The answer to ‘Do pensioners pay Council Tax?’ is yes, but you may qualify for Council Tax Reduction based on other factors, such as your income, who you live with and if you are a carer.
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Key points
- You still need to pay Council Tax if you are of State Pension age, but may be eligible for a reduction on your bill.
- You can get a discount of up to 100% if you receive the Guarantee part of Pension Credit.
At what age do you stop paying Council Tax in the UK?
There is no particular age at which you stop paying Council Tax. Everybody over 18 who owns or rents a property is liable to pay it, unless their circumstances render them eligible for a disregard or reduction.
Pension Age rules for Council Tax
When you reach State Pension age, you usually come under ‘Pension Age rules’ for Council Tax. You’re still obligated to pay Council Tax, but it means any Council Tax Reduction (CTRs) will be calculated differently.
For example, you can have more money than in savings or investments than somebody of working age and still qualify for support.
You still come under ‘working age rules’ if you or your partner receive certain benefits, including Universal Credit, Income Support, income-based JSA or income-related ESA.
If you still count as working age, you may still qualify for support but will likely get a smaller reduction.
Do you pay Council Tax when you receive State Pension?
You still have to pay Council Tax if you get State Pension, unless you meet criteria for Council Tax Reductions. These are also called Council Tax Support (CTS).
Circumstances that may qualify you for a reduction on your Council Tax include if you:
- Live alone.
- Receive the Guarantee part of Pension Credit.
- Have less than £16,000 in capital and investments.
- Provide unpaid care.
- No longer live in your property and neither does anybody else. This could be because you have moved to a care home, are in hospital long-term or are in prison.
- Have a mental impairment or somebody you live with does.
See the next section for a list of reductions you may be eligible for.
Council Tax Reductions for pensioners – do pensioners get help with Council Tax?
As a pensioner, you don’t automatically qualify for help with your Council Tax, but you may qualify for a reduction.
Pension Credit – up to 100%
Pension Credit is a means-tested benefit for people over State Pension age.
For the tax year 2024-25, it tops up your income to £227.10 a week if you’re single or £326.60 for a couple. You could get an additional £82.90 a week if you have a severe disability and an extra £46.40 a week if you’re an unpaid carer.
There are two parts to Pension Credit – Guarantee Credit and Savings Credit.
If you get the Guarantee Credit part, you will get 100% reduction. If you get just the Savings Credit part, you may get some reduction. This will be calculated according to your means.
Single Occupancy Discount – 25%
You could get a 25% discount off your Council Tax bill if you live alone, or are the only person in your household liable to pay Council Tax.
Severe Mental Impairment Discount – up to 100%
A severe mental impairment, in this case, means your cognitive function is impaired by a condition such as dementia, a learning disability, a stroke or a brain injury. A doctor must have assessed you and issued a certificate confirming a severe mental impairment.
If you live alone or with a partner who also has a severe mental impairment, you will get a 100% reduction. You may still get a reduction, but a smaller one, depending on who else you live with.
You can read the full details in our Severe Mental Impairment Council Tax Discount article.
Carers
Unpaid carers
If you provide unpaid carer for somebody in your household, you could qualify for a discount. How much this is depends on if anybody else lives in the property with you and the person you care for.
You count as an unpaid carer if you provide support with day to day tasks for at least 35 hours a week. You don’t need to be claiming Carer’s Allowance to get the discount.
More details on Carer Council Tax Discount.
Care workers
Care workers on a very low income are sometimes eligible for a discount. You must earn no more than £44 a week for at least 24 hours’ work (this might be because you work for a charity or the Crown).
Second Adult Rebate
Second Adult Rebate is not a Council Tax Reduction and can’t be claimed at the same time as one.
If you live with someone who is over 18, not your partner, and is on a low income, you may be eligible for a discount on your Council Tax. They must not be paying you any rent or own any portion of your home.
How to apply for Council Tax Reduction
You can apply for Council Tax Support online through your local authority.
Your case will be considered on an individual basis and you may need to provide evidence for your claim, such as a doctor’s certificate.
