![\"Photo](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/08\/1_Chancellor-Rachel-Reeves-Announces-Financial-Services-Reforms-In-Leeds.jpg\")
Treasury officials, led by Rachel Reeves, said there are “no plans” for a discount on the horizon(Image: Oli Scarff\/WPA Pool\/Getty Images)<\/p>\nRachel Reeves’ department has responded to a popular campaign urging ministers to consider reducing council tax for the elderlyTreasury officials, led by Rachel Reeves, said there are “no plans” for a discount on the horizon(Image: Oli Scarff\/WPA Pool\/Getty Images)<\/p>\n
Campaigners fighting for a council tax discount for all UK state pensioners<\/a> have received a significant update. A petition on the Parliament website, which has garnered more than 10,000 signatures, has prompted an official response from the Treasury.<\/p>\n Chancellor Rachel Reeves’ department has provided an update on whether there are any plans for a discount<\/a>. The petition, initiated by David Papworth, stated: “I feel that current council tax rates<\/a> do not take pension incomes into account. This means some pensioners are having to pay what I think is a very significant percentage of their pension towards council tax.<\/p>\n “When many pensioners have worked for 50-odd years, paid into a pension, bought their own house, then retire on a lower income, I do not think they should have to pay such a significant amount of council tax.”<\/p>\n However, in a setback for campaigners, Treasury officials announced that there are “no plans” for a major change at present, and highlighted that exemptions exist for the poorest<\/a>. They also pointed out that a range of assistance is currently being offered to some of the country’s most impoverished individuals.<\/p>\n READ MORE: Chancellor likely to raise taxes ‘to fill \u00a351bn black hole in public finances’, experts warn<\/a>READ MORE: DWP 48 health conditions that could get you an extra \u00a3110.40 per week<\/a><\/p>\n The statement read: “The Government requires councils to provide council tax support so the lowest-income pensioners do not pay council tax. There are no plans for a mandatory council tax discount<\/a> for all pensioners.<\/p>\n “Councils provide over 800 vital local public services to millions of people across the country. Council tax is an essential component of their funding, without which councils would not be able to meet their legal responsibilities.<\/p>\n “To ensure fairness in the system, there are a range of discounts and exemptions<\/a> to reflect personal circumstances. Councils are required to put in place a centrally prescribed support scheme for pension-age households.”<\/p>\n It added: “This ensures that the lowest-income pensioners are not required to make any contribution towards their council tax. In March 2025, 1.4m claimants were being supported by the pension age local council tax support. The government has no plans to introduce a mandatory discount for all pensioners.”<\/p>\n The Treasury outlined various benefits currently targeted at pensioners, revealing that this year, the Government will invest more than \u00a3174bn directly on the State Pension and pensioner benefits across Great Britain, reports the Express<\/a>. It noted that the full rate of the new State Pension has increased to \u00a3230.25 per week, totalling over \u00a312,000 a year, following a rise aligned with average earnings.<\/p>\n It stated: “The basic State Pension has also increased to \u00a3176.45 per week, which is over \u00a39,200 per year. These increases reflect our commitment to the Triple Lock and to protecting pensioners from the rising cost of living.<\/p>\n “The Government’s commitment to maintaining the Triple Lock throughout this Parliament will mean the annual spending on people’s State Pensions is forecast to rise by around \u00a331bn and this will see pensioners’ yearly incomes being up to \u00a31,900 higher by the end of this parliament.<\/p>\n “Supplementary benefits provide additional support, including Pension Credit (which guarantees a minimum level of income for low-income pensioners). Pensioners receiving Pension Credit also to receive other benefits (help with council tax, fuel bills and a free TV licence for those over 75).”<\/p>\n The statement also emphasised the Winter Fuel Payment, which will be distributed to all individuals over the State Pension age in England and Wales earning \u00a335,000 or less each year \u2013 a benefit that was restored to nine million pensioners earlier this year by the Chancellor.<\/p>\n It also highlighted that other key supplementary benefits for low-income pensioners include the Warm Home Discount (rebate on energy bills), Housing Benefit (help with rent) and Discretionary Housing Payments.<\/p>\n The Household Support Fund in England offers discretionary support towards the cost of essentials, which the Government has extended until March 31, 2026. Pensioners also qualify for free eye tests and NHS<\/a> prescriptions, as well as free bus passes.<\/p>\n![\"UK](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/08\/1_UK-council-tax-bill-generic.jpg\")
Ministers insisted there are other means of support for hard-up pensioners(Image: Clubfoto via Getty Images)<\/p>\n![\"Stock](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/08\/2_Hands-of-senior-man-warming-himself-from-the-radiator.jpg\")
The Government pointed to the Warm Home Discount as a form of financial support(Image: Kate Wieser via Getty Images)<\/p>\n