Personal finance advocate Martin Lewis has raised concerns about inaccurate council tax information, potentially costing unpaid carers millions of pounds. He emphasizes that numerous councils are improperly communicating eligibility for the live-in Carer Council Tax discount, which is vital for many in this role.
Inaccurate Council Information on Tax Discounts
An investigation by MoneySavingExpert.com revealed that over 69 councils across England and Wales provide incorrect details regarding the live-in Carer Council Tax discount. This translates to at least one in five councils sharing misleading or incomplete criteria.
Scope of the Investigation
- MSE examined more than 200 council websites.
- 69 councils, including seven in London, offered inaccurate eligibility information.
- Approximately 80 councils failed to provide accessible information about qualifying benefits.
The live-in Carer Council Tax discount can reduce a council tax bill by either 25% or 50%. For many households, a 25% discount may account for savings of around £500 per year.
Who Qualifies for the Discount?
To qualify for this significant discount, carers must meet specific criteria:
- Provide at least 35 hours of care weekly.
- Caring must be for someone who is not a spouse, partner, or child under 18.
- The individual being cared for must receive specific disability benefits.
As of 2013, changes to qualifying benefits include:
- Armed Forces Independence Payment
- Lower rate Attendance Allowance
- Middle rate Disability Living Allowance
- Enhanced and standard rates of Personal Independence Payment
The Broader Impact on Unpaid Carers
Lewis cautions that the misleading information may deter thousands of unpaid carers—estimated at five million in the UK—from claiming these essential discounts. Many of these individuals help care for aging relatives or disabled family members.
Helen Walker, CEO of Carers UK, noted that unpaid carers contribute an estimated £184 billion to the UK economy. However, they often face substantial financial burdens due to the costs associated with caregiving.
Financial Challenges Faced by Carers
- 49% of unpaid carers have cut back on essentials in the past year.
- 32% have resorted to loans or credit to manage expenses.
- 60% report feelings of anxiety or stress regarding their finances.
Martin Lewis stresses the importance of accurate information for these individuals, stating that the incorrect details on council websites undermine their ability to secure much-needed financial support. He advocates for councils to urgently update their sites and agrees to notify the Ministry of Housing, Communities and Local Government to address the issue systematically.
Local Councils with Inaccurate Information
Some councils listed as providing misleading information regarding the live-in Carer Council Tax discount include:
| Region | Councils |
|---|---|
| East Midlands | Bolsover, Derby, Harborough, High Peak, Hinckley and Bosworth, North West Leicestershire, Rushcliffe, South Derbyshire, South Kesteven, West Lindsey |
| East of England | Braintree, Broxbourne, Huntingdonshire, North Hertfordshire, North Norfolk, Stevenage, Uttlesford |
| London | Barnet, Bromley, Camden, Haringey, Hounslow, Merton, Waltham Forest |
| North East | Blackpool, Burnley, Fylde, Pendle, Rossendale |
| South East | Adur, Brighton and Hove, Cherwell, Chichester, East Hampshire, Fareham |
| South West | Cheltenham, Gloucester, North Somerset, Plymouth |
| West Midlands | Lichfield, Sandwell, Staffordshire Moorlands |
| Yorkshire and the Humber | Calderdale, North East Lincolnshire, North Yorkshire, Sheffield |
| Wales | Denbighshire, Merthyr Tydfil |
Awareness surrounding the live-in Carer Council Tax discount is essential. Accurate information can uplift many families struggling under financial pressure due to caregiving duties.
