Tower Hamlets Council Tax Non-Dependant Deductions: The £370.50 Cliff Edge
If another adult lives in your Tower Hamlets home — an adult child, a sibling, an elderly parent — the council assumes they contribute toward the council tax. That assumption is built into your CTR calculation as a non-dependant deduction, and at the top end it does not just reduce your award. It eliminates it completely.
Who Counts as a Non-Dependant
A non-dependant is any adult (18 or over) living in your home who is not:
- Your partner
- A joint tenant or co-owner with you
- A lodger or sub-tenant paying you rent
The most common non-dependant is an adult child who still lives at home. But it also covers elderly parents, siblings, friends, or anyone else sharing the household who does not have a separate tenancy or liability.
The 2026/27 Deduction Rates
The deduction depends on the non-dependant's gross weekly income:
| Gross weekly income | Weekly deduction |
|---|---|
| Under £195.00 | £4.00 |
| £195.00–£281.99 | £8.00 |
| £282.00–£370.49 | £12.00 |
| £370.50 or above | Full disqualification unless an exemption applies |
That last row is not a larger deduction — it is a complete refusal. If no exemption applies and a non-dependant in your household earns £370.50 or more gross per week (roughly £19,266 per year), Tower Hamlets will not award CTR at all. The entire claim is disallowed, regardless of your own income or savings.
When Deductions Are Cancelled
Non-dependant deductions are fully waived if you or your partner:
- Receive Attendance Allowance
- Receive the Care Component of Disability Living Allowance (DLA)
- Are registered blind
In these cases, the non-dependant can earn any amount and it does not affect your CTR claim.
Deductions are also waived for non-dependants who are themselves:
- Under 18
- Receiving Income Support, income-based JSA, or Pension Credit
- Full-time students during their period of study
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The Practical Problem
Many households discover the non-dependant rule only when they receive a revised council tax bill showing reduced or removed CTR. The council assesses non-dependant income using the evidence you provide. If income remains unverified, the claim may be suspended or cancelled while the council checks it.
If your adult child gets a promotion that pushes them over £370.50 per week, and no exemption applies, your council tax bill could jump from zero to full liability overnight. There is no taper, no transition period, and no discretion — it is a hard cutoff built into the scheme rules.
What You Can Do
Keep evidence of every non-dependant's income current. Report a change that increases your award — such as a non-dependant leaving, losing income, or becoming exempt — within one calendar month. Report immediately if their circumstances change in a way that reduces your award.
The Tower Hamlets Council Tax Reduction Guide includes a non-dependant income worksheet and explains exactly how to verify whether an exemption applies to your household.
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