Council tax set to increase by up to 5% as Britons face bills of ‘extra £100’ | Personal Finance | Finance


People will typically have to pay council tax if they are 18 or over, and live in their own home or rent a property. A full bill is based on at least two adults living together in a home, and spouses and partners who live together are jointly responsible for payment.

However, a recent decision has meant council tax bills are set to rise for millions of people in the coming year. 

Laura Suter, head of personal finance at AJ Bell, discussed potential council tax moves in 2023 and their implications.

She said: “Councils have a new freedom to hike council tax by bigger amounts – and it looks like most will be using it. 

“In the Autumn Statement, Chancellor Jeremy Hunt said that councils could increase rates by up to five percent without seeking a referendum – an increase on the current two percent limit. 

READ MORE: Axing state pension triple lock ‘has to happen at some point’

Britons will need to apply for a council tax discount or exemption, even if they are disregarded.

People will get 50 percent off their bill if everyone living in their household is disregarded.

A 25 percent discount is available to those who either:

  • Live on their own
  • Has everyone else in the home disregarded.

To find out more about council tax, people are encouraged to contact their local authority. 



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