What should I do if I have fallen behind on Council Tax?
If you have fallen behind on Council Tax, act quickly: contact the council, explain your situation and agree a way to clear the arrears, because Council Tax is a priority debt with strong recovery powers. Free debt advice is available. The sooner you engage, the more options you keep.
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Check what you're owed →Council Tax is treated as a priority debt because councils can recover it firmly, including by asking a court for a liability order, taking money from wages or benefits, or using enforcement agents. Ignoring letters makes things worse and removes the gentler options, so the first step is always to make contact.
When you do, you can usually arrange a realistic repayment plan, ask to spread the remaining year over more instalments, and check whether you should have been getting a discount or reduction all along. Sometimes arrears exist because an entitlement was missed, which can reduce the debt itself.
Free, independent debt advice can help you deal with the council and prioritise your debts properly. It is also worth applying for Council Tax Reduction, the Section 13A discretionary power and any hardship fund, as together these can bring the bill down to a manageable level.
How to deal with Council Tax arrears
- Contact the council early. Get in touch as soon as you fall behind and explain your situation honestly.
- Check your entitlement. Make sure any discount or reduction you qualify for has been applied, which may cut the debt.
- Agree a plan. Arrange a realistic repayment plan or spread the remaining year over more instalments.
- Get free advice. Speak to a free debt advice service to prioritise your debts and deal with the council.
Frequently asked questions
- Why is Council Tax a priority debt?
- Because councils have strong recovery powers, including liability orders, deductions from wages or benefits, and enforcement agents, so it should be dealt with before non-priority debts.
- What is the first thing to do?
- Contact the council, explain your circumstances and ask to agree a repayment arrangement, rather than ignoring the letters.
- Could a missed discount have caused the arrears?
- Sometimes. If you were entitled to a discount or reduction that was never applied, correcting it can lower the debt as well as future bills.
- Where can I get free help?
- Independent debt advice services can help you negotiate with the council and prioritise your debts at no cost.
MoneyFinder is an independent sign-posting service that helps you find financial support you may be entitled to. We are not a government body and do not provide financial advice. Figures are taken from the official sources cited above and were correct when last checked — always confirm current details on the linked GOV.UK pages.