Council tax relief extended to all troops on operations

All Armed Forces personnel deployed on operations overseas will now benefit from a tax-free payment on the cost of council tax, the Defence Secretary Des Browne has announced.

This extends eligibility for the payment, which was first announced in September 2007 for those deployed in Iraq or Afghanistan. The council tax payment scheme will now benefit an additional 4500 troops deployed overseas.

Troops who pay council tax for a property in the UK or contributions in lieu of council tax for service family accommodation will receive financial support through a relief payment, based on the number of days in theatre, and worth some £140 over a six month tour. The extension of the scheme will be effective from 1st April 2008, with payments backdated to 1st February 2008.

Details of the payment

• The locations covered in the extension of the scheme are Bahrain, Bosnia, British Forces South Atlantic Islands, Diego Garcia, Kosovo, Kuwait, Oman, Qatar, Royal Navy personnel onboard ships in receipt of Deployment Welfare Package (DWP) (Overseas) and personnel deployed on UN operations.
• The £140 council tax payment for a six month tour will only be available to troops who pay council tax / rates for a property in the UK or contributions in lieu of council tax (CILOCT) for service families accommodation. Those living in single living accommodation do not pay any charges for their accommodation, including CILOCT, while deployed on operations.
• The rebate is a flat rate payment based on 25 per cent of the average council tax bill for a six month period. This discount is in line with the standard reduction in council tax where an eligible adult is absent from the property.
• The rebate is funded by the Ministry of Defence, not the council. For more information visit the Ministry of Defence website.