Does a Lodger Affect Single Person Council Tax Discount?

Lodgers and the single person discount

A lodger who lives in your home as their sole or main residence counts as an adult resident for council tax purposes. If you take in a lodger aged 18 or over, your household now has two countable adults and you lose the 25% single person discount — unless the lodger falls into a disregard category (for example, they are a full-time student or an apprentice earning no more than £195 per week gross).

The key distinction is that a lodger living with a resident landlord does not turn the property into a House in Multiple Occupation (HMO) for council tax purposes. You remain liable under the normal Section 6 hierarchy. The lodger simply adds to the resident count.

If the lodger is a full-time student — someone renting a room while attending university — they are disregarded. Your countable adult total stays at one and you keep the discount.

Subtenants

A subtenant who lives in a room as their sole or main residence is generally a resident adult for the count, unless they are disregarded. But if the property meets the council-tax HMO rules — for example, occupiers hold separate tenancies or licences to occupy only part of it — liability may shift to the owner under the Council Tax (Liability for Owners) Regulations 1992 (SI 1992/551). Ask the billing authority how it classifies the dwelling; a sublease and a lodger arrangement do not always have the same liability result.

Adult children living at home

An adult child aged 18 or over who lives with you counts as a resident adult — and will cost you the single person discount unless they qualify for one of the statutory disregards:

Full-time student: A child at university or on a qualifying full-time course (at least 21 hours per week, at least 24 weeks per year, lasting at least one academic or calendar year) is disregarded. You keep the discount.

18- or 19-year-old in education: A child aged 18 or 19 still attending school, sixth form or college on a qualifying non-advanced course (at least 12 hours per week of daytime study) is disregarded. School leavers under 20 who finish between 30 April and 1 November are protected until 1 November.

Apprentice: A child on an apprenticeship earning no more than £195 per week gross is disregarded.

Severe mental impairment: A child with an SMI certificate and a qualifying benefit is disregarded.

If your adult child does not fall into any of these categories — they have finished education, are working full-time, or are unemployed but not studying — they count. You lose the single person discount.

What to do when circumstances change

If a household change means you are no longer entitled to the discount or are entitled to a smaller one, notify your council in writing within 21 days. If you fail to notify without a reasonable excuse, the council may impose a £70 penalty; a further £280 penalty may apply if you fail to comply with a second formal written request for information.

Conversely, if a lodger moves out or your adult child starts a full-time course, apply for the discount immediately — it takes effect from the date you become eligible, and you can backdate it if you apply late.

The England Single Person Discount guide includes a household resident and disregard audit worksheet that identifies exactly who counts and who does not, covering every disregard category with the current thresholds.

See more England guides →