The proposals claims it’s unfair that state pensioners have to pay the tax no matter what their income is
A new council tax campaign has been started to get it slashed for state pensioners(Image: DGLimages via Getty Images)
Campaigners advocating for a significant council tax discount for all UK state pensioners have launched a fresh campaign. Amid the cost of living crisis, there are growing calls for pensioners to receive either reductions or a complete elimination of the tax.
A new petition has been initiated on the Parliament website, demanding an end to this tax for all UK pensioners, claiming it’s unfair that all pay regardless of income.. If it garners 10,000 signatures, it will receive an official response from the Treasury – and if it surpasses 100,000, it could trigger a full debate with MPs.
The petition, initiated by Michael Thompson, states: “We call on Parliament to pass a law which exempts all pensioners in Britain from paying Council Tax. Current provisions only ensure that pensioners on the lowest incomes receive full relief, yet many others, particularly those on modest but above-threshold pensions, still pay this tax.
“We believe Council Tax is increasingly unaffordable. Many pensioners often rely on a fixed income and face growing living costs, which may exacerbate financial pressures while pensioners continue to struggle. We believe exempting all pensioners from Council Tax isn’t just compassionate but is also fiscally responsible. We believe it could provide relief to a vulnerable demographic and help uphold public services by ensuring fairer funding models.”
Another campaign demanded a council tax discount for all UK state pensioners and triggered an official response after exceeding the 10,000 signature threshold.
The Treasury, led by Chancellor Rachel Reeves, formally responded, offering an update on any potential proposals for a discount.
The petition, launched by David Papworth, declared: “I feel that current council tax rates 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.
“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.”
Treasury officials confirmed there are ‘no plans’ for a major change at present, and emphasised existing exemptions for the poorest.
They also noted that a range of assistance is currently being offered to some of the country’s most impoverished individuals.
They declared: “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 for all pensioners.”, reports the Express.
“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.
“To ensure fairness in the system, there are a range of discounts and exemptions to reflect personal circumstances. Councils are required to put in place a centrally prescribed support scheme for pension-age households. 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.”
The Treasury emphasised various benefits currently aimed at pensioners, disclosing that this year, the Government will spend more than £174 billion directly on the State Pension and pensioner benefits across Great Britain. It pointed out that the full rate of the new State Pension has risen to £230.25 per week, amounting to over £12,000 annually, following an increase matched to average earnings.
It declared: “The basic State Pension has also increased to £176.45 per week, which is over £9,200 per year. These increases reflect our commitment to the Triple Lock and to protecting pensioners from the rising cost of living. 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 £31 billion and this will see pensioners’ yearly incomes being up to £1,900 higher by the end of this parliament.
“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).”
The announcement also stressed the winter fuel payment, which will be accessible to all individuals over State Pension age in England and Wales earning £35,000 or less annually – a benefit that was reinstated to 9 million pensioners earlier this year by Chancellor Rachel Reeves.
The Department for Work and Pensions (DWP) also spotlighted other crucial supplementary benefits for low-income pensioners.
These encompass the Warm Home Discount, which provides a rebate on energy bills; Housing Benefit, which delivers assistance with rent; and Discretionary Housing Payments.
The Household Support Fund in England provides discretionary support towards the cost of essentials, a scheme that the Government has prolonged until 31 March 2026.
Pensioners are also entitled to free eye tests and NHS prescriptions, as well as free bus passes.
If the petition achieves 100,000 signatures, it could be debated in Parliament, according to HM Treasury.
Pensioners are obliged to pay standard council tax unless they qualify for a reduction.
Council Tax Reduction, also referred to as Council Tax Support, is a benefit created to help those on a low income or claiming certain benefits to pay their Council Tax bill. Claims can be submitted irrespective of whether you’re a homeowner or a tenant, and your employment status won’t impact the claim.
Eligibility for council tax reduction:
Those on a low income or receiving specific benefits may qualify for Council Tax Reduction. However, eligibility in a region, and what one might qualify for, is decided by the local council.
Each council has its own regulations, so individuals should verify what the rules are in their area.
To see the petition, click here.