Council tax and fines · 4 min read
Can council tax debt be written off?
Councils rarely write off council tax, but arrears can be reduced or cleared through backdated reductions, hardship relief, a Debt Relief Order, an IVA or bankruptcy. The options, the pros and cons, and what never gets written off.
- Fact-checked
- Against official sources
- Last updated
- Next review due
- April 2027
- Applies to
- England and Wales
- Sources
- 4 listed on this page
Independent guidance, not a government service. This page is general information about the law in England and Wales, not financial or legal advice. Debt solutions have fees, risks and consequences. For free, impartial advice, contact MoneyHelper or a debt charity.
The short answer
Councils don’t usually write off council tax just because you can’t pay. But arrears can be reduced or cleared: by a backdated Council Tax Reduction or discount, hardship (section 13A) relief, or through a formal debt solution – a Debt Relief Order, an IVA or bankruptcy – which can include council tax arrears. Each formal solution affects your credit rating and has other consequences.
1. Make sure the arrears are right
Before anything else, check the bill:
- Were you entitled to Council Tax Reduction or a discount you didn’t claim? A backdated award can reduce or even clear arrears. See Council Tax Reduction and discounts.
- Were you actually liable? For example, had you moved out, or was the property exempt?
- Is someone in the household disregarded, such as a full-time student or a person with a severe mental impairment?
2. Ask for hardship relief
Councils can reduce council tax for people in exceptional financial hardship, using a discretionary power often called section 13A relief. It isn’t guaranteed, and each council has its own policy, but it’s worth asking – especially if you’ve had a serious illness, bereavement or sudden loss of income.
3. Formal debt solutions that include council tax arrears
| Solution | Council tax arrears included? | Cost | Key downsides |
|---|---|---|---|
| Debt Relief Order | Yes | Free | Strict limits on income, assets and debts; credit file for 6 years |
| IVA | Usually | Fees from payments | 5–6 years of payments; credit file for 6 years; homeowners may need to release equity |
| Bankruptcy | Yes | £680 | Assets including your home may be sold; restrictions; credit file for 6 years |
In all of these, only the arrears are covered. You must keep paying your current council tax.
- Read what debts can be included in a DRO?
- Read our IVA guide
- Read how to go bankrupt
4. If someone has died
Council tax owed by someone who has died is usually paid from their estate. Family members aren’t normally personally liable unless they were jointly liable (for example, a partner living in the home). Empty homes may be exempt for a period after a death. Contact the council’s council tax team.
5. Don’t fall for “council tax write-off” scams
Be wary of anyone promising to get council tax “written off” for a fee, or claiming there’s a special government scheme. The legitimate routes are the ones above, and free advice is available from MoneyHelper and debt charities.
What happens to bailiffs?
If your council tax arrears are included in a DRO (once made), an IVA (once approved) or bankruptcy, the council can’t use bailiffs to collect those arrears. While you’re getting advice, Breathing Space can pause enforcement for 60 days. See can Breathing Space stop bailiffs?
Frequently asked questions
Does council tax debt get wiped after six years?
Not if the council got a liability order within six years. Once it has a liability order, it can keep enforcing. Read how long can bailiffs chase a debt?
Can I get council tax written off if I’m on benefits?
Being on benefits doesn’t automatically clear arrears, but you may qualify for Council Tax Reduction (going forward and possibly backdated), and a free DRO may be an option.
Will the council agree to a reduced settlement?
Councils rarely accept less than the full amount, but they can agree affordable payments over time and may consider hardship relief.
Sources
How we wrote this article
- Research: written from primary sources such as legislation.gov.uk, GOV.UK and the Insolvency Service, then fact-checked by a second member of our team. The sources are listed above.
- Checked: last checked on . Next review due April 2027, or sooner if the rules change.
- Scope: applies to England and Wales. If you live in Scotland or Northern Ireland, read our Scotland and Northern Ireland guide. It is general information, not personal advice.
- Independence: we are not a government website or service, and we are not connected to any council, court or enforcement company.
- Money: we may receive a fee if we introduce you to a debt advice firm. This doesn't change what we write. How we're paid.
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