People struggling to pay their Council Tax during the cost of living crisis are being encouraged to check if they are eligible for money off their bill. The Council Tax Reduction (CTR) scheme is unique to Scotland and helps people on low incomes save an average of £750 a year on their bill.
Those eligible can also save up to 35 per cent on their water and waste charges. The latest figures published by the Scottish Government show 455,220 recipients received CTR in November 2022, which means around one-in-five households were getting financial support through the scheme.
Even though the Council Tax year starts in April, you can still make a claim now and processing times are typically within four weeks - if not sooner. Public Finance Minister Tom Arthur visited Citizens Advice and Rights Fife this week to meet staff advising people on dealing with the cost of living crisis.
He said: “We know that this cost of living crisis is hammering people on lower incomes and those already living in poverty. It is vital that people know where to go to get advice and support.
“The Council Tax Reduction scheme will celebrate its 10th anniversary in April and Scottish households have saved more than £3 billion on their Council Tax since it was introduced. The support it provides has never been more important and I urge people to check whether they are eligible.”
He added that information can be obtained from your local Citizens Advice Bureau, local councils and the Money Talk Team service promoted by the Scottish Government, as well as online at the Cost of Living Support Scotland website.
Chief Executive Officer of Citizens Advice and Rights Fife, David Redpath, said: “We are experiencing unprecedented demand for advice on how to maximise incomes to the cost of living crisis.
“Council Tax Reduction plays a key role in making budgets stretch further and we encourage people to check if they are eligible for a reduction, discount or even an exemption from paying Council Tax.”
Below is our quick guide on how to check your Council Tax bill and a list of circumstances which could see you paying less each month.
How is Council Tax worked out?
How much Council Tax you pay depends on your local authority, which sets an overall amount each year and assigns a ‘band’ to your home, based on its value - it’s isn’t banded by its current market value, but what it was worth on April 1, 1991 - the date Council Tax was introduced.
Council Tax bands range from A to H. A is the lowest band with the lowest charges and H has the highest charges.
Band A - Up to £27,000
Band B - Over £27,000 and up to £35,000
Band C - Over £35,000 and up to £45,000
Band D - Over £45,000 and up to £58,000
Band E - Over £58,000 and up to £80,000
Band F - Over £80,000 and up to £106,000
Band G - Over £106,000 and up to £212,000
Band H - Over £212,000
Your bill also takes into consideration whether or not you are eligible for a reduction or exemption.
How to check your Council Tax band
The band of every property in Scotland is available to check online here.
Could you be exempt from paying Council Tax?
You will not pay Council Tax if:
You are a full-time student
You are in the Armed Forces in Forces accommodation
You live in a care home or hospital
Your home is unoccupied and empty (up to six months) - for example, if you’ve gone into hospital
You have a severe mental impairment (e.g. dementia) - if you only live with someone who has dementia, then you’ll be treated as a sole occupant as they will be disregarded, but you won’t both be exempt
Contact your local authority about your eligibility and how you can apply for an exemption - a link to all 32 local authorities in Scotland is at the bottom of the page.
Could you be eligible for a discount on your Council Tax bill?
There are some circumstances where you may get a reduction on your Council Tax and the amount of discount varies depending on your circumstances.
If you live alone
The full Council Tax is calculated assuming there are two or more people living in each home – if you live alone, you should apply to your local council for a discount - you could get a 25 per cent reduction, regardless of your financial circumstances.
If you live with someone under 18 or a student
Council Tax is not calculated for anyone aged under 18, full-time students, student nurses and some apprentices or trainees.
If you are a carer
Carers who look after someone in the household for at least 35 hours per week and who meet additional criteria may be disregarded for Council Tax purposes, contact your local authority for their eligibility criteria.
Just be aware, this doesn’t apply if the person receiving care is the partner of the carer, or is the carer’s child aged under 18.
If there are major changes to the value of your home
You may be able to get your home moved to a lower band if it has decreased in value.
For example, if you have made home adaptations for a disabled person, or if a motorway has been built nearby.
You may also get the band lowered if a room in the house is dedicated to equipment used by a disabled person on a daily basis.
If you change the way you pay
Although the total year’s amount will stay the same, you can request that your bill be split over 12 months instead of 10, so that you can spread the cost and reduce your monthly outgoings.
Alternatively, if you can afford to pay the whole bill in one lump sum, check with your local council if you can get a discount.
Apply for Council Tax support
You may be eligible to claim council tax support, sometimes called Council Tax Reduction, if you’re on a low income or claiming certain benefits.
You can also claim Council Tax support regardless of whether you own your own home or rent, or whether you’re working or unemployed.
Each local council is responsible for operating their own Council Tax support scheme, so the amount of support given across the country may vary.
The amount you will get depends on many factors, including:
Which benefits you receive
Your age
Your income
Your savings
Who you live with
How much council tax you pay
You may get more Council Tax support if you receive a disability or carers benefit.
If you receive the Guarantee Credit Part of Pension Credit you may even get your council tax paid in full. If you don’t have it, but are on a low income and have less than £16,000 in savings, you may still get some help.
Local councils
Contact your local council from the list below to apply for a Council Tax discount or to check if you are eligible for their support scheme.
- Inverclyde
- Renfrewshire
- West Dunbartonshire
- East Dunbartonshire
- Glasgow
- East Renfrewshire
- North Lanarkshire
- Falkirk
- West Lothian
- Edinburgh
- Midlothian
- East Lothian
- Clackmannanshire
- Fife
- Dundee
- Angus
- Aberdeenshire
- Aberdeen
- Moray
- Highland
- Na h-Eileanan Siar
- Argyll and Bute
- Perth and Kinross
- Stirling
- North Ayrshire
- East Ayrshire
- South Ayrshire
- Dumfries and Galloway
- South Lanarkshire
- Scottish Borders
- Orkney
- Shetland
To keep up to date with the cost of living crisis, join our Money Saving Scotland Facebook page here, or subscribe to our newsletter which goes out four times each week - sign up here.
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