Four things to do NOW before council tax goes up next week – and they could save you hundreds

COUNCIL tax bills will jump by hundreds of pounds next week, piling further pressure on struggling households.

Rates will be hiked by as much as 6% across the country – we explain what you need to do now to get ready.

AlamyCouncils are hiking tax rates from April, adding hundreds of pounds to bills[/caption]

Council tax bills will soar from April 1 as local authorities across the country increase rates.

The tax pays for local services such as road upkeep and state schools.

The amount you pay depends on where you live as the rate is set locally, so some people will have to pay more than others.

You can find out what council area you live in on the Government website.

There are steps you can take to make the rise easier on your budget.

For example, some people are eligible for a discount and there are other ways to cut your bill – we explain.

Apply for a discount

You could be eligible for a council tax reduction without realising and some people can even get a 100% discount.

If you live on your own, you’re entitled to 25% off your council tax bill.

This also applies if there is one adult and one student living together in a household.

If you live with someone who doesn’t have to pay council tax – such as a child or someone who is severely mentally impaired – you could get a 50% reduction.

If you live in an all-student household, you won’t have to pay council tax.

Pensioners may also be eligible for a reduction.

If you receive the Guarantee Credit element of Pension Credit, you don’t have to pay.

If not, you could still get help if you have a low income and less than £16,000 in savings.

As with those of working age, a pensioner who lives alone will be entitled to a 25% discount, too.

If you are on a low income or receiving benefits, you could eligible for a reduction on your council tax.

Check with your local council for full details about discounts and exemptions.

Set up a direct debit

The government will give out £150 council tax refunds from April to help families cope with the rising cost of living.

It is available to people in council tax bands A to D.

The grant will be handed out first to people who pay their council tax bills via direct debit.

That’s because it can be deposited straight into their bank accounts.

To set up a direct debit payment, you need to contact your local council directly.

You can choose to pay your council tax bills over 12 months or 10.

If you choose 10 months your monthly payments will be slightly higher as the bill is spread over less time.

But you’ll get two months where you’ll pay nothing at all.

The money will be taken out of your bank account on the same day each month, so you need to make sure you have the funds.

If you decide you don’t like paying by direct debit you can always cancel this – but do it through your council.

Never just cancel through your bank as it’s likely to be recorded as a missed payment which can have serious consequences.

You’ll need to choose a new way to pay, like using a debit card to pay online, bank transfer, cheque or paypoint.

Find out how to apply for £150 refund

If you don’t want to pay by direct debit, you should find out how to get the £150 refund so you don’t miss out.

Get in touch with your council to check what the process is and if there’s anything you need to do.

It’s likely to take longer for people who don’t pay by direct debit, but you should still make sure you get the refund.

Check your council tax band

The amount of council tax you pay is determined by what band your property is in, which is based on how much your home is worth.

You can find out your band by checking with your local authority or on the postcode checker.

If you think you are paying more than you should, you can try and change the band.

Use the council tax band checker tool to see which band your neighbours are in.

If they are in a lower band than you are, you could get yours moved down.

Contact the Valuation Office Agency (VOA) in England and Wales or the Scottish Assessors Association (SAA) in Scotland to do this.

Make sure you’ve got the evidence to hand showing you’re paying more, such as addresses of similar properties to yours in a lower band.

If the VOA agrees that your property is in the wrong section, it will contact you to let you know it will be changed.

It can take up to two months for the VOA to review your case.

Bear in mind that there’s also the chance the VOA could decide you’re not paying enough and you’ll be moved to a higher level.

In some cases, entire streets have been hiked upwards – which won’t make you popular with the neighbours.