Reclaim overpaid council tax
Moved home since 1993? Check if you’re owed £100+ back
Over £140 million in excess tax payments is currently held by councils. If you’ve relocated since 1993, you might be entitled to over £100 of this sum. Even if you haven’t moved, you could still be eligible for a refund. This guide will help you determine if you’re among the 800,000 individuals affected and provide instructions on how to reclaim your money.
Who is most likely to be owed
Data obtained through the Freedom of Information Act reveals that £141 million is owed to council tax payers across 349 local authority areas in England, Scotland, and Wales. Our comprehensive report provides a detailed breakdown for each council, but the key takeaway is that 808,000 households are owed money. This guide will help you determine if you’re among those due a refund.
In essence, if you’ve paid more in council tax than you actually owe at any time, your account will be in credit. Typically, this isn’t an issue, as council tax is often paid in advance, leading to a credit balance. However, problems can arise if an account is closed while still in credit, which can occur if you relocate to a different area, for instance.
Here are the main reasons you might be owed:
- You pay for your council tax in advance, and the account’s closed before the point you’ve paid up until. For instance, if you opt to pay your annual council tax in 10 installments, spanning from April to March, and you relocate in mid-February, you will have overpaid for a month and a half. Councils frequently issue a refund automatically before closing your account; however, if yours doesn’t do so and you don’t request a refund, your account will be closed with a credit balance.
- You forget to cancel a payment. This means you could end up paying when you no longer live in the property.
- You get a retrospective discount, for example, if your property’s rebanded. If someone else takes residence in your property after you’ve successfully applied to reduce the tax band, it indicates that you might have overpaid. Consequently, a credit may be issued to your closed account. To find out if your old home has been rebanded in England or Wales, see the Government’s council tax band checker. For Scotland, see the Scottish Assessors’ Association website.
Determining if you fit into the aforementioned categories can be challenging. However, based on our findings, we are confident that:
You are MOST likely eligible to make a claim if you have relocated from a council area within the past 31 years (dating back to 1993) and did not use direct debit for payments.
This is because:
- If you relocated within the same local authority, the council is more apt to notice that your previous account had a credit balance and either issue a refund or adjust your bill at your new address. Conversely, if you moved out of the area, particularly without providing a forwarding address, you are more likely to be owed money.
- Councils usually aim to refund credits whenever they can, and if they have your direct debit information, this process is generally smooth. However, most councils that attempt to issue refunds indicate they are unable to do so if the payment was made using methods other than direct debit, such as cash, standing order, or cheque.
To clarify, there will be some exceptions—individuals who have relocated between local authorities or who pay via direct debit may also be eligible for refunds. For instance, if you resided in a household with several bill-payers, it could have been more challenging for the council to determine who qualifies for a refund.
How do I make a claim and get the money back?
The best way to claim for money you think you’re owed will depend on your council, as some have different options:
- Option 1. Check if your old council offers an EASY online claims form. To determine if you’re eligible for a council tax refund, this method could be the easiest for you. Simply search for “[council name] council tax refund form” on Google. Typically, this search will direct you to an online claim form, but if not, it should lead you to a page outlining your council’s refund process.Many councils’ forms will ask for your previous council tax reference number, which can usually be found on a past bill. Some forms may be quite lengthy—if that’s an issue, consider the alternative option provided below. The benefit of this method is that if you discover you are owed a refund, you can claim it directly without needing further action.
- Option 2. Call or email your council. If there’s no online form, you don’t have enough details or the form’s off-puttingly long, you can try calling, emailing or live chatting with your council instead. (You can check contact details on Gov.uk.)Although this might appear to be the simpler choice, it’s important to be aware that if you discover you’re owed money, you’ll probably need to complete a form to claim it (or at the very least provide additional information).
Important. It’s crucial to verify if you might be eligible for any funds by using the criteria provided earlier. We recommend against randomly contacting your council, as it could lead to wasted effort on your part and overwhelm their switchboards. Many people are currently reaching out to their councils for essential assistance due to the cost of living crisis.
How do I claim for someone who has died?
Councils frequently cite the death of an individual as a common reason for closing an account, which sometimes results in a remaining credit balance. If you are managing the estate of the deceased, you may be entitled to reclaim any outstanding council tax credit. To determine if there is any money owed to you, reach out to the council following the procedures mentioned earlier to make your claim.