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Interest payment on overpaid Council Tax

I have (at last) successfully got my Council Tax banding resolved after 13 years no less. I discovered, by complete accident, that all my neighbours were on Band E whilst my house, alone, was on Band F. I lodged an appeal with the local Valuation Office and they agreed to reduce it to Band E. The Council have calculated that over the last 13 years (since October 1993) I have overpaid something in excess of £2,500 and they have offered to refund that. However, am I being unreasonable to expect some contribution to my loss of interest over that period. My calculations reveal that even at a modest 3%pa it would amount to something like £500 or so. The Council are adamant that "the Law" makes no provision for the payment of interest on Council Tax. Do I just have to accept this - or does someone know any better??

Regards

Dave

Comments

  • Optimist
    Optimist Posts: 4,557 Forumite
    Part of the Furniture
    They are not allowed to pay interest not indeed are they allowed to charge interest on regular instalments you make on your council tax.
    "The whole problem with the world is that fools and fanatics are always so certain of themselves, but wiser people so full of doubts."

    Bertrand Russell. British author, mathematician, & philosopher (1872 - 1970)
  • Optimist wrote: »
    They are not allowed to pay interest not indeed are they allowed to charge interest on regular instalments you make on your council tax.


    OK - Thanks for that. I thought it was worth asking the question at least!!!

    Regards

    Dave
  • Maisie
    Maisie Posts: 1,343 Forumite
    I have (at last) successfully got my Council Tax banding resolved after 13 years no less. I discovered, by complete accident, that all my neighbours were on Band E whilst my house, alone, was on Band F. I lodged an appeal with the local Valuation Office and they agreed to reduce it to Band E. The Council have calculated that over the last 13 years (since October 1993) I have overpaid something in excess of £2,500 and they have offered to refund that. However, am I being unreasonable to expect some contribution to my loss of interest over that period. My calculations reveal that even at a modest 3%pa it would amount to something like £500 or so. The Council are adamant that "the Law" makes no provision for the payment of interest on Council Tax. Do I just have to accept this - or does someone know any better??

    Regards

    Dave

    Dave. Look back at the posts on 'Council tax discussion' thread and 'Successful rebanding' thread . A couple of lucky posters say they have received interest.

    Maisie
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