Council tax is one of the largest fixed household bills in the UK, typically costing between £1,500 and £3,500 per year depending on your property band and local authority. But there are numerous discounts and exemptions that many households miss.

📋 Key points
  • The 25% single person discount
  • Severe Mental Impairment (SMI) exemption
  • Council Tax Support
  • Challenging your band

The 25% single person discount

If you live alone, you are entitled to a 25% discount on your council tax bill — automatically, no questions asked. Contact your local council to apply. If someone else moves out of your property, update your council tax registration immediately.

Students

Full-time students are completely exempt from council tax. If all occupants of a property are full-time students the property is entirely exempt. If some occupants are students and some are not, the students are disregarded for council tax purposes, which can reduce the number of adults counted and lower the bill.

Severe Mental Impairment (SMI) exemption

A person with a severe mental impairment — such as dementia, severe learning disabilities, or certain other conditions — is disregarded for council tax purposes. If the remaining occupants qualify for another discount or exemption this can significantly reduce or eliminate the bill. Many eligible households are unaware of this and miss out.

Council Tax Support

If you are on a low income, you may be entitled to Council Tax Support — a local scheme that reduces your bill based on your income and circumstances. The amount of support available varies by local authority. Apply directly to your local council.

Challenging your band

Properties are assigned a council tax band based on their estimated value in April 1991. Errors exist, and you may be in a band that is too high relative to similar properties in your area. If you believe your band is wrong, you can request a review from the Valuation Office Agency.

Bottom line

Review your council tax bill carefully and claim any discounts you are entitled to. A 25% single person discount alone saves between £400 and £900 per year on a typical bill. Contact your local council to check what discounts apply to your situation.