Council tax exemptions: who is eligible and how to apply

Paying tax is inevitable wherever you live, so any chance of an exemption is extremely welcome – and should not be missed. In the UK, there’s a mandatory local property tax levied on residential dwellings each month that offers some people exemptions and discounts: council tax. Are you eligible to cross this off your tax bill?

What you’ll learn in this quick guide

• About council tax
• Exemptions for full-time students
• How to apply for an exemption as a student
• Other exemption categories
• FAQs
• How Simply London can help

What is council tax?

This local tax is charged by London boroughs to fund public services – from refuse collection to emergency services. The amount you pay depends on the band your property falls into (A to H), which is determined by its estimated value and which borough it’s in. The average Band D charge is currently around £2,171 per year – so an exemption or discount is well worth claiming.

Exemptions for full-time students

This is the most commonly claimed and most generous exemption.

A full exemption applies if:

• You live in student halls of residence – this exemption is automatic, so you don’t need to do anything.
• You’re renting privately and living with fellow students – you’ll need to apply for the full exemption.

Whether you’re a UK, international or postgraduate student, you qualify as a full-time student for council tax purposes if your course:

• Lasts at least one calendar or academic year.
• Runs for at least 24 weeks of the year.
• Typically involves at least 21 hours of study, tuition, or work experience per week during term time.

If one person in the household is not a full-time student, the property is no longer exempt. The non-student resident may qualify for a 25% single person discount, since full-time students are “disregarded” for council tax purposes. This means they don’t count as residents when calculating the bill.

Part-time students don’t qualify for the student exemption – but may be eligible for a council tax reduction based on income and circumstances.

If you’ve finished one full-time course and are waiting to start another, for example, between undergraduate and postgraduate study, you may be liable for council tax during that interim period. Check with your borough council to confirm.

If you take a break from your course but remain registered and intend to return, you should still be treated as a student for council tax purposes.

How to apply for an exemption as a student

Step 1: Get your student exemption certificate

Contact your university or college’s student services or registry office and request a council tax exemption certificate. This confirms that you’re enrolled as a full-time student.

Step 2: Contact your local council

Find the council tax section on your London borough’s council website. Most councils have an online application form for exemptions. You can also call or visit in person.

Step 3: Submit your application

Fill in the form and attach your supporting documents. The council will assess your application.

Step 4: Notify the council of any changes

If your circumstances change, for example, a non-student moves into the property, you must inform your council promptly. Failure to do so can incur backdated charges.

Other exemption categories

• Single occupants – anyone living alone receives a 25% discount.
• Severely mentally impaired (SMI) individuals – properties where all residents are SMI are fully exempt; if one resident is SMI and the other is a disregarded person (such as a student), a 50% discount applies.
• Student nurses – anyone studying on an NHS-funded nursing course is disregarded in the same way as students.
• Apprentices and school leavers – apprentices earning below a certain threshold, and 18–19 year olds still in full-time non-advanced education, such as A-levels, are disregarded.
• Non-British spouses or dependants of students – if the partner or dependant of a student is not a British citizen and is unable to work or claim benefits under the terms of their visa, the property may be fully exempt.
• Empty properties – a property left empty by a student while they study elsewhere may also qualify for exemption.

FAQs

> Do I need to apply for the exemption every year?

No. However, councils periodically review exemptions and may ask you to reconfirm your student status. If you receive a review letter, respond within the stated timeframe to prevent your exemption from being cancelled.

> What if my flatmate is not a student?

The property will no longer be fully exempt. However, if there’s only one non-student adult in the household, they may qualify for a 25% single person discount, since full-time students are disregarded for council tax purposes and don’t count as residents when the bill is calculated.

> I’m an international student. Do I still qualify?

Yes. The student exemption applies to both UK and international students, provided you meet the full-time criteria.

> What happens during the summer when I’m not studying?

The exemption covers the full academic year, not just term time. Therefore, you remain exempt during holidays as long as you’re still registered on your course and intend to return.

> I’m a distance learning student, am I exempt?

Usually not. Most distance learning students don’t qualify for the full-time student exemption, as courses typically don’t meet the regular in-person attendance requirement. However, if your course requires you to attend in person regularly, you may still be eligible – check with your local council, as rules vary.

Sources

• Citizens Advice – Paying council tax if you’re a student
• Gov.UK – How Council Tax works
• Simply London – London: officially the world’s best city to live and work
• Simply London – 10 top tips to help you settle into life in London

 

Consult with Simply London

Council tax is just one of many things to arrange when relocating to London. At Simply London, our settling-in services include help with exactly this kind of admin – from registering for utilities and council tax to setting up a bank account and registering with a GP. We make the practical side of the move as painless as possible, so you can focus on enjoying your new life in London.

Get in touch here to discuss how we can help!