Sandwell Council Tax Band B Cap and Minimum Payment — What You Actually Owe

Two Rules That Set Your Floor

Sandwell introduced two restrictions in April 2025 that fundamentally changed what working-age claimants pay. Understanding them together is the only way to predict your actual bill.

The 85% award cap means the maximum Council Tax Reduction for a working-age household is 85% of eligible liability. You always pay at least 15%, even if your income falls in the lowest band. Before 2025, Sandwell offered up to 100%.

The Band B property restriction caps the eligible liability at whatever a Band B property would pay. If you live in a Band C, D, E or higher property, the council calculates your reduction as if you lived in Band B — and you pay the full difference between your actual band and Band B out of pocket, with no help from CTR.

What This Means in Pounds

Here's what working-age claimants owe at minimum in 2026/27, assuming maximum CTR and no non-dependant deductions:

Band A (full charge £1,496.30): Minimum payment £224.44 per year, or about £22.44 per month. With the 25% single person discount, that drops to £168.32 (£16.83/month).

Band B (£1,745.70): Minimum £261.86 per year. With SPD: £196.39.

Band C (£1,995.08): This is where the cap bites. Your reduction is calculated on the Band B charge (£1,745.70), not your actual Band C charge. You pay 15% of the Band B amount plus the entire gap between Band C and Band B (£249.38). Total minimum: £511.24. With SPD, the maths change and the minimum is £224.45.

Band D (£2,244.46): Minimum £760.62. The Band B-to-D gap alone is £498.76.

Band E (£2,743.22): Minimum £1,259.38. You're paying the £997.52 gap plus 15% of Band B.

Bands F–H: The figures climb steeply. A Band H property has a minimum payment of £3,005.08 — more than double the full Band A charge.

The Child-Under-Six Exception

Households with a dependent child under six living with the applicant are exempt from the 85% cap. They can receive up to 100% of eligible liability at their income band discount level. The Band B restriction still applies to the property charge, but there's no mandatory 15% payment.

This protection expires on the Monday after the child's sixth birthday. The transition can add hundreds of pounds to your annual bill overnight, so it's worth planning for.

Non-Dependant Deductions Reduce It Further

If an adult aged 18+ lives in your home who isn't your partner (an adult child, relative, or friend), Sandwell applies a fixed weekly deduction based on their gross income. The deduction comes off your maximum CTR award, increasing what you pay.

One important exception: non-dependant deductions aren't applied if you or your partner receives PIP daily living, DLA care (middle or highest rate), Attendance Allowance, or is registered blind.

Budgeting for the Real Number

The minimum payment figures assume you're in the highest discount band. If your income puts you in a partial band (90%, 75%, 50%, or 25%), you pay significantly more. A lone parent in Band C earning £220/week — putting them in the 90% band — would owe £659.62 for the year after all the caps and restrictions.

The Sandwell Council Tax Reduction guide includes a bill decoder worksheet that walks through this calculation step by step for your specific band and household type.

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