Contents
Why is council tax so cheap in London?
London is the most affordable area to pay council tax in England –
- Despite being home to some of the most expensive properties in the UK, places like and have some of the lowest council tax rates in the country, primarily due to local councils gaining revenue from other sources, like parking charges or business rates.
- In places like, Band D council tax can be as little as £845 a year – only 38% of what residents of Nottingham, the most expensive local council, pay per year.
- Although London boroughs have seen significant increases, the capital remains the least expensive place in England for council tax.
How does council tax work UK?
Council tax and your bill – Council tax is your way of helping to pay for many local services like emergency services, rubbish collection, libraries, schools, street lights and much more. Council tax is charged on the household. It’s based on the value of the property and not on what the household earns.
Who pays council tax in England?
Council tax – who has to pay? We work out who has to pay in this order of priority: 1. A freeholder who lives in the property.2. A leaseholder who lives in the property.3. A tenant who lives in the property.4. Someone with a licence to live in the property.5.
Which band is the cheapest council tax?
The amount of Council Tax you pay depends on the value of your home and where you live. Find your local council and how much you need to pay using the links below:
England – GOV.UK Scotland – Scottish Local Government Wales – Welsh Local Government
Each of the links above will get you to your local council’s website. From there, you can find information on Council Tax. You might also be able to contact them directly and ask. You might be able to get a reduction on your Council Tax if you’re:
On a low income. A student or you live with students. Live alone or are the only adult in your home. Get certain benefits, such as Jobseekers Allowance, Income Support, Pension Credit, Employment and Support Allowance and Universal Credit. Or someone you live with has a disability and as a result needs to live in a larger home. Severely mentally impaired or living with someone who is. A care leaver in Scotland, where you’ll be exempt from Council Tax between the ages of 18 until you turn 26. Live in certain counties in England and Wales and are a care leaver. A member of the armed forces, depending on your circumstances. Moved into a care home or hospital. In prison – unless you’re serving a prison sentence for failing to pay Council Tax.
To find out more about who can get a reduction, and to apply, use the links below:
England – GOV.UK Wales – Welsh Local Government Scotland – Scottish Government
Most councils allow you to choose to spread your Council Tax payments over 12 months instead of the usual ten. Just ask your council if they offer this option. Making the same payment every month might make it easier for you to budget. If you pay in 10 instalments you won’t pay any in February and March.
- England and Scotland have eight Council Tax bands – ranging from A (the cheapest) to H.
- Your home’s Council Tax band is based on its rateable value – the more expensive the property, the higher the Council Tax band.
- Wales has nine bands – from 1 (the highest) to 9.
- If your home is in a higher valuation band than it should be, you’re probably paying more Council Tax than you should.
If you have a complaint about your Council Tax, you’ll normally have to complain to the council first. They should take no longer than 12 weeks to resolve the problem. But if you’re unhappy with the outcome, or they’re taking too long to resolve your complaint, you might be able to complain to the Local Government Ombudsman Falling behind – even by one monthly payment – can be quite serious when it comes to Council Tax.
- If you don’t act quickly you could be asked to pay the full year’s payment upfront.
- So if your Council Tax was £167 a month, but you missed the first payment of the year, that would turn into a debt of £1,670 – assuming you paid it over ten months.
- The most important thing is to get in touch with your council as soon as you think you might miss a payment, as this increases the chance of them being able to work with you.
Some councils will let you make the payment a little late, so you can carry on making future payments as scheduled. Others might be able to increase your future payments to make up for the missed payments. If you’re on a low income, you might even get a reduction on your bill.
- It varies by council and individual cases.
- If you contact your council as soon as you’ve missed a payment, they’ll often help you.
- Not paying your Council Tax and ignoring the letters you’re sent can quickly turn into a serious problem.
- First, you’ll get a reminder from the council about two weeks after you miss a payment.
If you pay within seven days, you don’t need to do anything else. The debt will be clear and you’ll be able to continue paying your Council Tax in instalments. If you don’t pay within seven days of the reminder or if it’s the third time you’ve been late with Council Tax payments that year, the council will send you a ‘final notice’.
- The final notice will tell you to pay all your Council Tax for the rest of the year within seven days.
