Changes to our Council Tax Reduction Scheme from April 2026

Council Tax Reduction is a means-tested benefit. You can apply for Council Tax Reduction if you fall into any of the following criteria:

You own your home (either outright or you have a mortgage);
You rent your home;
You are the person whose name is on the council tax bill. If you are jointly responsible for the council tax we may be able to help with your share of the bill;

And:

You are on a low income;
You are 18 years of age and older. We have amended the council tax reduction scheme from 1 April 2026. Details of the previous scheme can be found on our Claiming Council Tax Reduction web page.

The new scheme disregards the following income:

All Universal Credit elements apart from Standard Allowance (Housing Element, Limited Capability for Work, Carers Element, Disabled Child Element, Transitional Protection, Child Element and Child Care Element)
Carers Allowance
PIP/DLA/AA
Child Benefit
If you are earning, the first £25.00 of earned income is also disregarded

Once we have disregarded all relevant incomes, the percentage of Council Tax Reduction you receive is based on the remaining income and if you are single or a couple.

The new CTR Scheme income table from 1 April 2026 is shown below. This will increase year on year in line with the national minimum wage.

2026/27 Income Band Scheme
Bands	Band 1 (90%)	Band 2 (75%)	Band 3 (60%)	Band 4 (45%)	Band 5 (30%)
Single Claimant	£0.00 - £127.10	£127.11 - £190.65	£190.66 - £254.20	£254.21 - £317.75	£317.76 - £381.30
Couple	£0.00 - £167.10	£167.11 - £230.65	£230.66 - £294.20	£294.21 - £357.75	£357.76 - £421.30

There may be deductions made for any non-dependent that you have living with you. A non-dependent is someone over the age of 18 who lives with you on a non-commercial basis.

For example adult sons or daughters, elderly parents, other family members or friends.

Council Tax Reduction will normally be reduced if a non-dependent lives in the household. There is an expectation that non-dependents will make a contribution towards their living costs, including rent, council tax and food, etc.

The amount they pay towards the above is not taken into account. Standard weekly deductions are made from the claimant's Council Tax Reduction entitlement instead. This is shown in the table below:

Weekly Council Tax Reduction non-dependent deductions 2026
Non-dependent deductions	Council Tax Reduction deductions April 2026 - pension age claimants	Council Tax Reduction deductions April 2026 - working age claimants
Aged 25 or over and on IS/JSA (IB), ESA (IR) main phase	Nil	Nil
Aged under 25 and on IS/JSA (IB), ESA (IR) assessment phase	Nil	Nil
Aged under 25 and on ESA (IR) main phase	Nil	Nil
In receipt of Universal Credit without any earned income	Nil	Nil
In receipt of Job Seekers Allowance (contribution based)	£5.20	£10.00
In receipt of Pension Credit (guarantee or savings credit)	Nil	Nil
Aged 18 or over and works 16+ hours per week and has:
Gross income less than £279.00	£5.20	£10.00
Gross income not less than £279.00 but less than £485.00	£10.60	£10.00
Gross income not less than £485.00 but less than £605.00	£13.30	£10.00
Gross income not less than £605.00	£15.95	£10.00
Any other non-dependant (even nil income)	£5.20	£10.00

+ Why are only working age residents affected by the changes?

Each year, we are required to review our Council Tax Reduction (CTR) scheme ahead of the new financial year. Pensioners are unaffected by the changes because the Government determine the criteria for the pension age CTR scheme.

+ When will I not be entitled to claim council tax reduction?

In some cases you won’t be entitled to claim Council Tax Reduction. You will be unable to claim this benefit if you fall into any of the following criteria:

You are not responsible for paying the council tax bill;
You are a full-time student;
Either you, or your partner, or both of you together, have more than £10,000 in savings or £16,000 for Pension Age claimants;
You are an asylum seeker, unless you've been given refugee status or indefinite or exceptional leave (also called discretionary or humanitarian leave) to remain in the United Kingdom;
You have been admitted to the United Kingdom on the condition that you have 'no recourse to public funds'. Council tax reduction is a public fund, so you may not claim it if this condition was applied to you;
You are a sponsored immigrant and have lived here for less than five years;
You are in the United Kingdom illegally or your permission to stay has run out.

+ How do I claim Council Tax Reduction?

You can apply for Council Tax Reduction by submitting an online claim form. You can also estimate your entitlement to council tax reduction using our online benefits calculator.

View our Council Tax Reduction Scheme document [pdf] 1307KB for more information.

+ I don't think that I am eligible to claim Council Tax Reduction, is there anything else I can do to reduce my council tax bill?

If your home has been adapted to meet the needs of a disabled person then you may qualify for Council Tax Reduction. The disabled person must live at the property. This is known as 'disabled persons relief'. Apply for Disabled Persons Relief.

Information about other discounts can also be found by visiting our discounts and exemptions page.

+ Why has the council decided to align the Vulnerable Scheme with the Working Age Scheme (by increasing the Working Age Scheme to 90%?)

We want to reduce the financial burden on our low income residents by increasing the maximum level of support for working age applicants from 80% to 90% across the board.

+ Why has the council decided to move their vulnerable applicants into a banded scheme based on their household composition?

We wish to create a simpler and fairer scheme. This change will also align with other local authorities in Kent.

+ What is the benefit in disregarding the various elements in Universal Credit (Limited Capability for work, Disabled Child Element, Carers Element and Transitional Protection?)

Our current scheme was established before Universal Credit was widely introduced. At that time, many claimants received “passported” benefits - such as Jobseeker’s Allowance, Employment and Support Allowance, or Income Support - which automatically entitled them to the maximum level of Council Tax Reduction. However, Universal Credit is not a passported benefit, so all income (except the Housing Element) is taken into account when calculating support. As a result, individuals who moved from a passported benefit to Universal Credit often receive less Council Tax Reduction. By disregarding certain components of Universal Credit, we can ensure these individuals receive a similar level of support they would have under the previous system.

+ What can I do if my new Council Tax reduction entitlement is much less than it was previously?

If you are unable to pay your Council Tax, you can apply for an Exceptional Circumstances Payment. Details can be found on our website. You can also request an explanation of the calculation by emailing benefits@ashford.gov.uk.

We have two welfare intervention officers who can offer benefits advice – more information can be found on our dedicated welfare intervention officers web page.

+ What can I do if I want an explanation of how my Council Tax Reduction has been calculated?

You can write to us or email benefits@ashford.gov.uk and ask for an explanation of how your Council Tax Reduction has been calculated.

+ What do I do if you have calculated my claim incorrectly?

You can write to us or email benefits@ashford.gov.uk, giving details of the information that is incorrect, and we will look at your claim again.

+ What can I do if I disagree with my Council Tax reduction calculation?

You can write to us or email benefits@ashford.gov.uk, giving details of why you disagree with the calculation, and we will look at your claim again. If you are then still not satisfied with our response, you must appeal to the Valuation Tribunal within two months of our notification. Before the Valuation Tribunal will accept any appeal from you, you must have first raised the matter with the council. Visit the Valuation Tribunal website for more information. Alternatively, write to them at:

CTR Team
Valuation Tribunal Service
Hepworth House
2 Trafford Court
Doncaster
DN1 1PN

Telephone 0300 1231033 or email appeals@vts.gsi.gov.uk.