Money Saving Expert Martin Lewis has issued an urgent warning to anybody whose home falls within council tax bands A-D, and has a message for those in the bands above.
Speaking on the ITV Martin Lewis Money Show, the finance guru gave some helpful advice on how Brits can try to remain afloat when the cost of living rises from April 1.
Martin discussed topics like water metres and stockpiling stamps, as he attempted to cover everything before the show returns in October.
READ MORE:
As part of the show, Martin touched on the £150 payment people in homes which are in council tax bands A-D will receive to try and help relieve bills.
Martin advised anyone who is eligible for the free payment to set up a direct debit before April 1 to ensure you get it.
He also had a crucial update for anyone challenging their Council Tax band in the hopes of getting it lowered who thinks this will then make them eligible for the £150 Council Tax energy rebate backdated - it won’t.
The financial guru quickly pointed out that anyone who does successfully get their Council Tax band lowered or receives a discount or reduction from their local authority, will receive a much bigger boost than the £150.
Martin was prompted to explain the grey area around backdated payments for the £150 energy rebate after a question from a member of the virtual studio audience.
Jo is currently on band E and is challenging her banding as she believes she should be on band D and has been told it could take up to four months for the process to be completed, says the Daily Record.
She asked Martin: “I’m worried that I’ll lose out on the £150 rebate, what do I do?”
Martin responded: “In the guidance on the £150 Council Tax energy rebate payment that’s due to come in April in England and similar schemes in Scotland and Wales for anyone who is in band A to D, there is nothing about people who are rebanded.
“I think the answer here is you probably won’t get that £150 and won’t probably, because there’s nothing in three, be eligible for it if you do get rebanded.”
He added: “If you are rebanded that’s a much much bigger saving than £150 as it’s backdated.”
However, Martin also advised Jo and anyone in a similar position who does not meet the eligibility criteria, that all local authorities have a discretionary fund and may be able to help if you are struggling financially.
How to get the £150 Council Tax Energy Rebate
The UK Government has urged all households in England to pay Council Tax by Direct Debit to get the £150 energy rebate paid directly into their bank account. If you set up a Direct Debit with your council, your Council Tax rebate will go directly into your bank account in April.
If you don't pay via Direct Debit the £150 will be used as credit towards your Council Tax bill.
If you live in Scotland, you will get your £150 Council Tax rebate in a similar way.
Scottish Finance Secretary Kate Forbes confirmed if you don't pay via Direct Debit the £150 will be used as credit towards your Council Tax bill.
