarantee recipients — eligible for up to 100% council tax reduction, regardless of their council's working-age scheme
- Income assessed using means-test including applicable amounts, personal allowances, and capital rules
- Savings between £10,000 and £16,000 are treated as generating assumed income (tariff income), reducing your entitlement
- Savings over £16,000 disqualify you (unless you receive Pension Credit Guarantee)
- Non-dependant deductions apply if working-age adults live with you
Working-Age Claimants (Local Council Schemes)
Each English council sets its own rules for working-age claimants. However, you are generally more likely to qualify if you:
- Receive Universal Credit, Employment and Support Allowance, Jobseeker's Allowance, or Income Support
- Have a weekly income below your council's applicable amount (typically £150–£350/week depending on household size)
- Have savings below £6,000 (working-age capital limit, though this varies)
- Are responsible for a child or have a disability
- Are a lone parent
Who Does Not Qualify?
- People with savings or capital above £16,000 (pension age) or £6,000–£16,000 (working age, depending on council)
- Full-time students (who are already exempt from council tax)
- People with incomes significantly above their council's applicable amount
- Non-UK nationals subject to immigration control (with some exceptions)
Council Tax Bands England 2025/26 — Estimated Annual Bills
Your property's council tax band was set using 1991 property values in England and Scotland (2003 in Wales). The Band D rate is set annually by your local authority, and all other bands are calculated as a fraction of Band D.
| Band | 1991 Property Value | Fraction of Band D | Typical Annual Bill (England) | Typical CTS Saving (80% reduction) |
|---|---|---|---|---|
| A | Up to £40,000 | 6/9 | £1,200 – £1,600 | £960 – £1,280 |
| B | £40,001 – £52,000 | 7/9 | £1,400 – £1,900 | £1,120 – £1,520 |
| C | £52,001 – £68,000 | 8/9 | £1,600 – £2,200 | £1,280 – £1,760 |
| D | £68,001 – £88,000 | 9/9 (standard) | £1,900 – £2,600 | £1,520 – £2,080 |
| E | £88,001 – £120,000 | 11/9 | £2,300 – £3,200 | £1,840 – £2,560 |
| F | £120,001 – £160,000 | 13/9 | £2,700 – £3,800 | £2,160 – £3,040 |
| G | £160,001 – £320,000 | 15/9 | £3,200 – £4,300 | £2,560 – £3,440 |
| H | Over £320,000 | 18/9 | £3,800 – £5,200 | £3,040 – £4,160 |
Estimated bills based on average English Band D rate of approximately £2,171 (2025/26). Actual amounts vary significantly by council — London boroughs average £1,100–£1,600 while some northern councils charge over £3,000 for Band D. Source: MHCLG Council Tax Statistics.
How to Apply for Council Tax Support
You apply for Council Tax Support directly to your local council, not to the DWP or HMRC. The process varies by council but most now offer online applications. Here is what to expect:
- Find your local council — Use the GOV.UK council tax reduction tool to find your council's application page.
- Gather your documents — You will typically need: proof of identity, National Insurance number, bank statements (last 3 months), payslips or benefit award letters, and tenancy agreement or mortgage documents.
- Complete the application — Most councils offer an online form. The application usually takes 20–45 minutes. Some councils allow a single application for both Council Tax Support and Housing Benefit.
- Decision timescale — Councils must make a decision within a reasonable time, typically 14–28 days. If you are awarded CTS, it is usually backdated to the date you applied (or, in some cases, to the start of the relevant financial year).
- Annual renewal — Most councils require an annual review of your circumstances. Some link your CTS entitlement directly to your Universal Credit award and review it automatically.
Scotland — Scottish Council Tax Reduction Scheme
Scotland operates a nationally consistent Council Tax Reduction (CTR) scheme set by the Scottish Government. Unlike England, all Scottish councils follow the same core rules for working-age claimants, meaning you get the same level of support regardless of which Scottish council area you live in. The Scottish scheme:
- Has no minimum payment requirement — working-age claimants can receive up to 100% reduction
- Has a higher savings disregard for working-age claimants
- Uses the same applicable amounts framework as pension-age national rules in England
Apply via your Scottish local council website, or find your council at mygov.scot/council-tax-reduction.
