Council tax arrears: what to do if you cannot pay
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Quick answer: Council tax is a priority debt — councils can take enforcement action quickly. If you are behind, contact your council immediately to arrange a payment plan, check if you qualify for a discount, or apply for Council Tax Support.
Council tax arrears are one of the most aggressively pursued debts in the UK. Councils can obtain a liability order, use bailiffs, or even apply for committal to prison in extreme cases. But councils also have discretion to agree payment plans and apply discounts — the key is to contact them before enforcement begins.
Why council tax is priority
Unlike credit card debt, councils have strong enforcement powers. After missing payments, they issue a reminder, then a final notice, then apply to magistrates for a liability order adding up to £100 in costs.
With a liability order, councils can use bailiffs, deduct from earnings, or in rare cases apply for committal to prison.
Steps to take immediately
Contact your council's council tax department and explain your situation. Most will agree a payment plan spreading arrears over the remaining months of the tax year.
Check if you qualify for Council Tax Support — a means-tested reduction that can eliminate your bill entirely for low-income households.
Verify you are receiving all applicable discounts: 25% single person, student exemption, severe mental impairment, or carer disregard.
If bailiffs are involved
Bailiffs (enforcement agents) can visit once a liability order is granted. They cannot force entry on a first visit but can seize goods on subsequent visits.
You can negotiate with bailiffs to pay in instalments. Bailiff fees are added to your debt, so resolving early saves money.
Free debt charities can negotiate with councils and bailiffs on your behalf and may help you access Council Tax Support.
Common questions
Can I go to prison for council tax arrears?
In extreme cases, councils can apply for committal to prison, but this is rare and usually a last resort after all other enforcement has failed. Payment plans prevent this.
Does Council Tax Support cover arrears?
Council Tax Support reduces your ongoing bill. Some councils also apply it to arrears, but this varies. Ask your council about backdating.
Can I include council tax in a DMP or IVA?
Council tax arrears can sometimes be included in a DMP, but ongoing council tax must continue to be paid in full as a priority expense.