One million Brits risk DELAY getting £150 council tax rebate – how to avoid

AROUND one million Brits who don’t pay their council tax bill by direct debit could face a longer wait for a £150 rebate.

Four in five households in England will get the council tax payment from April.

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It’s part of a package of support from the government designed to help ease the impact of the cost of living crisis.

Budget-busting price rises affecting energy and broadband bills will put pressure on people’s finances within weeks.

Millions of Brits face paying higher National Insurance costs and mortgage rates are on the up for many homeowners.

Chancellor Rishi Sunak announced the £150 council tax rebate in early February.

The cash will be paid out to those living in homes classed in bands A-D for council tax bills.

Payments will be made automatically where billpayers have set up to pay by direct debit.

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It means they will get it straight into their bank account sooner rather than later.

But around one million households face a longer wait for the cash if they pay their bill another way.

Councillor Shaun Davies from the Local Government Association which represents local councils, said:

“Having a direct debit set up will mean councils can automatically pay the £150 energy rebate straight into your bank account.

“It is quick and easy to set up to pay council tax by direct debit via your council’s website.

“You can still get the money if you don’t have a direct debit set up, but it could take longer as your council will have to contact you and then you’ll have to make a claim.”

You can avoid the risk of delays by setting up a direct debit now, ready for the rebate payments in April.

How to set up a direct debit to pay your council tax bill

You’ll need to get in touch with your lcoal council directly to set up direct debit payments.

You can usually do this online, but there will also be options for doing it over the phone or by post too.

You can find you local council using the gov.uk tool and searching your postcode.

When you set up a direct debit to pay council tax you can choose to pay over 12 months or 10.

If you choose 10 months then your monthly payments will be slightly higher as the bill is spread over less time, but you’ll get two months where you’ll pay nothing at all.

Setting up a direct debit means you’ll have the money taken out of your bank account on the same day each month, so you need to budget for it around this time.

You can usually choose which day of the month this is, so you can time it with pay day when you have money in your account.

If you decide you don’t like paying by direct debit you can always cancel this – but do it through your council.

Never just cancel through your bank as it’s likely to be recorded as a missed payment which can have serious consequences.

You’ll need to choose a new way to pay, like using a debit card to pay online, bank transfer, cheque or paypoint.

Help with council tax bills

If you don’t qualify for the £150 council tax rebate you could still be eligible for other help.

A separate £144million fund has also been launched which local councils can dish out to vulnerable and low income households.

The latest guidance says the support will be worth up to £150 and each council has been given a different amount.

The pot of cash each area gets depends on size and need, so for example Birmingham has £3.6 million, while the Isles of Scilly have £17,550. 

If you’re not already getting a council tax discount it’s worth checking if you’re eligible – this goes for anyone, whether you get the rebate or not.

Single people are entitled to 25% off their bill, while an adult living with a student can get 50% off.

If you are on a low income or receiving benefits, you could eligible for a reduction on your council tax.

The requirements to get help will vary depending on where you live, so the best first step is to check with your local council.

You can apply for a reduction through the Government website.

This post first appeared on thesun.co.uk