Households with disabled members could have hundreds of pounds slashed from their Council Tax bill, even without needing to claim any disability benefits. Instead, your property must satisfy certain physical requirements in order to be eligible for the discount.
Known as the Disabled Band Reduction Scheme, qualifying households can see their tax bill dropped to the next tax band or reduced by 17%. This could mean savings of hundreds of pounds annually for some families, and is designed to support disabled people who face additional housing costs as a result of their disability, such as needing to live in a larger home than they would otherwise require.
For instance, if your property in the City of London falls under tax band E, you’ll be paying £1,625.02 this year in council tax. Under the reduction scheme, your bill would drop to tax band D, costing £1,329.56 – an annual saving of over £300.
For those in the lowest tax band, A, their bill will be cut by a flat rate of 17% instead.
To be eligible for the Disabled Band Reduction Scheme, your home must feature either additional indoor space for wheelchair use, or an extra bathroom, kitchen or room that is necessary for the disabled person – such as a spare room used for dialysis treatment or storing medical equipment.
The property must also serve as the primary residence of at least one disabled person, whether an adult or a child, and it need not be the person responsible for paying the Council Tax bill. You can check your eligibility for the scheme and submit an application online via the Gov.uk website.
Should someone in your household have a disability but your property doesn’t meet the scheme’s eligibility requirements, there are further discounts on offer. These include a reduction for severely mentally impaired people, which can slash council tax bills by as much as 100%.
To have the full bill written off, you’ll need to demonstrate that you are severely mentally impaired and residing alone, alongside other severely mentally impaired people, or with full-time students. If all other members of your household are disregarded for separate reasons, a 50% discount is available.
However, if you are severely mentally impaired and living with another adult without a disability who isn’t disregarded, the maximum reduction you can receive is 25%.
People who are disregarded for council tax purposes: