THOUSANDS of households are in line for £150 of extra help with their council tax.
Nottingham City Council has announced some of those who haven’t yet or aren’t due to receive the council tax rebate will get financial support.
It will also offer help to some households who have received the rebate but are deemed to need more support.
The council said around 40,000 households will be in line for help ranging between £10-£150 through the discretionary fund.
One-off payments will be made to households in the following groups:
- Households in Council Tax bands E – H who get Council Tax reduction
- Households in bands E – H who get Disability Relief
- Households in bands E – H who get Carers Discount
- Households in bands E-H who don’t pay Council Tax due to all residents being under 18 or only occupied by severely mentally impaired residents
- Houses of Multiple Occupation such as house shares, where residents pay their energy bills but not their Council Tax
- Care leavers who have left care in Nottingham city and who are under 25
- Pensioners in Council Tax bands A-H who get Council Tax support
- Households of working age people who get Council Tax support
The amounts those eligible receive will vary depending on criteria set by the council.
If you are eligible and Nottingham City Council already has your bank account details on record it will automatically credit your account.
It said for those where it doesn’t, it will be in touch “in the coming weeks” advising people how to claim.
It urged people not to contact them if they think they might be eligible but to wait to receive their payment “as soon as possible”.
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It will come as good news to the 40,000 households as the cost of living crisis takes hold.
Today, the ONS revealed GDP had fallen 0.6% in June as the UK economy heads towards a winter recession.
What is the council tax rebate?
Thousands of households across the Nottingham City Council area should have already started receiving their £150 council tax rebate.
The scheme runs until September 30 and is being rolled out in council areas nationwide.
The government announced the help in February.
It will be given to households in council tax bands A – D, which means 80% of homes in England.
If you don’t know what council tax band you are in and whether you might be eligible, the government’s website has a useful tool. You just need to enter your postcode.
Eligible council tax payers will get the money sent to their bank account rather than as a discount.
If you don’t already pay your council tax bill by direct debit, your local council will contact you to get your bank account details so it can give you the cash.
Payments started to be made from April 1, however the exact date you will receive yours will depend on your local authority.
What if you don’t quality for the council tax rebate?
If you’re not one of the 80% who qualifies for the £150 council tax rebate, there is other help on offer.
For those who live in homes between council tax bands E – H there is the discretionary fund.
It’s worth £144 million and again is offered through local authorities.
How the scheme works, including who is eligible and how to apply will depend on where you live.
If you think you might be eligible, it’s worth contacting your local council for more details.
You can use the government’s locator tool if you’re not sure what authority you fall under.
The Treasury has previously said the fund will be available to support vulnerable people and those on lower incomes who don’t pay council tax as well as those living in homes banded E – H.
Single people
There are other instances where you could be entitled to a reduction on your council tax bill.
For example, if you live on your own, you’re entitled to 25% off your council tax bill.
This also is the case if there is one adult and one student living together in a household.
You may also qualify if there is one adult and one person classed as severely mentally impaired in the home.
If you live with someone who doesn’t have to pay council tax, such as a carer or someone who is severely mentally impaired, you could get a 50% reduction.
And, if you live in an all-student household, you could get a 100% discount.
A full list of circumstances that exempt you from paying council tax can be found on Citizens Advice‘s website.
Retirees
Pensioners may also find themselves eligible for a council tax reduction.
If you receive the Guarantee Credit element of Pension Credit, you could even be in line for a 100% discount.
If not, you could still get help if you have a low income and less than £16,000 in savings.
And a pensioner who lives alone will be entitled to a 25% discount too.
Low Income households
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.
You could also get a deferral if you’re struggling to pay your bill, or you can speak to your council about setting up a payment plan to manage the cost.
But one thing to remember is if you are struggling you should contact your council as early as you can.
Council tax is a priority bill and if you fall behind you could be asked to pay the full year’s balance in one go.
And non-payment could result in bailiffs, court action or even imprisonment.
How to apply for a reduction
You can apply for a reduction through the government website.
You’ll need your national insurance number, bank statements, a recent payslip or letter from the Jobcentre, and a passport or driving licence when filling out the details.
And there’s also the option of getting your house re-banded if you think you’re overpaying on council tax.
This is because those outside of council tax bands A to D are not eligible for the £150 rebate.
To get your house re-banded, you’ll need to check which band your neighbours are in and work out how much your property was worth in 1991, as this is when council tax bands were decided.