Wales — Council Tax Reduction Scheme
Wales introduced a revised national Council Tax Reduction scheme in April 2023, creating more consistency across Welsh councils while still allowing some local variation in maximum reduction levels. Welsh councils can set a maximum discount between 80% and 100% for working-age claimants. Apply via your Welsh local council or visit gov.wales for guidance.
Council Tax Reduction vs Council Tax Exemptions and Discounts
Council Tax Support is a means-tested reduction based on income. It is important to distinguish it from other types of council tax discount or exemption:
| Discount/Exemption | Who Qualifies | Typical Saving | Means-Tested? |
|---|---|---|---|
| Council Tax Support (CTS) | Low-income households | 20%–100% | Yes |
| Single Person Discount | Only one adult in property | 25% | No |
| Student Exemption | Full-time students only | 100% if all occupants are students | No |
| Severe Mental Impairment (SMI) | Person with severe cognitive impairment | 100% (if sole occupant), 25% (with others) | No (medical certificate required) |
| Disability Reduction | Disabled person living in adapted property | One band reduction (save £200–£600/yr) | No |
| Empty Property Discount | Unoccupied, unfurnished properties | Varies by council (0–100%) | No |
| Care Leaver Exemption | Care leavers under 25 | Up to 100% (varies by council) | Varies |
Severely Mentally Impaired (SMI) Exemption
A person is "severely mentally impaired" for council tax purposes if they have a severe impairment of intelligence and social functioning as a result of a condition such as Alzheimer's disease, Parkinson's disease, severe stroke, or similar. An SMI person is disregarded for council tax purposes — they do not count as an occupant. If they are the only adult in the property, a 100% exemption applies. If others live with them, those others may qualify for the single-person discount. Both a medical certificate from a GP and proof of a qualifying benefit are required. Many families do not claim this — approximately 200,000 households are believed to be missing out on this exemption in England alone.
What Percentage Council Tax Support Will I Get?
For pension-age claimants the calculation follows national rules. The key factors are:
- If you receive Pension Credit Guarantee: 100% reduction (effectively zero council tax)
- If your income equals your "applicable amount": 100% reduction
- If your income is above your applicable amount: your reduction tapers off at 20p for every £1 of excess income
For working-age claimants in England, each council chooses one of several approaches:
Approach 1: Income Bands (Most Common)
The council defines income bands — for example, Band 1 (income £0–£100/week) gets 80% discount, Band 2 (£101–£200/week) gets 60%, Band 3 (£201–£300/week) gets 30%, Band 4 (over £300/week) gets 0%. This is simple to administer but can create sharp cliff edges.
Approach 2: Income Taper (More Generous)
Similar to the pension-age calculation, the council reduces your entitlement gradually as income rises above an applicable amount. Some councils use a 20% taper (for every £5 of extra income, support reduces by £1), others use a 25% or 30% taper. This approach is fairer but more complex.
Approach 3: Maximum Percentage Cap
Many English councils cap maximum support at 70%, 75%, or 80% of the council tax bill — regardless of how low your income is. Councils reduced maximum support levels after the 2013 reforms to manage their budgets, and most working-age claimants in England must pay at least 20–30% of their bill even on the lowest incomes.
Council Tax Reduction in Scotland — Key Differences
Scotland's Council Tax Reduction (CTR) scheme is set nationally by the Scottish Government under the Council Tax Reduction (Scotland) Regulations. Unlike England, Scottish councils have no power to reduce the maximum level of support, which means:
- Working-age claimants with the lowest incomes can receive up to 100% reduction
- The same income taper and applicable amounts are used across all 32 Scottish councils
- Scottish CTR is more generous on average than English working-age schemes
- Over 480,000 households in Scotland receive Council Tax Reduction
Scottish CTR is still applied and administered locally — you apply to your Scottish council, not to the Scottish Government. For more information: mygov.scot/council-tax-reduction.
Frequently Asked Questions
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Expert Reviewed — This calculator and guide are reviewed by our welfare benefits team and updated with the latest scheme rules. Last verified: February 2026. Sources include GOV.UK, MHCLG, and Citizens Advice.