The nation’s money-saving hero explains the two checks you need to do before challenging your council tax band

UK’s guru of thrift, Martin Lewis, has put out a pressing plea for folks to check if they’re due a hefty slice back on their council tax. Despite banging the drum for years, it turns out that in England and Scotland, there hasn’t been a rejig of council tax bands since way back in 1991.

This could mean an almighty number of homes are forking out more than they should. Martin clarified that for your typical Band D abode, with a yearly council tax bill of £2,171, challenging its category and bumping it down to Band C could pocket you a pretty penny.

But, he rings a bell of caution for those who bought their pads before 1991 – Lewis advises homeowners to figure out how much their place was worth back then and carry out specific checks to swerve any potential financial issues.

“These are the checks you need to do. The check and challenge system is my system, it is not an official system, this is my way to give you a level of safety,” he declared on a recent broadcast of The Martin Lewis Money Show.

“The first check is the neighbours’ check. Is your band higher than neighbours in nearby preferably identical or similar homes? You don’t need to ask them, you can simply go on and check your band at gov.uk for England and Wales.”

“If it looks like you’re in a higher band than many of your neighbours in similar homes, the second check, which can’t be used in evidence, is your safety check.”

He then went on to explain that 1991 property values still determine council tax bands, saying: “What was your house worth in 1991? Because it is still those 1991 prices that dictate what band you are in.”

Martin provided guidance on assessing your home’s past value: “So if you bought your house after 1991, it’s quite easy you just find the price and the sale date.”

For earlier purchases, he suggested using property websites like Zoopla and Rightmove to find similar properties sold since then and back-calculating their value in 1991 prices. He noted that free online calculators can help with this.

However, Martin cautioned that challenging your council tax band should not be taken lightly, as it risks inadvertently increasing neighbours’ bills. Clarifying the process, he added: “That’s because you can’t ask for your band to be lowered. You can ask for your band to be looked at.

“And that means, well, if you only pass the neighbours check, it could mean it’s not you who’s in too high a band, it’s all your neighbours in too low a band, and when you ask for this, their band goes up, which will not make you very popular. I would only look at challenging my banding if I passed clearly both tests.” Martin drove his point home to take care by saying, “Nothing here is perfect, I cannot guarantee perfection.”