Council tax support

How is my council tax support calculated?

For people of pension age, we will divide your yearly bill by 365 (or 366 in a leap year) and then multiply the daily charge by seven. For example, Mr Smith's council tax charge is £1096.37. We will divide £1096.37 by 365 days and then multiply it by seven to give us the weekly amount, which in this case is £21.03.

For people of working age, we work out 88% of your yearly bill, then divide this figure by 365 (or 366 in a leap year) and multiply the result by seven. For example, Mrs Brown's council tax charge is £1293.13. We will first work out 88% of this charge which is £1034.50. We then divide this amount by 365 days and then multiply it by seven to give us the weekly amount, which in this case is £19.84.

This gives us your weekly eligible council tax.

We then make a deduction for any adults living in the property who are not financially dependent on you. This is known as a 'non-dependant deduction'. But if you are registered as blind, getting attendance allowance, personal independence payment (daily living component) or the care component of disability living allowance, we will not make a deduction.

We will make a deduction if one of the following applies:

  • You are a pensioner getting guarantee pension credit
  • You are of working age and getting income support, income related employment and support allowance or income-based jobseekers allowance and you live with adults who are not financially dependent on you

If you are not on guarantee pension credit, income support, income-related employment and support allowance or income-based jobseekers allowance and your income is more than your applicable amount (an amount set by the government that they think you should be able to live on each week), we will make a further deduction of 20% of the excess.

If you are working and the applicable amount is lower than your income, we will disregard the first £5 before doing our calculation. 

For example: Mrs Smith works part-time at her local shop. Her applicable amount is £72.40 per week but she receives £90 wages per week. We disregard the first £5 that she receives, however she is still £12.60 over her applicable amount, so when working out how much council tax support she can receive we take off 20% of £12.60 which is a further £2.52.

If you are getting savings credit, we will use the income figures supplied to us by the Pension Service to work out your award.

Last updated: ‎21/04/2022, 11:26