Are Students Exempt from Council Tax?

At Towerstone Accountants we provide specialist property accountant services for property owners landlords and individuals dealing with council tax and property related charges across the UK. This article has been written to explain are students exempt from council tax in clear practical terms so you understand what applies to your situation. Our aim is to help you avoid confusion stay compliant and make informed decisions.

Yes, many students are exempt from council tax in the UK, but the rules are more detailed than a simple yes or no. Whether you are fully exempt, partially exempt, or still liable depends on who lives in the property, what type of course you are studying, and how your household is made up. This is an area where assumptions often lead to overpayments or unexpected bills.

I regularly see students and households with students paying council tax they do not owe, or failing to apply for exemptions because they assume it happens automatically. Council tax exemptions and discounts must usually be claimed and backed up with evidence, and councils will not always correct things unless you ask.

In this guide I will explain clearly when students are exempt from council tax, how mixed households are treated, what counts as a qualifying course, how to apply for exemption, and the most common mistakes to avoid.

What Is Council Tax and Who Normally Pays It?

Council tax is a local tax charged on domestic properties. It is normally payable by the people who live in the property, not the property owner, unless the property is empty or falls into a special category.

Liability is based on who occupies the property and in what capacity. Council tax is charged per household rather than per individual, which is why student status can affect the bill for everyone living there.

The Basic Student Exemption Rule

Full time students are usually exempt from council tax.

If everyone living in a property is a qualifying full time student, the property is exempt from council tax and no bill should be payable for that period.

This exemption is not based on income or nationality. It is based on student status and course eligibility.

What Counts as a Full Time Student?

Not all courses qualify for council tax exemption. To be classed as a full time student for council tax purposes, your course must meet specific criteria.

In general, you must be studying a course that:

Lasts at least one academic year

Requires at least 21 hours of study per week

Is delivered by a recognised educational institution

This usually includes undergraduate degrees, postgraduate taught courses, and many foundation degrees.

Most full time university students fall into this category.

Part Time Students and Council Tax

Part time students are not automatically exempt from council tax.

If you are studying part time and your course does not meet the full time criteria, you are usually treated the same as a non student for council tax purposes.

This means:

You may be liable for council tax

Any discounts depend on who else lives with you

This is a common area of confusion, especially for postgraduate students on flexible or distance learning courses.

Student Households and Full Exemption

If all occupants of a property are full time students, the property is classed as fully exempt.

This applies whether you live in:

A shared house

A flat

A student hall of residence

In these cases no council tax should be charged for the period everyone is a student.

However you usually still need to inform the council and provide proof of student status.

Mixed Households and Council Tax Discounts

Things change when not everyone in the household is a student.

In a mixed household where students live with non students, students are disregarded for council tax purposes. This means they are not counted when calculating how many liable adults live in the property.

The council tax bill is then calculated based on the remaining non student adults.

One Non Student and One or More Students

If one non student lives with one or more full time students, the household is usually eligible for a 25 percent single person discount.

This is because only one liable adult is counted.

This situation is common where a student lives with a working partner or family member.

Two or More Non Students Living With Students

If two or more non students live in the property, no student related discount usually applies.

The presence of students does not reduce the bill in this case because there is more than one liable adult.

Students Living With Their Parents

Students who live with their parents are usually disregarded for council tax purposes.

This means:

The parents remain liable for the council tax

The student does not increase the bill

If the student is the only additional adult in the household, the parents may still qualify for a discount depending on who else lives there.

Students in Halls of Residence

Most university halls of residence are exempt from council tax.

These properties are usually owned or managed by educational institutions and are classed as exempt dwellings.

Students in halls do not need to apply individually, as the exemption is usually handled at property level.

Students on Placement Years or Sandwich Courses

Students on recognised placement years are usually still treated as full time students for council tax purposes, provided the placement is an integral part of the course.

This means:

The student remains exempt

The exemption usually continues during the placement

However evidence may still be required, and councils sometimes request confirmation.

