Council Tax Discounts and Reductions 2026/27

Many households are entitled to a council tax reduction they have never claimed. The single-person discount alone saves 25% - over £500 per year in many councils. Check every category that might apply to your household.

Single-Person Discount

25% off

If you are the only adult resident in your property, you receive a 25% reduction on your council tax bill. One of the most commonly unclaimed discounts.

Student Exemption

Up to 100%

Full-time students are disregarded for council tax purposes. An all-student household pays nothing. A mixed household may still pay less.

Disabled Band Reduction

1 band down

If your home has specific adaptations for a permanently disabled resident, your bill is reduced by one full band. A Band D home is charged at Band C rates.

Severe Mental Impairment

25-100% disregard

If you or a household member has a severe cognitive impairment certified by a GP (Alzheimer's, dementia, severe learning disability), they are disregarded for council tax. Often unclaimed for years.

Council Tax Support

Up to 100%

Means-tested income-based help. Each council runs its own scheme. Low-income households may receive a significant reduction.

Care Leaver Discount

Up to 100%

Care leavers up to 25 (England, Wales) or 26 (Scotland) often qualify for full council tax exemption. England is discretionary by council; Wales and Scotland are national policies.

Annexe Discount

50% or 100%

Annexes used by family members get a 50% reduction. Unoccupied annexes with planning restrictions, or annexes housing elderly/disabled relatives, are 100% exempt.

Care Home Resident Exemption

100% exempt

If you've moved permanently into a care home or hospital, the property you left is exempt from council tax. Three classes apply (E, I, J) depending on circumstances.

Job-Related Second Property

50% off

Tied accommodation (vicars, publicans, school caretakers) and job-required second properties get 50% off. Now also exempt from the new 100% second-home premium.

Empty Property

Varies

Short-term empty properties may receive a discount. Long-term empty properties (1+ years from April 2024) can face a premium of up to 300%.

Second Home Premium

Up to +100%

From April 2025, English councils can charge a 100% premium on second homes. Welsh councils can charge up to 300%. Several mandatory exceptions (job-related, probate, etc).

How to Apply for a Discount

Most discounts and reductions are applied by your local council, not the VOA or central government. You need to contact your council's council tax team and apply. Many councils now have online applications; others require a phone call or paper form.

Discounts are generally not applied automatically. If you believe you qualify and have not claimed, your council may backdate the reduction to the date you first qualified, but this is not guaranteed and varies by council and discount type.

If you receive a discount and your circumstances change (e.g. another adult moves in, a student graduates), you must notify your council promptly. Failure to do so can result in overpayment demands and penalties.

Independent information. Not affiliated with the Valuation Office Agency, any local authority, or Scottish Assessors. Rate data is compiled from published 2026/27 council tax schedules. Not legal or financial advice. Contact your local authority for billing queries.

Updated April 2026. Discount rules vary by council and are updated by central government periodically.

Last verified 5 May 2026 · Sourced from Individual council websites, GOV.UK, ONS, and the Valuation Office Agency

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