Typical household bills

What is council tax?

Council Tax is money paid to your local authority. It funds a range of local services, including rubbish collection, parks, libraries, transport, police and fire services.

How much is council tax?

Where you live and the type of property you live in determine the Council Tax rate. Council Tax ‘bands’ range from A to H with the rates increasing along the alphabet. So, properties in band A pay less Council Tax than properties in band H. You can check your property’s Council Tax band through the government website.  

Does everyone have to pay council tax?

No, you may be exempt from paying council tax if you're a student, care leaver, or looking after someone not in the family. 

Full-time students are exempt from paying Council Tax if sharing a house with other full-time students, and people who live on their own have a 25% reduction. People with severe mental impairments are also exempt, as are live-in carers who look after someone who is not their partner, spouse or child.  

Recently, as a result of our campaigning, many councils across the UK have also exempted care leavers from needing to pay council tax. Check to see if your council has exempted care leavers . 

Can I get a reduced council tax bill?

If you live in a larger property because someone in the home is disabled, you may be entitled to have your council tax reduced by one band. Check if you qualify for a council tax discount. 

You can also apply for Council Tax Benefit if you are on a low-income. This may mean that you receive a reduced Council Tax bill. If you are on Jobseeker’s Allowance (JSA), Employment and Support Allowance (ESA) or Income Support, you may also get a reduced bill.  

What happens if I don't pay my bill?

If you miss a payment you may have to pay the whole year’s bill in one go, rather than monthly instalments. Failure to pay your Council Tax bill can result in legal action, bailiffs taking your possessions, and even prison. 

The Mix website has lots of information about Council Tax reductions and what to do if you are a student 

What are utility bills?

Utility bills include gas, electricity and water. 

How do I get the best deal for my utility bills?

It is worth checking to see if you are getting the best deal for your gas and electric through comparison sites like Uswitch and switching provider if you find a cheaper deal.

I'm on a pay-as-you-go meter, what does this mean?

Properties have different meters which determine how you pay, but it is possible to change these by contacting your landlord and/or energy company. Some meters require a pay-as-you-go, or prepayment system. If your property runs on a prepayment meter you need to top the money up by taking your gas and electricity card to a shop or topping it up online.

How do I pay my utility bills if not on a meter?

If you do not have a prepayment meter you can choose to pay your bills in a variety of ways. Your energy provider may send you a bill for the exact amount of energy you use which you can then pay online, by cheque or in some shops. You can often receive a discounted rate by paying by direct debit.

How much are utility bills?

It depends how much you use! Your energy provider will estimate how much gas and electricity you will use over a year and charge you a set amount each month. This spreads the cost over a year rather than bills increasing substantially over the winter. Your energy provider will adjust this amount if you use more or less energy than predicted.  

How do I know when my house is wasting energy?

Your property’s energy performance certificate will let you know how energy efficient it is. The more energy efficient a property is the easier it is to reduce your energy consumption. For example, a flat with good wall insulation and double-glazing will need less energy to heat it than a large house with single glazing. Any property offered for sale needs an energy performance certificate and most landlords offering a property for rent also need to provide one.  

Can I change my water provider?

Unlike with gas and electricity, you cannot choose your water provider. You can find your water provider by searching on their individual websites or on the Consumer Council for Water website. Your property may have a water meter that will tell your provider exactly how much water you use, or there will be an assessed volume charge. Assessed volume charges are based on the size of your home. It can work out cheaper to have a meter, particularly if you take steps to save water.  

Even if you use a mobile instead of a landline phone you still need to pay line rental to connect to the internet. Television and internet packages cost different amounts on top of this fee depending on the provider, number of channels offered and the internet speed.  

Comparison sites like Money Supermarket enable you to compare television and broadband packages and find the best deal for you. 

You need a TV licence to watch or record live TV on any channel or download or watch programmes on BBC iPlayer. This is the law whether you watch the programmes on a television, tablet, laptop, or any other device. The cost of a TV licence can be paid in one go or spread over a year by paying in monthly or quarterly instalments. For more information go to the TV Licensing website. 

What is insurance?

If you buy insurance on your property and it is lost, stolen or damaged you might be able to claim money to have it replaced or repaired. It is important to read the small print when taking out insurance and making a claim. 

What insurance do I need?

If you own your own home, you will likely need both buildings and contents insurance. Most mortgage providers insist that you have buildings insurance. Buildings insurance covers the property from flood, fire, storms, vandalism and subsidence.  

Contents insurance covers your belongings inside the property and you can ask to have items protected outside the home as well, such as mobile phones and bicycles. Usually, if you rent you only need contents insurance. Contents insurance covers your belongings from damage, theft or loss. Your contents insurance will cover the items that are yours and you would take with you if you moved, including any furniture that you own, clothes, jewellery and electronics. Most policies are currently ‘as new’ or ‘new for old’, meaning that if an item is damaged the insurance will pay for it to be repaired, and if it is stolen the company will pay the amount of money needed for it to be replaced.  

How do I make a claim?

In order to make a claim you usually need to pay an excess. The excess is the amount of money you pay to the insurance provider in order to make a claim. The amount of excess is decided when you take out your insurance policy. Generally, the higher the excess the lower the cost of the insurance.