What happens to Council Tax when someone moves into a care home?
When a person moves permanently into a care home or hospital as their main residence, the home they leave behind can be exempt from Council Tax if it is left empty. If another adult remains, a discount may apply instead. You tell the council the date of the move.
See everything you may qualify for — benefits, grants, reductions and reliefs — in about 3 minutes. Free to check.
Check what you're owed →A move into a care home that becomes the person main residence changes their Council Tax position. They are generally no longer treated as resident at the old property. Where that old home is left unoccupied as a result, an exemption commonly applies for as long as it stays empty for that reason.
If, instead, a partner or other adult remains living in the home after the person moves into care, the property is still occupied. In that case the remaining adult may become the only countable adult and qualify for a single adult discount rather than the home being exempt.
It is important to keep the council updated, as the exemption depends on the property staying empty because of the care move. If the home is later sold or let, the position changes. Reviewing wider benefits and reductions is sensible during what is often a stressful transition.
How to handle Council Tax for a care home move
- Confirm the main residence. Establish that the care home or hospital is now the person permanent main residence.
- Tell the council. Inform the council of the move date and whether the old home is now empty.
- Apply for the right relief. Request the exemption for an empty home, or a discount if an adult remains.
- Report later changes. Tell the council if the property is sold, let or reoccupied so the charge updates.
Frequently asked questions
- Is the old home exempt when someone enters care?
- If it is left empty because the person has moved permanently into a care home or hospital as their main residence, an exemption usually applies while it stays empty.
- What if a relative still lives there?
- Then the home is still occupied. The remaining adult may qualify for a single adult discount rather than the property being exempt.
- Does it matter that the move is permanent?
- Yes. The exemption is for a permanent move where the care home or hospital becomes the main residence, not a temporary stay.
- What happens if the home is sold?
- The exemption ends when the property is sold or let, as it no longer sits empty because of the care move. Tell the council when that happens.
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.