- If you don’t pay within seven days of the final notice your council will usually apply to the courts for permission to collect the debt from you.
- This is known as a ‘liability order’.
- After this, your council can get your employer to pay your unpaid Council Tax directly from your wages.
They can also apply to take money from certain benefits, including
Employment and Support Allowance Income Support Jobseeker’s Allowance Pension Credit Universal Credit.
If this isn’t possible, the council might send a bailiff (called a Sheriff Officer in Scotland) to your home. You’ll have to pay court costs and possibly bailiff fees as well as your debt, which can add hundreds of pounds to your bill. For more information about stopping bailiffs at your door, go to the Citizens Advice website If you’re in England, it’s also still possible to get a prison sentence for getting behind with Council Tax.
Who pays the most tax in England?
The Sunday Times Tax List reveals UK’s 100 biggest taxpayers – News UK
A Moscow-born billionaire has topped this year’s tax list, contributing more than £487 million in just 12 months – equivalent to more than £1.3m of tax a day – or £55,639 an hour
100 individuals and families have each paid at least £10.7 million in tax either personally or through their businesses
The highest taxpayers in Britain include a scrap metal dealer, JK Rowling, The boss of JD Wetherspoon, Sting and The Duke of Westminster
The 100 wealthy individuals or families revealed in this year’s Sunday Times Tax List were liable for a total of £5.181 billion of UK tax last year. The fifth edition of the Tax List — released as millions of people race to meet the self-assessment deadline — features figures from the worlds of music and the arts, as well as billionaire aristocrats and rags-to-riches entrepreneurs.
100 individuals and families have each paid at least £10.7 million of tax either personally or through their businesses.The highest taxpayers in Britain include a scrap metal dealer, an athleisure tycoon from Bromsgrove, JK Rowling, the boss of Wetherspoon, Sting and the Duke of Westminster.The top ten taxpayers delivered £2.333 billion to the government — up nearly 14 per cent on a year ago, continuing the surge in £100 million-plus taxpayers.
Robert Watts, the compiler of The Sunday Times Tax List, said: “You will find celebrities on the Tax List but many of the entries are people who quietly run largely unheralded businesses that have been creating jobs and paying millions of tax for decades or even centuries.
“So-called ‘unicorn’ tech firms may dominate the headlines, but they often aren’t cash cows for the Treasury because they don’t employ large numbers of people or show big profits. It’s the long-established retailers, pub groups and other bricks-and-mortar businesses that often contribute more. “There lies the challenge for the chancellor and his successors.
As our economy inevitably shifts further and further online, how do we continue to fund the public services we all want?” On this year’s new No 1, Watts said: “Alex Gerko’s story is an extraordinary read. This was a man who could have been one of Russia’s greatest wealth creators — instead he is creating jobs and paying his tax here.
- Enticing the super-rich to London doesn’t always pay dividends for the public finances.
- In his case it certainly has.” Gerko’s leap up the league table has pushed Bet365 founder Denise Coates and her family into second place, ending the online gambling giant’s three-year reign at the top of the Tax List.
Ben Francis, the chief executive of athleisure brand Gymshark, is the youngest person to appear in this year’s rankings. His contribution to the public finances is estimated at £11.6 million. Francis said: “This country and its taxes afforded me a free education, free healthcare and, as the child of a nurse, it also paid my mum’s salary.
I’m nothing but proud that we contribute in every way that we can.” The JD Wetherspoon chief Tim Martin told The Sunday Times it was “vitally important” that more companies reported all the tax they paid. “Without this perspective people may become more cynical about free enterprise, which is the vital engine of prosperity, and thereby freedom, for democratic societies.” The Tax List rankings include corporation tax, dividend tax, capital gains tax, income tax and payroll taxes as well as gambling and alcohol duties, according to the most recently filed company accounts by January 15.
These are calculated in proportion with ownership of the company in question.
