Martin Lewis has urged Britons to check with their local council if they are eligible for a council tax reduction of up to 100 percent.
On his Wallet Wednesday segment on Good Morning Britain yesterday, the finance expert shared how those on benefits can make huge savings.
Britons receiving means-tested benefits could be eligible for a council tax reduction between 25 percent and 100 percent, but many people do not know about it.
Mr Lewis said: “This one is a big one. Each council does it differently.
“In some councils, you won’t pay any council tax at all.”
People could be eligible if they’re on a low income or claim benefits such as Universal Credit and Pension Credit. Their bill could be reduced by up to 100 percent.
They can apply if they own their home, rent, are unemployed or working.
The money saving expert continued: “The big point here is that you must apply for this separately from your Universal Credit and Pension Credit applications.
“People don’t know it’s available, they don’t know they need to apply that’s why three million are missing out. You apply via your local council.
“If you are on means-tested benefits then you might want to speak to your council to find out if you’re one of the three million people who could be getting this help and aren’t.
“It’s staggering this, isn’t it?”
The amount of council tax discount someone gets will depend on their individual circumstances.
What someone gets depends on:
- where they live – each council runs its own scheme
- their circumstances (for example income, number of children, benefits, residency status)
- their household income – this includes savings, pensions and your partner’s income
- if their children live with them
- if other adults live with them
Britons might get a discount automatically on their council tax bill, however, if they’re not sure they can contact their local council to find out their eligibility requirements.
If someone has not got the discount automatically, they still might still be entitled to one. It depends on who lives on the property.
On the Money Saving Expert website, Martin Lewis and the team explain the amount of council tax one pays depends on the number of ‘qualifying adults’ are in the property.
Two or more qualifying adults in a household means that no discount applies, and the full council tax is due.
One qualifying adult in a household means that a single-person discount applies, equivalent to 25 percent off the council tax bill.
No qualifying adults in a household results in either a discount of 50 percent or a 100 percent exemption, depending on exactly who lives in the property.
It should be noted that having no qualifying adults is not the same as when a property is unoccupied.
Certain people don’t qualify to pay council tax as they are ‘disregarded’.
This includes children, full-time students, adults considered to be ‘severely mentally impaired’ (SMI), live-in carers and Ukrainian refugees.
Good Morning Britain continues tomorrow on ITV at 6am.