PhD Students and Council Tax

Most full time PhD students are exempt from council tax.

Doctoral students studying full time usually meet the criteria, even though their study pattern may be less structured than undergraduate courses.

Part time PhD students are not automatically exempt and should check their specific course status.

Students Who Have Finished Their Course

Student exemption does not end immediately when exams finish.

In most cases, student status continues until the official end date of the course, which is often later than the last exam.

Once the course officially ends, council tax liability usually starts from the following day unless another exemption or discount applies.

This can catch students out, especially over the summer period.

Students Between Courses

If you finish one qualifying course and start another without a break, exemption often continues.

If there is a gap between courses, council tax may become payable during that period.

Each council treats gaps slightly differently, so it is important to inform them of your circumstances.

International Students and Council Tax

International students are treated the same as UK students for council tax purposes.

If you are studying full time on a qualifying course, you are usually exempt regardless of nationality.

Visa status does not affect council tax exemption directly.

How to Apply for Student Exemption

Council tax exemption for students is not always applied automatically.

Most councils require you to:

Notify them that you are a student

Provide a student certificate or proof of enrolment

Update them if your circumstances change

Many universities provide digital student status certificates specifically for council tax purposes.

What Is a Student Certificate?

A student certificate is an official document confirming:

Your name

The course you are studying

Whether it is full time

The start and end dates of the course

This is the key document councils use to apply exemptions or discounts.

What Happens If You Do Not Tell the Council?

If you do not inform the council, they may:

Issue council tax bills

Pursue payment

Add late payment charges

Even if you are entitled to exemption, the council will not usually backdate it unless you provide evidence.

This is one of the most common reasons students end up paying council tax unnecessarily.

Council Tax and Student Landlords

If you own a property and rent it out to students, the tenants are usually responsible for council tax unless the property is fully exempt.

If all tenants are full time students, the property is usually exempt.

If the property is empty or not all tenants are students, liability can vary depending on the situation and the type of tenancy.

Landlords should not assume exemption applies automatically.

Common Mistakes Students Make

The most common issues I see include:

Assuming exemption is automatic

Not providing student certificates

Not updating the council when courses end

Assuming part time study qualifies

Ignoring letters from the council

These mistakes often lead to avoidable bills and stress.

What If the Council Gets It Wrong?

Councils do make mistakes.

If you believe you are being charged incorrectly, you should:

Contact the council promptly

Provide written evidence

Ask for a revised bill

If necessary, you can make a formal appeal.

Do not ignore incorrect bills, as enforcement action can follow even where the charge is wrong.

Council Tax Reduction Is Different From Exemption

It is important not to confuse exemption with council tax reduction.

Student exemption removes liability entirely for qualifying households.

Council tax reduction is means tested support for people on low incomes.

Students may qualify for one, both, or neither depending on circumstances.

Students and Council Tax Arrears

If you were charged council tax incorrectly in the past, you may be able to have the bill amended or refunded once proof is provided.

This can apply even if time has passed, although councils may have limits on backdating.

Practical Advice for Students

If you are a student or live with one, the safest approach is to:

Confirm whether your course qualifies

Obtain a student certificate early

Inform the council as soon as you move in

Update the council when circumstances change

This prevents problems before they start.

So Are Students Exempt From Council Tax?

In most cases, yes, full time students on qualifying courses are exempt from council tax. If everyone in the household is a student, the property is usually fully exempt. In mixed households, students are disregarded and discounts may apply depending on how many non students live there.

The exemption is not automatic and must usually be claimed. The biggest risk is not that students are liable, but that they do not tell the council and end up paying when they do not need to.

Understanding the rules and acting early can save money and avoid unnecessary stress.

You may also find our guidance on how much is single person council tax and how to apply for council tax reduction helpful when reviewing your council tax position. For a full overview of council tax rules exemptions and reductions you can visit our council tax hub which brings all related guidance together.