Council tax UK

[angell84]

I am from Ireland and I am looking at buying a house in the U.K. I am so shocked at the Council tax. It is so expensive! A minimum of 150 pounds sterling a month. We don't have Council tax in Ireland at all. Why is it such a huge amount?

Depends where you live and what size property you have. If you're on your own, you also get 25% off as single occupancy. Mine is £190 a month.

It covers things like street lighting, policing, libraries, environmental health, planning, parks and public spaces, refuse collections to name a few things.

Yes but you pay for your bin collection etc separately in Eire? I've heard that's quite expensive on its own?

I pay 17 euro a month for bin collection. That is 15 pounds sterling per month. We do not have to pay for the upkeep of areas at all. God it is such a huge amount. Do you ever worry about not being able to pay it?

I wanted to move to the UK but it is such a big amount every month- it is worrying me

Do you ever worry about not being able to pay it?

I was bought up knowing it's the second most important bill after rent, as councils enforce it strictly and it's one of the only debts that takes you to court quite quickly... so no, not really, it has to be paid. But it'll help that I'm very used to it; I've lived in the UK for most of my life.

If it's going to be tight; look at how much it's changed in recent years on the property you're looking at. Our goes up by 1% every so often; and I think it's due to go up by about 3% next year.

Yes I guess I am just not used to such a big bill every month. It is frightening!

I was used to Ireland's ways so I didn't know about how much council tax was in the U.K until I started researching.

It seems very strange that it is related to house size and not income. All of the public areas in Ireland are maintained by inclme tax so the less you earn the less you pay.

That everyone has to pay huge council tax in England is really a shock to me.

We pay lower rates of tax on other things. In all when we were looking at moving to the republic tax in the uk was going to be a lower total expense each year as a proportion of income. That said pay in the republic was much better but at the cost of opportunities for career progression for sunny.

Yes they're complete bastards. I'd rather pay it through tax.

Echo pp point tho that it's definitely the second most important bill. They don't mess about and will take you to court and the can seize your wages also.

You need to factor it in as a priority bill, like rent/mortgage. Banding is based on historic property valuations and the amount depends on the local council budgets and services.

England has a better health system and more to do in it than Ireland. But the council tax defo shouldn't be this big. I would protest. They tried to introduce water rates in Ireland last year and everyone protested and won, so we do not have to pay for water anywhere either

Swings and roundabouts , don't you have to pay for gp appointments and prescription drugs. Water charges etc must be factored in somewhere. Council tax funds local services, street lighting, refuse collection, road repairs, social care, children's services, planning, environmental health ...

No we don't have to pay for water. And I don't have to pay anything for GP's appointments . It is free. It is not swings and roundabouts. Out income tax in Ireland pats for the upkeep of everything. What does your incone tax pay for if you have to pay council tax aswell? I think that England has one of the highest Council Taxes in Europe. It is just a shock to me. I was excited about moving over but it just looks like there are way too many bills to pay

There’s an interesting history to it. It used to be called ‘rates’ and was only paid by home-owners. It was specifically to pay for local services, not national. Different areas paid different amounts. Often Labour councils charged high rates and provided more local services and Conservative councils charged low rates and provided fewer local services (that’s a simplification, obviously it was more variable).

The Conservative government led by Margaret Thatcher attempted to stop the situation whereby homeowners were funding local services which were also used by non-homeowners by introducing what came to be known as the poll-tax. There were mass protests and this is widely considered to be the most important factor in MT’s downfall.

Council Tax was the cobbled together compromise and has endured ever since. I doubt anyone has the political will to stir that particular pot again.

*pays for the upkeep

Here in Scotland the cheapest Council Tax is about £90 a month

Different countries have different systems of collecting in tax then different ways of redistributing benefits. Property taxes are common in most countries, they are considerably higher in the USA for instance than the U.K. but only owners pay (so if you rent your landlord pays them) it's swings and roundabouts, we pay lower direct taxation than many countries with comparable public services. In Ireland things aren't free, they are just paid for by direct taxation

It's not a bad tax. There are so many people who manage to use clever accountancy to make out they have a tiny income and twist out of paying what they ought to in income tax. Council tax, along with VAT, enables people with higher living standards pay more than those living in austerity regardless of what their official income is.

I don't agree with the single person discount, which rewards under occupancy which is crazy given the housing shortage, but I do think the lowest rates for tiny flats should be a bit lower and the highest end of the scale for the biggest properties should be much much higher.

Those on very low incomes get council tax relief. For the rest of us just think of it as effectively paying rent in two installments - part to landlord and part to council.

I will just have to get over the shock and get used to it. We don't pay for water in Ireland either!
It just seems so high. Income tax pays for the upkeep of things in Ireland. So what you pay is relevant to your earnings. That you pay income tax AND council tax in the U. K - it is alot.

If your GP visits are free in Ireland you’re on a low income. If you’re planning to have a similar income in the UK then you may be eligible for council tax reduction.

We’ve just moved to the UK from another EU country and our council tax is about the same as the equivalent tax there. It’s really not unusual.

Do you pay for water OP?

Hi @BitOftheSea I am on a middle income. People on low incomes in Ireland get the entire health system for free. People on middle incomes get free G.P visitations only. A G.P card . I can afford to buy a home outright in the U.K. But it looks like even if I own a house there , I will still have to pay a good bit

We don't pay for water in Ireland @GeorgieTheGorgeousGoat

The biggest difference in taxation is personal allowance. In the UK - please stop referring to it as "England" - the first £12,500 you earn you don't pay any income tax at all.

AFAIK in Ireland you pay 20% on all earnings.

@otracosamariposa that comment is totally bizarre. I am planning on moving to England. I am not planning on moving to Scotland and Wales am I?