Deductions
Why are you taking deductions from my benefit?
Weekly deductions are taken from Council Tax Reduction and/or Housing Benefit for adults who live with you, they are referred to as ‘non-dependents’. This means any adults, other than your partner, that live with you, including members of your family or friends.
The resident adults are expected to make contributions towards your household costs to help towards your rent and Council Tax . The amount that is taken each week depends on their circumstances.
Rates of deductions
Council Tax Reduction 2024/2025
There are two rates of deduction for Council Tax Reduction:
- £10.00 per week if the adult is not working, this includes full time students.
- £20.00 per week if the adult is working.
There is no deduction if the adult is receiving Carers Allowance.
Housing Benefit
The rate of deduction for Housing Benefit depends on the adult’s circumstances.
If they are working the deduction is based on their gross weekly earnings. These deductions are set by central government.
| Adult deductions April 2024 to March 2025 | Weekly Deduction |
|---|---|
|
Adult aged 18 or over and working 16 hours or more per week Gross Earnings £176.00 to £255.99 per week £256.00 to £333.99 per week £334.00 to £444.99 per week £445.00 to £553.99 per week £554.00 or more per week |
£44.40 £60.95 £99.65 £113.50 £124.55 |
| Adult aged 18 or over and working less that 16 hours per week or earning less than £176.00 per week | £19.30 |
| Adult aged 18 or over receiving a state benefit | £19.30 |
- If the adult is a full-time student then there will not be a deduction taken for them. You will need to provide evidence from their university that confirms the course details and the duration of the course.
- If you or your partner receive the living component of Personal Independence Payment or Attendance Allowance there will not be a deduction taken for any resident adults.
You will see if we are taking a deduction for anyone that lives with you on the entitlement letters that are sent or you view online.
Why have you started taking a deduction for my dependent child?
From the first Monday in September following a child’s eighteenth birthday, they will stop being treated as a dependent child on your claim.
From this date they are treated as an adult and a deduction starts to be taken for them. This is because most children will leave school/college in the academic year they turn 18.
This change is automatically applied to your claim and means that your weekly entitlement to Council Tax Reduction and/or Housing Benefit may reduce.
What can I do about this?
If your dependent child remains at school or college and you continue to receive Child Benefit for them, you will need to provide:
- a letter from their school/college that confirms details of the course the dependent child is taking and the date that the course is due to end.
- confirmation of your on-going Child Benefit award. Proof of Child Benefit
We will then continue to treat them as a dependent child until their course ends and there will not be a deduction taken for them.
If they will be or have started attending University, they can ask the University to provide them with a Council Tax exemption certificate which you should provide to the Housing Benefit office.
- If they are a full-time student we will not take a deduction from your Housing Benefit for them for the period they are studying. If at any point they leave their studies, you must notify us. There will be a deduction from Council Tax Reduction for them.
If they have or will be starting employment, you must tell us when their job started or will start and provide us with 5 weekly or 2 monthly wage slips for them.
Upload student documents or earnings
Reporting a change in circumstance for a resident adult.
If there are any changes in the circumstances of an adult that lives with you it must be reported to the benefits office within one month of the change. Failure to notify us of a change may mean that you are overpaid Housing Benefit or receive too much reduction from your Council Tax charge.