Name | Wealth category | Tax liability (£m) | |
1 | Alex Gerko | Financial trading | 487.4 |
2 | Denise, John and Peter Coates | Gambling | 460.2 |
3 | Stephen Rubin and family | Sportswear | 392.3 |
4 | Sir Chris Hohn | Hedge fund | 263 |
5 | Fred and Peter Done and family | Gambling | 136.8 |
6 | Mike Ashley | Sports equipment and fashion | 133.5 |
7 | Tim Martin | Pubs | 123.2 |
8 | Ranjit and Baljinder Boparan and family | Food | 120.7 |
9 | Tom Morris and family | Retail | 112.2 |
10 | Ian and Richard Livingstone | Property | 104 |
11 | Dame Mary and Douglas Perkins and family | Opticians | 100.9 |
12 | Sir James Dyson and family | Technology | 93.0 |
13 | Lady Philomena Clark and family | Car sales | 92.7 |
14 | Leonie Schroder and family | Finance | 88.7 |
15 | John Bloor | Housebuilding and motorbikes | 86.4 |
16 | Glenn Gordon and family | Distilling | 81.6 |
17 | Will Adderley and family | Home furnishings | 69.8 |
18 | The Marshall family | Defence equipment and car sales | 60.3 |
19 | Kathy and John Murphy and family | Construction and property | 59.8 |
20 | Peter Kelly | Software | 59.6 |
The Sunday Times Tax List reveals UK’s 100 biggest taxpayers – News UK
What happens if you don’t pay council tax London?
Legal demands for payment – Your council can ask a magistrate for a ‘liability order’ if you owe them unpaid Council Tax. This is a legal demand for payment. The council’s legal costs, eg for hiring a lawyer, may be added to the money you owe. You’re allowed to go to the court and give your reasons for not paying if you want.
Why is there no tax free in London?
As of 1 January 2021 the UK no longer operates Tax Free Shopping – Since 1 January 2021, visitors are no longer be able to purchase items in store in Great Britain under the VAT Retail Export Scheme. For goods purchased before this date, you can still make a claim under the scheme on departure from the UK or EU.
If you leave the UK for a non-EU country, you should make your claim as you leave the UK. All claims need to be in line with the current rules, which allow three months from the month of purchase to claim. The last day that non-EU visitors will be able to purchase goods in GB under the VAT RES scheme will be 31 December 2020 and the last day for export from the UK or EU will therefore be 31 March 2021.
See HMRC Brexit transition communications resources
What are the benefits of paying Council Tax in the UK?
What is council tax? – Council tax is the local tax which helps councils pay for the services they provide. We use the money collected for council tax to maintain roads and street lighting, for services such as street cleaning and rubbish collection and for things like ‘Meals on wheels’.
Which band has highest council tax?
Council tax bands – Most domestic properties are subject to council tax, which helps to pay for the cost of local services. There is one bill per property, whether it is a house, bungalow, flat, maisonette, mobile home or houseboat, and whether it is owned or rented.
Which area in London has highest council tax?
Most Expensive Council Tax in London As far as council tax in London is concerned, Kingston-upon-Thames has the most expensive council tax of all, closely followed by Harrow, Richmond-upon-Thames, Havering and Croydon.
Is council tax legal in UK?
Your liability to pay – You don’t have a choice of whether you are charged Council Tax. This is determined by law. Council Tax does not require your consent or a contract with the council. The issue of a Council Tax Demand Notice (the bill) creates the debt.
It isn’t a criminal offence to not pay Council Tax. However, it’s a criminal offence to not supply information without reasonable excuse in response to a Request for Information. It’s also a criminal offence to knowingly or recklessly supply false information. You can be imprisoned for up to 3 months if your failure to make payment is due to wilful refusal or culpable neglect.
Whether a name is legal or fictional is irrelevant for the purposes of Council Tax. Freemen of the Land are still liable to pay Council Tax. If you have any concerns over the charging of Council Tax, please seek professional legal advice.
Which band has highest council tax?
Council tax bands – Most domestic properties are subject to council tax, which helps to pay for the cost of local services. There is one bill per property, whether it is a house, bungalow, flat, maisonette, mobile home or houseboat, and whether it is owned or rented.
What is average council tax in London?
Council Tax Band D London – For properties valued up to £88,000, annual council tax rates in London start at £780.28 for The City of Westminster, £826.66 for residents of Queen’s Park. The City of London is a little higher, at £1007.19. Meanwhile, Southwark Council charges £1,440.88, which is representative of most of London.
Which band is the cheapest council tax?
