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 to 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 |
The bandings for 2024 to 2025 (from 1 April 2024) are:
Level |
Weekly Earnings |
Proportion of Council Tax bill payable |
Proportion of Council Tax bill reduced (i.e. not payable) |
1 |
up to £84.29 |
18% |
82% |
2 |
£84.30 to £120.42 |
40% |
60% |
3 |
£120.43 to £156.55 |
60% |
40% |
4 |
£156.56 to £204.72 |
80% |
20% |
5 |
£204.73 to £301.07 |
90% |
10% |
6 |
£301.08 plus |
100% |
No reduction - not eligible for CTR |