THOUSANDS of households will struggle to get the £150 council tax rebate due to four gaps in the rules.
The government is giving 80% of families a refund to help them cope with the rising cost of living.
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Energy bills have soared, with around £700 added to the average annual gas and electricity bills.
The £150 council tax rebate for people living in bands A to D was announced in February to help families with the rocketing costs.
But some people in need won’t get the money, or will struggle to make a claim.
That’s because there are gaps in the rules that could see struggling households slip through the cracks.
The £150 council tax rebate will start being paid out this month.
Consumers were confused on April 1 when the money didn’t land in their accounts.
However, many councils will only pay the rebate after April’s council tax bill has been paid so it can verify the account.
Contact your local council to find out how to get the rebate and when it will be paid.
We explain who could miss out on the grant.
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Elderly people
Elderly people are among the most vulnerable to rising energy bills but they’re also more likely to live in a home in a higher council tax band.
For example, they may not have downsized so they could be living in a bigger house.
If they live in a property above Band D, they won’t automatically get the rebate.
Age UK said there are there are 4.3million households in England that will not be eligible for the rebate because they live in properties with Council Tax band E to H.
Half those housholds include at least one person aged 60 or older.
Instead, people living in one of those properties will have to apply to get the £150 from their council’s discretionary fund.
Renters
If you pay your bills as part of your rent, you could miss out on the rebate – even if you’re the one paying council tax.
Many renters pay council tax straight to their landlord, who then passes it on to the local authorities.
That means the account will be in your landlords’ name, and they could get the refund.
It’s not clear whether there is any rule that will force landlords to pass the saving on to tenants.
“For renters or sharers whose bills are included in their rent, the benefit of the rebate…won’t come to them and some landlords may still increase rents to make up any shortfall,” Darren Baxter, the Joseph Rowntree Foundation’s housing policy manager, told The Guardian in February.
The government has said that if you’re eligible for the rebate, and someone else usually pays your council tax by direct debit, it won’t automatically be paid to them.
“Instead, they will contact you to confirm your preferred payment method,” it said.
However, if you live in a house of multiple occupancy, as many renters do, and pay your council tax to your landlord, you will not receive the rebate.
The government instead suggests you could access support from your council’s discretionary fund.
You should contact your council and landlord to find out how this will affect you.
Non-direct debit payments
Households who pay their council tax via direct debit will get the rebate first, the government has confirmed.
Those who pay in a different way will get it later and will have to apply directly to the council.
This could mean many people miss out if they miss the deadline or don’t realise they have to apply.
People without a current account
More than one million people in the UK don’t have a bank account, according to the Financial Conduct Authority.
This will make it harder for them to receive the £150 rebate.
The Mirror reported that the government will use Post Office Payout vouchers to pay the refund to those without current accounts.
But the Levelling Up committee said it’s not clear how this would work and asked whether councils could hand out cash payments, the newspaper said.
Citizens Advice has a guide for Brits who want to open a bank account, including basic options.
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