In the UK, some individuals may qualify for a reduction or full exemption from their council tax bills if they meet specific health-related criteria. One such qualification is being classified as “severely mentally impaired” (SMI), a status that may provide individuals with discounts of up to 100% on their council tax, based on their unique circumstances.
According to Manchester Evening News, this classification includes those with various serious medical conditions, such as dementia, Parkinson’s, and severe learning difficulties. The eligibility process involves meeting medical and benefit-related criteria, which could potentially lead to significant savings on council tax payments.
What does ‘severely mentally impaired’ mean?
The term “severely mentally impaired” is not explicitly defined by the government. However, it generally refers to individuals with a severe impairment of intelligence and social functioning that is considered permanent.
Conditions such as dementia (including Alzheimer’s), Parkinson’s disease, severe learning difficulties, multiple sclerosis, cerebral palsy, and schizophrenia may qualify a person for this status. Importantly, a medical professional, such as a GP, must certify that the individual meets this criteria.
MSE explains:
You can be diagnosed as SMI as a result of a range of conditions – which could include things like dementia, Schizophrenia, multiple sclerosis, having had a stroke, or having had an accident which permanently affects your intelligence and social functioning.
Conditions that may qualify for a council tax discount
Several medical conditions are often associated with severe mental impairment. According to MoneySavingExpert (MSE), these include:
- Dementia (including Alzheimer’s)
- Parkinson’s disease
- Multiple sclerosis
- Severe learning difficulties
- Cerebral palsy
- Schizophrenia
- The aftermath of a severe stroke
However, while these conditions may contribute to being classed as “severely mentally impaired,” the final decision rests on the individual’s personal circumstances and diagnosis.
Requirements to qualify for the discount
In addition to the medical certification of being severely mentally impaired, there is a second important requirement to qualify for a council tax discount. Individuals must be able to demonstrate they are claiming or eligible for certain benefits. These benefits include:
- Attendance Allowance
- Universal Credit
- Disability Living Allowance
- Income Support
- Personal Independence Payment
How much can you save on your council tax bill?
The amount of discount one can receive on their council tax bill depends on various factors. If you live alone and qualify for a discount, you could be fully exempt from council tax, receiving a 100% reduction. If you live with others who are disregarded for council tax purposes, such as full-time students or live-in carers, you may be eligible for a 50% discount.
A 25% discount applies if there is one other person in the household who is not disregarded.
For example, the average annual band D council tax bill is £2,280, which represents a £109 increase compared to last year and a 20% rise compared to five years ago, when the average bill was £1,898.
Additionally, council tax bills have risen by 5.1% over the past two years. This means that qualifying for a council tax discount could help save hundreds of pounds annually.
In some cases, you may also be entitled to backdated discounts, depending on your local council’s policy. Some councils will backdate the discount by up to six years, although not all councils are legally required to do so.
