Millions of UK households will receive £150 Council Tax rebate

by | Mar 30, 2022 | Bills, Council Tax, News

What is the £150 Council Tax rebate?

As the UK cost of living crisis continues and household bills rise to their highest ever levels, there’s finally some good news. In order to help struggling households with rising households bills and expenses, the government has announced a Council Tax rebate of £150. This will be paid out automatically to more than 20 million eligible households across the UK.

The one-time payment will be made directly to households starting from April when the new financial year begins, and most people should receive the payment by the end of the month.


Am I eligible for the Council Tax rebate?

The rebate will be paid to households in Council Tax bands A to D – that is 95% of rental properties in the UK. If you would like to check your property’s band, you can find it on your Council Tax bill and online account, or you can check your property’s band online here.

Payments won’t be made to households that the local authorities have records of being second homes or empty properties. However, if you are in exemption classes N, S, U and W, you will still be eligible for the Council Tax rebate.

Exemption What it means
Class N A property that is occupied only by students or a student’s non-student spouse or dependant, who is not a British Citizen and is prevented by the terms of their entry visa to the U.K. from taking employment or claiming benefits. (Should the property be left unoccupied during vacations the exemption will continue providing the students still have the right to occupy and intend to use the property as term-time accommodation).
Class S A property in which all the occupiers are under 18 years of age.
Class U A property in which the only occupiers are severely mentally impaired persons who would otherwise be liable to pay the Council Tax.
Class W A dwelling which is part of a single property containing at least one other dwelling (e.g. a granny annexe) and is the main home of a dependant relative of a person resident in that other dwelling.

Source: “Council Tax exemption classes and codes”, Uttlesford District Council 

If your property is not in bands A to D, you may still be eligible for support – the government has made $144 million of discretionary funds available to help households in need. If you reach out to your local directly, they will be able to advise you on claiming support.


How can I claim my payment?

Rebate payments will begin to be sent out to households who pay their Council Tax via direct debit at the beginning of April, and the majority of households who pay by direct debit will have received payment by the end of the month. If you do not pay by direct debit, your Council will need to reach out to you to confirm payment details. The best way to ensure you receive payment as quickly as possible is to set up a direct debit for Council Tax payment with your local authority.

If you do not or cannot set up a direct debit, you should look out for contact from your local authorities who will be reaching out to confirm your bank account details in order to send you your debate.


What else is being done to help with rising energy bills?

Outside of the Council Tax rebate, the UK government has also announced that there will be £200 in loans available to all UK households this autumn to help pay energy bills, which will be interest-free and payable over a 5 year period. Energy suppliers will apply the discount to domestic electricity customers from October, with the Government meeting the costs. The discount will then be automatically recovered from households’ bills in equal £40 instalments over the next five years. This will begin in 2023 when global wholesale gas prices are expected to come down.

The warm home discount will also be extended to cover an additional 3 million households, with those on low incomes able to apply for a further £150 discount on their energy bills.



Confused? We’re here to help

Should you have any questions about the Council Tax rebate, or your Council Tax in general, our Connections Experts are happy to help. You can contact us at +44(0)800 368 8551 or

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