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UK Council Tax 2026/27 — Bands, Average Bills, Discounts, 200% Premium

Reviewed by Alex Morgan · Updated April 2026 · Most councils at 4.99% cap rise

Council Tax bands (England + Scotland)

Band 1991 valuation (England) Multiplier of Band D Indicative 2026/27 cost (Band D £2,200 council)
AUp to £40,0006/9£1,467
B£40,001 – £52,0007/9£1,711
C£52,001 – £68,0008/9£1,956
D£68,001 – £88,0001.0 (reference)£2,200
E£88,001 – £120,00011/9£2,689
F£120,001 – £160,00013/9£3,178
G£160,001 – £320,00015/9£3,667
HAbove £320,0002.0£4,400

The bands are based on what the property was worth on 1 April 1991 in England — a valuation never updated despite UK property prices rising ~7-fold since. So a £40,000 house in 1991 is Band A regardless of its current 2026 value (typically £200,000-£300,000+). Two seemingly identical modern properties can sit in different bands based on their 1991 valuation history. Wales rebanded in 2003 to 9 bands using 2003 valuations.

2026/27 highest and lowest council tax bills

Council Band D rate 2026/27 Notes
Westminster (lowest)~£1,000Lowest in England — central government grant subsidises
Wandsworth~£950Unique low-cost London model
Hammersmith & Fulham~£1,400Low-tier London
English average~£2,200Median typical
Birmingham~£2,200Highest among major cities; recent special permission for above-cap rises following Section 114
Rutland~£2,650Among the highest in England
Nottingham~£2,500Section 114 / above-cap permission
Glasgow (Scotland)~£1,600Scottish rates structurally lower
Cardiff (Wales)~£2,000Wales-specific Band D in £45,000-£65,000 valuation tier

The 4.99% cap rule: English councils can raise council tax by up to 4.99% (2.99% general + 2% adult social care precept) without holding a referendum. Above that requires a costly local referendum — almost always rejected. Councils issuing a Section 114 notice (effective bankruptcy) can apply for special permission to raise above the cap; Birmingham, Croydon, Nottingham, Thurrock and Woking all received this in 2024-25.

Discounts and reductions you should claim

Reduction Saving Eligibility
Single Occupant Discount25%Only one adult lives at the property as their main home
Disabled Band ReductionMoves down 1 bandDisabled adult/child needs an extra room/space adapted
Student Exemption100% (treated as nobody)Full-time student or 16-19 in qualifying education
Severe Mental ImpairmentFull disregardDiagnosed; needs medical certificate from GP/psychiatrist
Council Tax Reduction (CTR)Up to 100%Means-tested; rules vary by council
Apprentice DisregardDisregardedEarning ≤£195/week + recognised training
Care Worker DisregardDisregardedLive-in carer (paid less than £52/wk by the cared-for person)
Diplomat / Visiting ForcesFull exemptionSpecific status documentation

Each council manages its own Council Tax Reduction (CTR) scheme since 2013 — there is no national formula. Most schemes pay up to 100% for very low-income working-age households. Pension-age claimants have nationally-protected rules giving more generous support. Apply via your council's website — most use the same online forms as Universal Credit.

Empty homes and second homes — the 200% premium

The Levelling-up and Regeneration Act 2023 changed the empty-home and second-home regime from April 2025/26:

Result: a Band D second home in a 4.99% standard council faces ~£4,400 in 2026/27 (£2,200 standard + 100% premium). In Cornwall, parts of Wales, the Lake District and other tourist hotspots, second-home premiums have driven a surge in conversions to "furnished holiday lettings" or short-term Airbnb-style businesses, which can qualify for business rates instead of council tax — often paying nothing if below the small business rate threshold. Government is consulting on closing this loophole.

How to challenge your Council Tax band

  1. Check neighbouring properties — if identical homes near you are in a lower band, you have a strong case. Search at gov.uk/check-council-tax-band.
  2. Submit a "proposal" to the Valuation Office Agency (VOA) at gov.uk/challenge-council-tax-band. Free.
  3. Provide evidence: comparable neighbouring properties, Land Registry sales data showing 1991 equivalent values, original VOA documents if available.
  4. VOA decision — typically takes 2-4 months. Refunds can be backdated to when you moved in (or to 1993 if you've owned since).
  5. Appeal — if VOA rejects, appeal to the Valuation Tribunal Service within 3 months.

Caveat: the VOA can move you UP a band if their review reveals you've been underpaying. Make sure your case is strong before submitting. Reading r/HousingUK or local forums for similar successful challenges in your area is helpful before filing.

Pair this with

Sources

  1. gov.uk — Council Tax
  2. gov.uk — Check your council tax band
  3. gov.uk — Apply for Council Tax Reduction
  4. DLUHC — Local government finance settlement 2026/27
  5. Local Government Finance Act 1992
  6. Levelling-up and Regeneration Act 2023