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Treasury Rejects Universal Council Tax Exemption as New Pensioner Petitions Build

Officials say councils depend on the tax to deliver statutory services.

Overview

  • A new UK Parliament petition by Michael Thompson calls for all pensioners to be exempt from council tax, arguing many live on fixed incomes under rising costs.
  • The petition had about 1,200 signatures by early Tuesday, with a government response triggered at 10,000 and potential parliamentary debate at 100,000.
  • In a formal response, the Treasury said it has no plans for a mandatory discount for all pensioners, citing councils’ reliance on council tax to fund over 800 local services.
  • The government pointed to means‑tested council tax support that leaves the lowest‑income pensioners with no bill, with 1.4 million pension‑age claimants recorded in March 2025.
  • Officials also highlighted wider pensioner support and costs, including more than £174 billion in spending this year and a new State Pension rate of £230.25 per week.