Can You Get Council Tax Reduction If On Attendance Allowance?

Attendance Allowance is a tax-free state benefit applicable to those individuals who have surpassed the state pension age and require supervision due to their health condition. 

It is aimed towards providing a monthly allowance to those individuals who need assistance with meeting the extra costs of a disability or the support of a carer due to old age.

There is a general myth about Attendance Allowance that it may not be applicable for individuals who have means of earnings and may either be receiving wages or pension. However, it must be noted that this is not a means-tested benefit; which makes it unrelated to any source of income or savings that the recipient may have. 

Can You Get Council Tax Reduction If On Attendance Allowance?

Yes, you can get council tax reduction if on Attendance Allowance. In fact, recipients of Attendance Allowance become automatically eligible for certain other state benefits including Pension Credit, Housing Benefit, or Council Tax Reduction. 

While certain conditions may increase the number of benefits that claimants were receiving before qualifying for Attendance Allowance, it is safe to say that there is a significant discount on council tax bills that a recipient of Attendance Allowance may claim.

Let’s have a look at some of the key concerns revolving around this topic as we proceed. Some of the areas that we aim to explore include the following:

  • How much Attendance Allowance can an eligible individual expect to receive on weekly basis?
  • What are the eligibility criteria to qualify as a recipient of Attendance Allowance?
  • How does one process a claim in favor of this state benefit?
  • Are there any other benefits that an individual may qualify for while on Attendance Allowance?
  • What are the other state benefits available in the UK?

What Is The Amount Of Attendance Allowance That One May Receive?

Attendance Allowance is paid at two separate rates; depending upon the level of care that the recipient requires as per their disability. However, it does not cover mobility needs and aims to cover the extra costs of disability or old age.

Individuals who require help either during the day or night are entitled to £60 per week as Attendance Allowance; while those who require help during the day and night and/or are facing a terminal illness are eligible to receive £89.60 per week. 

There is no compulsion on the recipient to spend this amount on a carer; recipients may use it to meet their everyday needs to remain independent in their home. The claimant does not even need to have a carer to apply for an Attendance Allowance; they must simply provide evidence of the need to be taken care of due to illness/disability or old age. If the claimant has a carer, the carer becomes eligible for a Carer’s Allowance once their dependant’s claim for Attendance Allowance is approved.

Who Is Eligible To Receive Attendance Allowance?

To confirm eligibility for Attendance Allowance, individuals are assessed on the below criteria:

  • State Pension Age: This is the earliest age at which state pension may be received. To check whether an individual has qualified and/or surpassed the bracket to attain Attendance Allowance, a simple click on this link may be helpful Check your State Pension age – GOV.UK (www.gov.uk)
  • Independence:  Individuals who may require help with washing themselves, getting dressed, or who need to be monitored to remain safe during day or night are considered eligible.
  • Health Needs: In case of any physical or mental illness, disability, or terminal illness that may increase the requirement of being supervised or being taken care of by someone else.
  • Location: Claimants must be in England at the time of making the claim. Additionally, they must have lived in England for at least 2 of the previous 3 years.

How To Claim For Attendance Allowance?

Should a person meet the criteria for an application, they may contact the Attendance Allowance helpline by placing a call on 0800 731 0122. They may also download the online application form available at Attendance Allowance claim form – GOV.UK (www.gov.uk)

Where applicable, it is advisable to attach the following support documents to the form:

  • doctors letters
  • prescriptions
  • sick notes
  • care plan details

The claimant doesn’t need to fill the form themselves. They may ask a friend or family member to submit details; as long as they are verified by the claimant. 

What Other Benefits Can Be Claimed On Attendance Allowance?

In addition to Council Tax Reduction, individuals receiving Attendance Allowance become eligible for certain additional benefits as well. However, this depends on each individual’s circumstances.

Receiving Attendance Allowance means that the recipient is eligible to earn an extra income without having to forego any benefits. This means that individuals who may have previously been refused Universal Credit or Pension Credit due to their earnings become eligible for these benefits as a consequence of qualifying for Attendance Allowance. 

Claimant’s will also not be affected by the “Benefit Cap”; a limit that restricts the amount of benefits a household receives. 

Their tax credit increases as well once they receive Attendance Allowance. Additionally, they become eligible for a Disabled Person’s Railcard and a Blue Badge (a Blue Badge allows recipients to park closer due to a disability).

If the recipient of the Attendance Allowance has a carer looking after them, their carer becomes eligible for Carer’s Allowance. However, the following additional conditions must be met as well: 

  • the person under care is a recipient of Attendance Allowance
  • the carer spends at least 35 hours per week taking care of the recipient
  • the carer’s income after tax is less than £128

What Is Carer’s Allowance?

If an individual is responsible for taking care of someone (at least 35 hours per week) with disability or old age and is a recipient of Attendance Allowance, they may qualify for the Carer’s Allowance. This includes helping with basic household chores such as cooking or washing, assisting with doctor’s appointments for the person in care, managing their bills, and shopping. 

Additionally, the applicant must also be able to fulfil the below criteria:

  • 16 years or older
  • A resident of England, Scotland, or Wales
  • Lived in England, Scotland, or Wales for a minimum of 2 of the last 3 years or if they have been granted humanitarian protection
  • Not pursuing full-time education
  • Not studying for more than 21 hours a week
  • Earning £128 or less per week 

To learn more about this benefit and the process of application, click here Carer’s Allowance: Eligibility – GOV.UK (www.gov.uk)

What Other State Benefits Can I Claim in the UK?

To meet the extra costs of personal care or expenses related to disabilities, the following three state benefits are most commonly accessed across the UK:

  • Council Tax Reduction: This is a discount on an individual’s council tax bill. The amount of discount one might avail depends upon specific living circumstances.
  • Universal Credit: A social security benefit that aims to support those individuals who may be struggling with low household income.
  • Personal Independence Allowance: Designed to meet daily living costs, this is not a means-tested benefit; which makes it non-dependant on the claimant’s income or savings.

To learn more about eligibility for state benefits, click on the following link Benefit calculators: what benefits can you get

FAQs: Can You Get Council Tax Reduction If On Attendance Allowance?

What other benefits can you get with attendance allowance?

Once an individual becomes eligible for Attendance Allowance, they may also claim other state benefits including Pension Credit, Housing Benefit, or Council Tax Reduction.

What benefits qualify for council tax reduction?

While the claim for council tax reduction primarily takes into consideration the mental and physical health of the applicant, along with household income and number of children who share the premises, generally speaking, individuals on a low income or those claiming other benefits like PIP or Attendance Allowance qualify applicants for a council tax reduction.

Is attendance allowance classed as a benefit?

Attendance Allowance is a non-means tested state benefit that qualifies recipients for additional benefits including Pension Credit, Housing Benefit, and Council Tax Reduction.

Can I get mobility with Attendance Allowance?

Attendance Allowance does not cover mobility needs. However, it does qualify the claimant’s carer for a Carers’ Allowance.

Do I need to pay income tax on Attendance Allowance?

Attendance Allowance is tax-free, no means-tested, state benefit. It also exempts claimants from the Benefit Cap which means that they need not worry about losing any other incomes through taxes or reduction in amounts.

References:

Attendance Allowance | Age UK

Attendance Allowance: What you’ll get

Extra benefits and help you can get while on Attendance Allowance

Benefits to help with your disability or care needs

Carer’s Allowance: Eligibility – GOV.UK (www.gov.uk)