Council Tax bands in England: how properties are valued and who sets the bill

Council Tax bands are based on the 1991 open-market value of a property. Parliament sets the band ranges across England, the Valuation Office places each property in a band, and the local council sets the actual amount payable.

Band A

Properties valued up to £40,000 (1991 values).GOV.UK, How domestic properties are assessed for Council Tax bands

Band B

Properties valued from £40,001 to £52,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Band C

Properties valued from £52,001 to £68,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Band D

Properties valued from £68,001 to £88,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Band E

Properties valued from £88,001 to £120,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Band F

Properties valued from £120,001 to £160,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Band G

Properties valued from £160,001 to £320,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Band H

Properties valued above £320,000.GOV.UK, How domestic properties are assessed for Council Tax bands

Bands are based on 1991 property values, not current market values

Every domestic property in England is placed in one of eight valuation bands (A to H) by the Valuation Office, formerly the Valuation Office Agency, part of HMRC since April 2026. The band reflects the open-market value of the property on 1 April 1991 in England, not its current sale or rental value. In some situations a banding can be changed without a sale, for example if a property is extended with a self-contained annexe. If a property has increased in size since it was first assessed, it may move to a higher band when it is next sold. GOV.UK, How domestic properties are assessed for Council Tax bands (opens in a new tab).

Band ranges are set by Parliament and apply across England. The ranges have not been updated since 1991, which means a property placed in Band D in 1991 remains in Band D regardless of how property values in the area have changed since. Wales (2003 values, nine bands) and Scotland have their own valuation systems; Northern Ireland has domestic rates, not Council Tax. legislation.gov.uk, Local Government Finance Act 1992 s5 (opens in a new tab). nidirect, How rate bills are calculated (opens in a new tab).

Three bodies play separate roles in Council Tax

Parliament sets the band ranges and the Council Tax legislation that applies across England. legislation.gov.uk, Local Government Finance Act 1992 s5 (opens in a new tab).

The Valuation Office, part of HMRC, values properties and assigns them to bands. GOV.UK, Valuation Office Agency (opens in a new tab).

The local council collects Council Tax and sets the amount payable for each band, based on its own budget requirement. GOV.UK, Council Tax (opens in a new tab).

The band a property is in determines the proportion of the council's total Council Tax requirement that the property pays. Band A pays six-ninths (two-thirds) of the Band D charge and Band H pays eighteen-ninths (twice) of the Band D charge, set in section 5 of the Local Government Finance Act 1992. legislation.gov.uk, Local Government Finance Act 1992 s5 (opens in a new tab).

Council Tax is usually paid by adults aged 18 or over who live in the property. The 25% single-person discount is on application to the local council. GOV.UK, Who has to pay Council Tax (opens in a new tab).

Owners usually pay on empty homes. GOV.UK, Second homes and empty properties (opens in a new tab).

A band can be challenged if the property is in the wrong band

The person who pays Council Tax, whether owner or tenant, can challenge the band. GOV.UK, Challenge your Council Tax band (opens in a new tab).

If the band is changed, the council revises the bill and pays any refund due. GOV.UK, Challenge your Council Tax band (opens in a new tab).

This page is an original explanation based on GOV.UK pages under the Open Government Licence v3.0; the wording has been adapted and GOV.UK does not endorse this website. Scotland and Wales have separate council tax systems with different band structures and valuation dates. This page covers England only.

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