How we calculate Council Tax Reduction

The way in which we calculate Council Tax Reduction (CTR) for those on Universal Credit with Earned Income has changed. It is now assessed according to Earned Income bandings. The bandings for 2023-2024 are:  

Level 

Weekly Earnings  

Proportion of Council Tax bill payable  

Proportion of Council Tax bill reduced (i.e. not payable) 

1 

up to £76.77

            18% 

            82% 

2 

£76.78 to £109.67

            40% 

            60% 

3 

£109.68 to £142.58 

            60% 

            40% 

4 

£142.59 to £186.45

            80% 

            20% 

5 

£186.46 to £274.20

            90% 

            10% 

6 

£274.21 plus

100%

No reduction - not eligible for CTR