Council Tax Discounts & Exemptions 2026/27: Complete Guide

Council tax discounts and exemptions are worth hundreds — sometimes thousands — of pounds. Yet many eligible households never claim them. This guide covers every discount and exemption available in 2026/27 and explains exactly how to claim.

Overview: Who Gets Discounts?

Council tax discounts and exemptions fall into several categories:

Discount Type	Amount	Qualification
Single Person Discount	25%	Only 1 adult in property
All-student household	100% (exempt)	All residents are full-time students
Disabled Band Reduction	~£241/year	Adapted property for disability
Severe Mental Impairment	25-100%	Qualifying medical condition
Carer Discount	25%	Full-time carer in the household
Council Tax Support	Up to 100%	Low income
Empty Property	Varies (0-100%)	Depends on local council

25% Single Person Discount

The most widely claimed discount is the single person discount, worth 25% off your bill. You qualify if you're the only adult living in your home as their main residence.

But "single person" doesn't just mean living alone. It means the only adult who counts — because some people are "disregarded" for council tax purposes. Disregarded residents include:

• Full-time students
• Student nurses
• Youth training trainees (under 25)
• Apprentices (earning under £195/week)
• Severely mentally impaired adults
• 18-19 year olds in qualifying education
• Care leavers under 25
• Some long-term hospital or care home residents
• Members of visiting forces
• Members of religious communities
• Diplomats and their dependents

Example: If you live with your adult child who is a full-time university student, you may qualify for the 25% single person discount even though two adults live there — because your child is "disregarded."

Student Exemptions

Full-time students are completely exempt from council tax. If everyone in a household is a full-time student, the property is 100% exempt.

What counts as "full-time"?

A course is full-time for council tax purposes if:

• It lasts at least 1 year
• It requires at least 21 hours per week of study, tuition, or work experience
• For under-20s: the course is between GCSE/Standard Grade and degree level and lasts at least 3 months

You'll need a student exemption certificate from your college or university to claim this discount.

Foreign language assistants

Foreign language assistants appointed by the Central Bureau for Educational Visits and Exchanges are also disregarded.

Disabled Band Reduction Scheme

This scheme reduces the council tax bill for households where a disabled person lives and the property has been adapted specifically for their needs. It effectively moves your property to the band below yours for council tax purposes.

To qualify, the property must have at least one of:

• A room (other than a bathroom, kitchen, or toilet) used mainly by and needed by the disabled person
• An extra bathroom or kitchen needed for the disabled person's use
• Sufficient floor space for the disabled person to use a wheelchair indoors

If you're in Band A (the lowest band), you'll receive a discount equivalent to one-ninth of the Band D rate — approximately £241/year at average rates.

Severe Mental Impairment Exemption

People who are severely mentally impaired are disregarded for council tax purposes. If an SMI person lives alone, their property may be fully exempt. If they live with only one other adult, that adult may qualify for the 25% single person discount.

Qualifying conditions include:

• Alzheimer's disease and other forms of dementia
• Severe stroke
• Parkinson's disease
• Multiple sclerosis
• Severe learning difficulties
• Any other condition causing permanent impairment of intelligence and social functioning

You'll need a GP certificate confirming the SMI classification, plus evidence that the person is receiving qualifying benefits (such as disability living allowance, personal independence payment, or incapacity benefit).

Carer Discounts

Full-time carers are disregarded for council tax purposes, meaning if you provide care for another adult in the household, you won't count as an "adult" for council tax. This can trigger the 25% single person discount for the person you care for.

You qualify as a disregarded carer if:

• You provide care for at least 35 hours per week
• You live in the same property as the person you care for
• The person you care for receives certain qualifying benefits
• You are not the spouse, partner, or parent of a child under 18 you care for

Empty Property Discounts

Empty properties may qualify for temporary discounts, though policies vary widely between councils:

• Furnished second homes: Most councils now charge 100% or more (some charge 200% premium)
• Unfurnished empty properties: Usually exempt for up to 6 months, then full rate (or a premium)
• Long-term empty properties: Many councils charge a 50-200% premium after 2 years empty
• Uninhabitable properties: Exempt while major structural works are underway

Council Tax Support (Low Income)

Council Tax Support (CTS) — previously called Council Tax Benefit — is a means-tested discount for households on low incomes. Unlike most benefits, it's administered entirely by local councils, so eligibility criteria and amounts vary significantly.

Key points:

• Pension-age households may receive up to 100% CTS (full exemption)
• Working-age households typically receive a maximum of 80% in most councils
• Eligibility depends on income, savings, and household composition
• You must apply to your local council — it's not automatic

How to Claim Your Discount

1. Check your eligibility using the descriptions above
2. Contact your local council — most have online forms
3. Provide evidence — e.g., student certificate, GP letter for SMI, carer benefit documentation
4. Your council will process and notify you of the decision
5. Backdating: Most discounts can be backdated to when you first became eligible

Frequently Asked Questions

How quickly are council tax discounts applied?

Once approved, most discounts are applied within a few weeks and backdated to the date of eligibility or your application. You'll receive a revised bill showing the reduced amount.

Do I need to reapply for discounts every year?

Some discounts (like the single person discount) are automatically renewed each year. Others (like Council Tax Support) require annual renewal. Your council will notify you when renewal is needed.

Can I get a council tax discount and appeal my band at the same time?

Yes — these are entirely separate processes. You can claim a discount for your circumstances while simultaneously challenging your band assignment. Both could result in significant savings.