The amount of Council Tax you pay depends on the value of your home and where you live. Find your local council and how much you need to pay using the links below:
England – GOV.UK Scotland – Scottish Local Government Wales – Welsh Local Government
Each of the links above will get you to your local council’s website. From there, you can find information on Council Tax. You might also be able to contact them directly and ask. You might be able to get a reduction on your Council Tax if you’re:
On a low income. A student or you live with students. Live alone or are the only adult in your home. Get certain benefits, such as Jobseekers Allowance, Income Support, Pension Credit, Employment and Support Allowance and Universal Credit. Or someone you live with has a disability and as a result needs to live in a larger home. Severely mentally impaired or living with someone who is. A care leaver in Scotland, where you’ll be exempt from Council Tax between the ages of 18 until you turn 26. Live in certain counties in England and Wales and are a care leaver. A member of the armed forces, depending on your circumstances. Moved into a care home or hospital. In prison – unless you’re serving a prison sentence for failing to pay Council Tax.
To find out more about who can get a reduction, and to apply, use the links below:
England – GOV.UK Wales – Welsh Local Government Scotland – Scottish Government
Most councils allow you to choose to spread your Council Tax payments over 12 months instead of the usual ten. Just ask your council if they offer this option. Making the same payment every month might make it easier for you to budget. If you pay in 10 instalments you won’t pay any in February and March.
England and Scotland have eight Council Tax bands – ranging from A (the cheapest) to H. Your home’s Council Tax band is based on its rateable value – the more expensive the property, the higher the Council Tax band. Wales has nine bands – from 1 (the highest) to 9. If your home is in a higher valuation band than it should be, you’re probably paying more Council Tax than you should.
If you have a complaint about your Council Tax, you’ll normally have to complain to the council first. They should take no longer than 12 weeks to resolve the problem. But if you’re unhappy with the outcome, or they’re taking too long to resolve your complaint, you might be able to complain to the Local Government Ombudsman Falling behind – even by one monthly payment – can be quite serious when it comes to Council Tax.
If you don’t act quickly you could be asked to pay the full year’s payment upfront. So if your Council Tax was £167 a month, but you missed the first payment of the year, that would turn into a debt of £1,670 – assuming you paid it over ten months. The most important thing is to get in touch with your council as soon as you think you might miss a payment, as this increases the chance of them being able to work with you.
Some councils will let you make the payment a little late, so you can carry on making future payments as scheduled. Others might be able to increase your future payments to make up for the missed payments. If you’re on a low income, you might even get a reduction on your bill.
It varies by council and individual cases. If you contact your council as soon as you’ve missed a payment, they’ll often help you. Not paying your Council Tax and ignoring the letters you’re sent can quickly turn into a serious problem. First, you’ll get a reminder from the council about two weeks after you miss a payment.
If you pay within seven days, you don’t need to do anything else. The debt will be clear and you’ll be able to continue paying your Council Tax in instalments. If you don’t pay within seven days of the reminder or if it’s the third time you’ve been late with Council Tax payments that year, the council will send you a ‘final notice’.
- The final notice will tell you to pay all your Council Tax for the rest of the year within seven days.
- If you don’t pay within seven days of the final notice your council will usually apply to the courts for permission to collect the debt from you.
- This is known as a ‘liability order’.
- After this, your council can get your employer to pay your unpaid Council Tax directly from your wages.
They can also apply to take money from certain benefits, including
Employment and Support Allowance Income Support Jobseeker’s Allowance Pension Credit Universal Credit.
If this isn’t possible, the council might send a bailiff (called a Sheriff Officer in Scotland) to your home. You’ll have to pay court costs and possibly bailiff fees as well as your debt, which can add hundreds of pounds to your bill. For more information about stopping bailiffs at your door, go to the Citizens Advice website If you’re in England, it’s also still possible to get a prison sentence for getting behind with Council Tax.
What is the council tax rate in the UK 2023?
Council tax bands 2023/2024
Valuation band | Range of (1991) values | Total Amount 2023/24 |
---|---|---|
A | Up to £40,000 | £1,227.27 |
B | £40,000 – £52,000 | £1,431.80 |
C | £52,000 – £68,000 | £1,636.35 |
D | £68,000 – £88,000 | £1,840.89 |