Section 13A Council Tax Hardship Reduction — How to Apply and Appeal a Refusal

You've applied for Council Tax Reduction and been refused — or the reduction doesn't cover enough of your bill. You're in genuine financial hardship, and you've heard there's a discretionary power councils have to reduce or even write off council tax in exceptional circumstances. That power is Section 13A(1)(c) of the Local Government Finance Act 1992, and while it exists, getting a council to use it is another matter entirely.

What Section 13A(1)(c) Actually Does

Section 13A(1)(c) gives every billing authority in England the power to reduce the council tax payable by any individual, to any extent it sees fit, for any period. There's no cap on the reduction — the council could reduce the bill to zero if it chose to.

In practice, councils treat this power cautiously. The reduction comes out of the council's own budget (unlike Council Tax Reduction, which has its own funding mechanism), so most authorities have published policies that limit Section 13A discretionary reductions to cases of exceptional financial hardship.

Typical council policies require the applicant to demonstrate:

• All other reliefs have been exhausted — you've applied for Council Tax Reduction, single person discount, and any other applicable discounts or exemptions, and the remaining liability is still unaffordable
• Exceptional circumstances — the hardship goes beyond simply being on a low income. Examples councils tend to accept include sudden bereavement with loss of income, domestic violence resulting in emergency relocation, severe disability not covered by standard reliefs, or a combination of debts creating a risk of homelessness
• The hardship is not of the applicant's making — some councils apply this criterion, though it's legally questionable as a blanket rule
• Payment arrangements have been explored — the council wants evidence that you've tried to negotiate a payment plan and it isn't feasible

How to Apply

There's no standard national form. Most councils accept a written letter or their own online/postal application form. Your application should include:

1. A clear statement that you are applying under Section 13A(1)(c) for discretionary reduction of your council tax liability — use the statutory reference so the council can't treat it as a generic complaint
2. Your current financial position — income, benefits, essential outgoings, debts. Be specific and honest.
3. What makes your circumstances exceptional — the narrative that distinguishes your case from general low income
4. Supporting documents — bank statements, benefit award letters, medical evidence, tenancy agreements, evidence of other debts or arrears

Some councils have a dedicated Section 13A panel or committee that reviews applications periodically. Others delegate the decision to a senior revenues officer. Response times vary widely — from a few weeks to several months.

When the Council Refuses

A refusal of Section 13A relief is appealable to the Valuation Tribunal for England under Section 16 of the LGFA 1992. This is significant because many councils (and even some advice agencies) incorrectly state that there is no appeal against a discretionary refusal.

The appeal follows the same Section 16 route as other billing authority disputes:

1. Serve a formal Section 16 written grievance — the refusal letter itself may constitute the council's decision, but if you haven't formally grieved under Section 16, do so now
2. Wait two months for the council to respond
3. Appeal to the VTE within two months of service of the council's written response, or within four months of serving your grievance if the council does not respond

At the tribunal, the VTE can review whether the council exercised its discretion reasonably — considering all relevant factors, ignoring irrelevant ones, and following its own published policy. The tribunal is unlikely to substitute its own judgment for the council's, but it can direct the council to reconsider if the decision was unreasonable, procedurally flawed, or based on incorrect facts.

What Makes a Strong Application

The difference between a refused and an accepted Section 13A application often comes down to how the case is presented. A two-line letter saying "I can't afford my council tax" won't succeed. A detailed application that:

• Names the statutory provision and asks for a specific reduction
• Demonstrates that every other relief has been applied or refused
• Quantifies the shortfall between income and essential expenditure
• Explains why the circumstances are exceptional, not just difficult
• Attaches documentary evidence for every claim

— gives the council's decision-maker the material they need to justify the reduction internally.

Key Deadlines

Getting Help

If you're in financial hardship severe enough to warrant a Section 13A application, you may also benefit from free debt advice. StepChange, National Debtline, and Citizens Advice can help you assess your overall debt position and may support your application.

For the full appeal process — including the Section 16 grievance and VTE hearing — our Council Tax Appeals to the Valuation Tribunal guide covers every step with templates and a deadline tracker.

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