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Luton Borough Council

Council Tax hardship fund


Further information

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In response to the coronavirus pandemic, the government has allocated funds to local councils to support residents financially. The fund is to help people to pay their Council Tax bill. People of working age who receive Council Tax Reduction (CTR) will receive up to a maximum of £150 per household (on top of their existing CTR). Where the bill is already below £150 it will be reduced to zero.

Anyone who is of working age and receives Council Tax Reduction during the 2020-21 financial year. You are not eligible if you are part of a couple where either of you are of pension age.

No. You do not need to do anything. We will make the reduction using our records that show you receive Council Tax Reduction. The reduction will be awarded automatically.

As long as the COVID-19 hardship fund remains open, you will still be entitled to up to £150 off your Council Tax bill. This is as long as you are due to pay £150 in Council Taxx from the point your claim starts to 31 March 2021. If you are due to pay less than this, your remaining bill will be reduced to zero.

The fund is limited by government grant and is intended to help households with the effects of COVID-19. We retain the discretion to cease additional payments when the fund is exhausted, or when the impact of COVID-19 has reduced.

This extra help was not announced in time for annual Council Tax bills which were sent in March. If you are entitled to Council Tax Reduction and are of working age, a revised bill for 2020-21 will be sent to you as soon as possible. You do not need to contact us as the bill will be issued automatically. However, in the meantime please continue to pay your Council Tax bill.

People who are joint owners or joint tenants are jointly and severally (that is, individually) liable for the one Council Tax bill for the dwelling. Where individuals are jointly and severally liable for Council Tax, and any of the individuals are entitled to Council Tax Reduction (CTR), the reduction of £150 will be applied to the Council Tax liability for the whole property (regardless of whether one or all of the liable parties are entitled to CTR). This reduction will be applied from the earliest date of CTR entitlement for any of the liable parties.

If you were in receipt of Council Tax Reduction before you became a pensioner you are still entitled to receive a maximum of £150 hardship payment.

Yes, a new award will still be made regardless of any reductions or discretionary assistance you may have received in your previous local authority, for as long as the fund remains open.

Your hardship payment will only reduce if your liability ends partway through the year and leaves you with less than £150 to pay. If this is the case, your bill will be reduced to nil and you will not need to make any more Council Tax payments.

If you receive a revised bill showing your account is now in credit, you can apply for a refund by completing the application form.

Apply for a Council Tax refund

For additional help with your Council Tax you can apply for Council Tax Exceptional Hardship

If you are struggling to pay your Council Tax, please contact us. We can review your payments based on your circumstances.


The government has given us funds to support residents financially in response to the coronavirus pandemic. The hardship fund for Council Tax can help you by cutting your Council Tax bill further.​

© 2021 Luton Council, Town Hall, Luton LU1 2BQ