Reduce your Council Tax

I am on a low income

Council Tax Support (also known as Council Tax Reduction) is a Scheme to help people on a low income pay their council tax bill, by reducing the amount they have to pay.

Each local Council is responsible for operating their own Scheme so the amount of support given and rules regarding the Schemes may vary across the country.

The amount of Council Tax Support you get will depend on many factors, including:

Your age
Which benefits you receive
Your income
Your savings
Who lives in the property with you
How much council tax you are charged

You can claim Council Tax Support regardless of whether you own your own home or rent, or whether you are working, unemployed or of pension age.

People who are classed as pensioners still need to pay council tax, but may be entitled to claim Council Tax Support. If you receive the Guarantee Credit part of Pension Credit you may even get your council tax paid in full. If you don't get Guarantee Credit but have a low income and less than £16,000 in savings, you may still get some help.

The Council Tax Support Scheme for people of pension age is calculated based on a scheme provided to all Local Authorities by Central government - Councils cannot change the principles of this Scheme.

Exceptional Hardship Fund Policy (EHF)

The Exceptional Hardship Fund offers short term financial help to customers who are in receipt of council tax support but are struggling to pay their council tax charge.

The principles behind the policy is to help people over a 'short-term' crisis when their income does not meet 'reasonable' expenses.

Please see the EHF policy below for more information. If you think you meet the criteria and wish to apply for additional assistance, please phone the Council on 01237 428700 and speak to an advisor who will talk this through with you.

About the Council Tax Support Scheme, for working age customers only from 01/04/2023

To read full details of our 2024/2025 Scheme, please download a copy here Torridge S13A Scheme from April 2024/25 (PDF, 1 MB)

The income bands for 2024/2025 scheme are set out as shown in the table below:

Band	Discount	Passported	Single	Couple	Family with 1 child/young person	Family with more than 1 child/young person
1*	75%	Income support, Jobseekers allowance (income based), Employment & Support allowance (income related) and Universal credit (no earnings)	N/A	N/A	N/A	N/A
Monthly income - Universal Credit with earnings:
2	40%	N/A	£0.00 to £693.33	£0.00 to £866.66	£0.00 to £1,222	£0.00 to £1,668
3	20%	N/A	£693.34 to £866.66	£866.67 to £1,152.66	£1,222.01 to £1,482	£1,668.01 to £1,885
4	10%	N/A	£866.67 to £1,066	£1,152.67 to £1,274	£1,482.01 to £1,716	£1,885.01 to £2,080
5	0%	N/A	Over £1,066.01	Over £1,274.01	Over £1,716.01	Over £2,080.01
Monthly income - Prescribed Incomes as defined within paragraph 1 of schedule 1:
1	40%	N/A	£0.00 to £693.33	£0.00 to £866.66	£0.00 to £1,222	£0.00 to £1,668
2	20%	N/A	£693.34 to £866.66	£866.67 to £1,152.66	£1,222.01 to £1,482	£1,668.01 to £1,885
3	10%	N/A	£866.67 to £1,066	£1,152.67 to £1,274	£1,482.01 to £1,716	£1,885.01 to £2,080
4	0%	N/A	Over £1,066.01	Over £1,274.01	Over £1,716.01	Over £2,080.01

For details of the 2023/2024 Scheme, please see related downloads section below.

The income bands for 2023/2024 scheme are set out as shown in the table below:

Band	Discount	Passported	Single	Couple	Family with 1 child/young person	Family with more than 1 child/young person
1*	75%	Income support, Jobseekers allowance (income based), Employment & Support allowance (income related) and Universal credit (no earnings)	N/A	N/A	N/A	N/A
Monthly income - Universal Credit with earnings:
2	40%	N/A	£0 to £477	£0 to £650	£0 to £1,018	£0 to £1,603
3	20%	N/A	£477.01 to £693	£650.01 to £867	£1,018.01 to £1,235	£1,603.01 to £1,820
4	10%	N/A	£693.01 to £888	£867.01 to £1,062	£1,235.01 to £1,430	£1,820.01 to £2,015
5	0%	N/A	Over £888	Over £1,062	Over £1,430	Over £2,015
Monthly income - Prescribed Incomes as defined within paragraph 1 of schedule 1:
1	40%	N/A	£0 to £477	£0 to £650	£0 to £,1018	£0 to £1,603
2	20%	N/A	£477.01 to £693	£650.01 to £867	£1,018.01 to £1,235	£1,603.01 to £1,820
3	10%	N/A	£693.01 to £888	£867.01 to £1,062	£1,235.01 to £1,430	£1,820.01 to £2,015
4	0%	N/A	Over £888	Over £1,062	Over £1,430	Over £2,015

Key features of the working age banded scheme:

Everyone should pay something.
All claimants will be required to pay a contribution to their council tax. This is achieved by reducing everyone's council tax liability to 75% before any council tax support is calculated
Those living in larger properties will have their Council Tax Support limited to a Band D charge. This means that if you live in a band E, F, G or H the maximum award you can receive will be 75% of a band D charge in the parish you live in
Any household with savings in excess of £6,000 will not qualify for assistance
There are no deductions for any non-dependants living in the household
There are no applicable amounts, instead working age people will receive a % discount based on the above grid, depending on the level of income and the income band they fall into
Income taken into account in the calculation will be earnings from employment or self employment, working tax credits and occupational and personal pensions
Net earned income will be used in the calculation (gross minus tax, national insurance contributions and 50% of any pension contributions)
For those in employment who pay childcare, the standard childcare cost will be applied, up to £175 for one child and £300 for two or more
Backdating will be limited to 6 months and assessed on whether there is 'good cause' to do so

Universal Credit

For people in receipt of universal credit (UC) the following will apply:

Where the UC payment is worked out based on wages, we will still take the wages into account
Deductions from the UC award, such as advance payments, will be added back and included as income

Self Employed

Minimum income floor (MIF) will be applied to people that have been self-employed for more than 12 months and earning less than the National Minimum Wage. The MIF is an assumed level of earnings based on what an employed person would expect to receive in similar circumstances.

This amount shall not be less than 35 hours x national minimum wage or national living wage (depending on the age of the customer). From that there will be a deduction for tax, national insurance and 50% of a pension contribution (if applicable)

How do I claim?

Use the online form to Apply for Housing Benefit and/or Council Tax Reduction

Find out how to claim or how to backdate your claim.

If there has been a reason which stopped or delayed you applying for housing benefit and/or council tax support you can ask for your claim to be 'backdated' so that it starts from an earlier date.

Report a change of circumstances for Housing Benefits and/or Council Tax Reduction