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Council Tax Reduction - are you eligible

This advice applies to Wales

To get a Council Tax Reduction, you have to satisfy the eligibility conditions. This page tells you about the conditions

Do you live in the property

You can only be eligible for a Council Tax Reduction (CTR) if you are resident, or are treated as if you were resident, in the property.

The property must be your sole or main residence, and you must be liable for the council tax bill.

If you occupy more than one property, for example because you have a large family, you may be liable to pay council tax on both properties.

Age

If you are under 18 you are not liable for council tax and so cannot be eligible for a CTR.

Residence rules

To be eligible for a CTR you must usually:

  • have the right to reside, and
  • not be subject to immigration control, and
  • satisfy, or be exempt from, the habitual residence test (which can apply to British citizens).

You will have the right to reside for CTR purposes if you are a worker, or self-employed person, or a family member of such a person.

You are also eligible if you:

  • have refugee status
  • have humanitarian protection
  • have discretionary leave to remain, granted outside the immigration rules
  • are a Crown servant or member of the forces posted overseas.

From 1 April 2014, you will also be eligible if you:

  • have leave to remain under the Destitution Domestic Violence concession
  • have leave under the Displaced Persons (Temporary Protection) Regulations 2005
  • are a Croatian national and are treated as a worker under the worker authorisation scheme
  • are a national of a country that has ratified the European Social Charter (ESC), or the European Convention on Social and Medical Assistance (ECSMA), and you are lawfully present in the UK and habitually resident in the Common Travel Area
  • are on income-based Jobseeker’s Allowance (but see next paragraph), Income Support or income-related Employment and Support Allowance.

From 1 April 2015, EEA nationals who are receiving income-based jobseeker's allowance will no longer be eligible for a CTR unless they have a right to reside other than as a jobseeker or as a family member of a jobseeker. However, people who were entitled to a CTR and income-based jobseeker's allowance on 31 March 2015 will continue to be entitled to a CTR until they stop being entitled to income-based jobseeker's allowance or make a new claim for a CTR, whichever is earlier.

Do you have too much capital?

If you have too much capital, you will not be entitled to a CTR. Capital means things like savings and some types of property. If you are part of a couple or a polygamous marriage, the capital of both, or all, of you is taken into account.

There are special rules if you are in a polygamous marriage and there is an award of Universal Credit.

If your capital is over £16,000 you are not entitled to a CTR unless you get the guarantee credit part of pension credit.

Students

If you are a student, special rules apply to you

Next steps

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