Council Tax Reduction scheme

Council Tax Reduction rates for a couple with two children

Council Tax Reduction rates for a couple with two children

An example of how the Council Tax Reduction Scheme could work.

Ammar and Nadia

Ammar and Nadia have two children. They live in a property which is in Band D for Council Tax. Ammar works and gets £150 per week net. They receive Universal Credit of £571.59 per week.

Under the banded income scheme, the council will disregard the Housing Element of Universal Credit, which in their case is £365.92 per week:

£571.59 Universal Credit:
£150.00 earnings
- £365.92 Housing Element

£355.67 per week for the purpose of the banded income scheme.

They are in the income band £349.78 - £380.36, so they qualify for a 32% reduction under the banded income scheme. Under the current scheme, they would get a reduction of 18% from the Council Tax.

Ammar and Nadia, the following month

Looking at the same family a month later, Ammar has had a decrease in his pay. He now earns £140, and their Universal Credit has changed to £577.89 per week. Their income under the banded scheme is now:

£577.89 Universal Credit
£140.00 earnings
- £365.92 Housing Element
£351.97 per week

They are still in the income band £349.78 - £380.36, so they still qualify for a 32% reduction under the banded income scheme.

Under the current scheme, they would get a reduction of 22% from the Council Tax.

Council Tax Bands 

To find out your percentage of Council Tax Reduction, select your Council Tax Band from the list below.

Band A

Weekly Income% Council Tax Reduction
Up to £258 pw100%
£258.01 - £278.3983%
£278.40 - £298.7866%
£298.79 - £319.1749%
£319.18 - £339.5632%
£339.57 - £359.9515%
Band B

Weekly Income% Council Tax Reduction
Up to £258 pw100%
£258.01 - £281.7983%
£281.80 - £305.5866%
£305.59 - £329.3749%
£329.38 - £353.1632%
£353.17 - £376.9515%
Band C

Weekly Income% Council Tax Reduction
Up to £258 pw100%
£258.01 - £285.1983%
£285.20 - £312.3866%
£312.39 - £339.5749%
£339.58 - £366.7632%
£366.77 - £393.9515%
Band D

Weekly Income% Council Tax Reduction
Up to £258 pw100%
£258.01 - £288.5983%
£288.60 - £319.1866%
£319.19 - £349.7749%
£349.78 - £380.3632%
£380.37 - £410.9515%
Band E

Weekly Income% Council Tax Reduction
Up to £258 pw 100%
£258.01 - £295.39 83%
£295.40 - £332.7866%
£332.79 - £370.1749%
£370.18 - £407.5632%
£407.57 - £444.9515%
Band F  

Weekly Income% Council Tax Reduction
Up to £258 pw 100%
£258.01 - £302.1983%
£302.20 - £346.38 66%
£346.39 - £390.5749%
£390.58 - £434.7632%
£434.77 - £478.9515%
Band G  

Weekly Income% Council Tax Reduction
Up to £258 pw100%
£258.01 - £308.9883%
£308.99 - £359.9666%
£359.97 - £410.9449%
£410.95 - £461.9232%
£461.93 - £512.9015%
Band H

Weekly Income% Council Tax Reduction
Up to £258 pw100%
£258.01 - £319.1883%
£319.19 - £380.3666%
£380.37 - £441.5449%
£441.55 - £502.7232%
£502.73 - £563.9015%

 

Last updated: 23 February 2023