Council tax bills will increase for most people in the region from April 1, with all seven of our local authorities set to hike rates for the coming year.
Councils are restricted to increasing council tax by a maximum of 5% this year in England, and according to the County Councils Network, which represents England's largest councils, around 75% 'top-tiered' councils with social care responsibilities have confirmed plans to hike bills by the full amount in their in their 2023/24 budget proposals. In our region, only Durham County Council has proposed to increase by the full 5%.
Although most have not yet confirmed the proposed increases, plans on the table in the North East are:
- Northumberland County Council: 4.63%
- Durham County Council: 5%
- Newcastle City Council: 4%
- Sunderland City Council: 2.99%
- North Tyneside Council: 4.99%
- South Tyneside Council: 4.95%
- Gateshead Council: No figures available
While the increases are no surprise as council tax bills usually rise each year, the cost of living crisis means already-stretched households will have to cope with another extra cost they can ill afford.
Council tax is classed as a priority bill, which means serious consequences if it is not paid, including imprisonment in serious cases, according to debt charity StepChange.
However, there may be ways you could cut the cost of your bill and it's worth checking every year to see if any of the following apply to you:
1. Are you claiming any discount you are entitled to?
Depending on who you live with, if anyone, you could be entitled to anything from 25% to 100% off your council tax bill. The rules are complicated, and help does vary between local authorities, so it's best to get in touch with your council to see what you could claim.
For example, if you are the only adult living at your address, most councils will give you 25% off your bill, know as Single Person Discount. But you don't have to live alone to get the discount if you are living with someone who is "disregarded". This could be one student or a live-in carer who looks after someone with a disability.
If everyone living in the house is disregarded, the discount could rise to 50% or even 100% if, for example, you live in an all-student household.
2. Are you eligible for Council Tax Reduction Scheme help?
You may be eligible for help through a Council Tax Reduction Scheme (sometimes called Council Tax Support) if you're on a low income or on certain benefits. You could see your council tax bills reduced by as much as 100% depending on your circumstances. Whether you are entitled to help depends on many circumstances, including where you live, who you live with and your household income. As before, each council has their own scheme so the help isn't guaranteed - but it is still worth checking out.
Is your home in the correct council tax band?
If it turns out that you're in the wrong council tax, you could be owed thousands of pounds back - plus you'll pay lower bills going forward. The first step check is to see what council tax band your neighbours are on. You can do this by either asking them or check the bands online at Gov.uk. You'll also need to work out how much your property was worth in 1991, as this is when council tax was launched by the government, before going ahead with your challenge.
MoneySavingExpert has a free calculator tool to help you do this, as well as a table on what band you should have been put in. If you think you’ve got a good case, contact the Valuation Office Agency (VOA) in England and Wales.
Should you be successful, the valuation office will contact you and the band will be changed - and you’ll be due money back. However, a word of warning - do your research first, because if it turns out the band you are in is too low, you'll end up paying more - and your neighbours could be bumped up too.
Now read:
- Newcastle City Council to raise parking fines, council tax, and cut jobs to save £23m in this year's budget
- Ex-Northumberland County Council leader slams successor over budget consultation
- North Tyneside Council approves 4.99% council tax rise from April as authority faced 'significant' challenges
- Family hubs across Gateshead supporting parents and young people set for £3m boost
- At-risk bus routes in Whitley Bay could be saved after petition set up
