Calculation & Amounts

Calculate your potential savings and understand reduction amounts

7 comprehensive guides
Last updated: 22 July 2025

Understanding Council Tax Reduction Calculations

Council tax reduction amounts are calculated based on your income, savings, household composition, and local authority rules. Each council has its own scheme with different thresholds and calculation methods.

Use our guides and calculators to understand how much you might be entitled to and what factors affect your reduction amount.

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Frequently Asked Questions

How much council tax reduction can I get?

The amount depends on your income, savings, household composition, and local authority. Some people can get up to 100% reduction, while others may get a partial reduction. The exact amount is calculated using your council's local scheme.

How is council tax reduction calculated?

Council tax reduction is calculated based on your income, savings, household size, and any disabilities. Your council will assess your circumstances against their local scheme rules and calculate the appropriate reduction amount.

How much savings can you have for council tax reduction?

Generally, if you have more than £16,000 in savings, you won't qualify for council tax reduction. However, this threshold may vary by local authority. Some councils have different limits for pensioners.

Is there a calculator for council tax reduction?

Yes, there are council tax reduction calculators available. You can use our free calculator to get an estimate, or use the official GOV.UK calculator. However, the final amount will be determined by your local council.

Do council tax reduction rates vary by area?

Yes, council tax reduction rates and rules can vary significantly between different local authorities. Each council has its own local scheme with different income thresholds, savings limits, and calculation methods.

Legal Disclaimer

This information is provided for general guidance purposes only and does not constitute legal or financial advice.

The content on this page is intended to provide general information about council tax reduction calculations and should not be relied upon as a substitute for professional legal, financial, or benefits advice. Calculation methods and thresholds may vary between local authorities and can change over time.

We strongly recommend that you:

  • Contact your local council directly for specific calculation information
  • Seek professional advice from qualified legal or financial advisors if needed
  • Consult official government sources such as GOV.UK for the most up-to-date information
  • Contact Citizens Advice or other qualified benefits advisors for personalized guidance

While we strive to ensure the accuracy of the information provided, we cannot guarantee that it is complete, up-to-date, or applicable to your specific situation. Any reliance you place on this information is strictly at your own risk.

Last updated: 22 July 2025