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UK Council Tax by band & US property tax by state

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Understanding Property Taxes

In the UK, property tax takes the form of council tax — a locally-set annual charge paid by residents to fund local authority services including waste collection, road maintenance, libraries, and local policing. In the US, property tax is levied by state and local governments based on an assessed percentage of the property's market value.

Frequently Asked Questions

How is council tax calculated in the UK?

Council tax is based on your property's band (A–H in England, set by 1991 values) and your local council's annual Band D rate. Fractions of Band D apply to other bands: Band A = 6/9ths of Band D; Band B = 7/9ths; Band C = 8/9ths; Band D = full rate; Band E = 11/9ths; Band F = 13/9ths; Band G = 15/9ths; Band H = 18/9ths. In 2025/26, the average England Band D rate is ~£2,171/year — but councils in high-cost areas charge significantly more. Your local council's website will show the exact Band D rate for your area.

What are the council tax bands and how much do they cost?

England bands run from A (lowest) to H (highest). At the 2025/26 national average Band D rate of ~£2,171: Band A costs ~£1,447/year; Band B ~£1,688; Band C ~£1,914; Band D ~£2,171; Band E ~£2,652; Band F ~£3,132; Band G ~£3,649; Band H ~£4,342. Many councils charge 15–40% more than the national average. Check your council's website or gov.uk to find the exact rates in your area.

Who is exempt or gets a discount on council tax?

Single occupant discount: 25% off if you're the only adult in the property. Student exemption: full-time students pay nothing, and a property occupied solely by students is entirely exempt. Severely mentally impaired: disregarded for council tax purposes. Empty properties: some councils offer discounts for short-term vacancies, but many now charge 100–200% of the standard rate for long-term empty homes. Council Tax Support is a means-tested scheme offering a discount for low-income households — apply through your local council online. Disability relief is available if a room or extra bathroom is needed for a disabled resident.

What is the average property tax rate in the US?

The US national average effective property tax rate is approximately 1.07% of assessed value per year. New Jersey is highest at ~2.23%. Hawaii is lowest at ~0.29%. Texas (~1.63%), Illinois (~2.08%), and Wisconsin (~1.76%) are high-tax states; California (~0.74%, capped by Proposition 13), Colorado (~0.57%), and Utah (~0.62%) are lower. Within states, rates vary further by county and city. "Assessed value" also varies — some states assess at full market value, others at 60–80%.

Can you appeal your council tax band in the UK?

Yes — if you think your property is in too high a band, contact the Valuation Office Agency (VOA). Check comparable properties on the VOA website first (voa.gov.uk) to see what band similar homes in your street are in. If neighbours with similar properties are in a lower band, you may have grounds for appeal. Challenges must usually be made within 6 months of moving in, or at any time if you have new evidence. About 20–25% of appeals lead to a band reduction — but there's a small risk of being moved up a band, so do your research first.

⚠️ Disclaimer: Council tax rates shown are estimates based on national averages and may differ from your actual council's figures. US property tax estimates use state-level effective rates that vary by county and municipality. Check your local authority or county assessor for precise figures. This is not tax advice.