Last reviewed: May 2026
Quick answer: Merton Council, a London borough run under the leader-and-cabinet model, sets its Band D rate at a full council meeting in February; the GLA precept is added and the borough bills, collects and enforces.Merton as a London borough has the standard leader-and-cabinet constitution under the Local Government Act 2000. The leader of the largest group proposes the annual budget through the cabinet; the full council debates and approves it in February. The Council Tax rate is formally set at that February meeting.
As a billing authority Merton is responsible for setting the Band D rate, scaling the other bands using the national 6/9 to 18/9 schedule, adding the GLA precept set at City Hall, sending out the bills, taking payment, granting discounts and exemptions, and (where necessary) enforcing arrears through the magistrates' court. The Valuation Office Agency, not Merton, decides which band each property sits in.
| Band | Property Value (1991) | Ratio to Band D |
|---|---|---|
| A | Up to £40,000 | 6/9 |
| B | £40,001 to £52,000 | 7/9 |
| C | £52,001 to £68,000 | 8/9 |
| D | £68,001 to £88,000 | 9/9 |
| E | £88,001 to £120,000 | 11/9 |
| F | £120,001 to £160,000 | 13/9 |
| G | £160,001 to £320,000 | 15/9 |
| H | Over £320,000 | 18/9 |
Band ranges set nationally in 1991. Merton sets the cash amount per band each February.
Merton's borough structure and budget cycle
Merton operates under the leader-and-cabinet model: the leader is the political head of the largest group on the council, and the cabinet is the political executive. The leader and cabinet draft the annual budget over the autumn; public consultation runs into January; full council debates and votes on the budget in February.
That February meeting is where the Council Tax Band D rate is formally set. Once approved, the rate is published, scaled to the other bands and combined with the GLA precept to produce the bill that arrives in March.
The budget book, medium-term financial strategy and equalities impact assessment are all published on Merton's website in the weeks leading up to the vote.
Council Tax bands A to H as used in Merton
The Valuation Office Agency assigns every home in England to one of eight bands, A through H, based on its value in April 1991. Merton then sets a Band D rate; every other band is a fixed fraction of Band D.
Band A is 6/9ths of Band D, Band B is 7/9ths, Band C is 8/9ths, Band E is 11/9ths, Band F is 13/9ths, Band G is 15/9ths and Band H is 18/9ths. This ratio is fixed by central government and applies the same way in Merton as it does in any other English billing authority.
To check your band, look up your address on the Valuation Office Agency search tool, or use the band shown on your annual bill. If you think the band is wrong because of evidence about your property in 1991, you have a narrow window to challenge it once you first move in.
How Merton bills, collects and chases Council Tax
Merton sends bills in March each year, covering 1 April to 31 March. The default is 10 monthly instalments between April and January, but residents can request 12 monthly instalments under the Council Tax (Administration and Enforcement) Regulations 1992 by asking in writing before the year starts.
Direct Debit dates are typically the 1st, the 15th or the last working day of the month. Other payment methods include online card payment, automated phone payment, PayPoint at the corner shop and standing order (rare). Payments are credited within a few working days.
If an instalment is missed, Merton issues a 7-day reminder. A second missed instalment ends the right to pay by instalments and the whole year becomes payable. After a final notice, Merton can apply to the magistrates' court for a liability order, which gives access to enforcement agents, attachment of earnings, attachment of benefits or a charging order against the property.
Discounts and reductions Merton can award
The most common discount is the 25 per cent single person discount. If you are the only adult living at the property, you should be paying three-quarters of the full bill. Apply through Merton with proof of who lives at the address.
Council Tax Reduction is the means-tested help available to people on a low income or claiming certain benefits. Merton runs its own scheme within the framework set by central government, and the amount of help depends on income, savings, household make-up and whether anyone in the home is disabled or a carer.
Other reductions worth checking: full-time students are disregarded, a property occupied only by under-18s is exempt, a person with a severe mental impairment is disregarded with a GP certificate, and the disability reduction scheme can drop your bill to the band below your current one if a disabled person needs adapted facilities.
Banding and the role of the Valuation Office Agency
Merton does not decide which band your property sits in. That is the job of the Valuation Office Agency, an arm's-length body of HMRC, which keeps the Council Tax valuation list for every billing authority in England.
If you want to challenge your band, you usually have six months from first moving in to make a formal proposal. After that, you can ask for an informal review at any time, but the VOA will only change the band when there is solid evidence about the 1991 value. Once you exhaust the VOA route, the Valuation Tribunal for England can hear an appeal.
Liability disputes (who should be paying, whether a discount applies) go through Merton first, with the Valuation Tribunal for England as the eventual independent appeal route.
Frequently Asked Questions
Does Merton have an elected mayor like Hackney?
No. Merton operates under the leader-and-cabinet model. The leader of the largest group on the council is the political head; there is no separate directly elected mayor.
Can Merton raise Council Tax by any amount it wants?
No. Each year central government sets a referendum cap on the increase that councils with social care responsibility can make without holding a local referendum. Merton has stayed within the cap.
Why is the GLA precept on my Merton bill?
The Greater London Authority Act 1999 requires every London billing authority to add a single GLA precept to the bill. Merton has no choice about this.
How does Merton enforce unpaid Council Tax?
After a reminder and a final notice, Merton applies for a liability order at the magistrates' court. That order gives access to enforcement agents, attachment of earnings, attachment of benefits and a charging order against the property.
Where can I find the full Merton budget book?
On the Merton Council website, in the area covering full council agendas and committee papers. The budget book is published with the agenda for the February budget meeting.
How We Verified This
Constitutional setup verified against the Local Government Act 2000 and Merton's published constitution. Billing, collection and enforcement framework verified against the Local Government Finance Act 1992 and the Council Tax (Administration and Enforcement) Regulations 1992. GLA precept verified against the Greater London Authority Act 1999.
Sources
- gov.uk - Council Tax overview
- gov.uk - Council Tax bands and reductions
- gov.uk - Apply for Council Tax Reduction
- Valuation Office Agency - How Council Tax bands are set in England and Wales
- Valuation Tribunal England - Council Tax appeal procedures and decisions
- legislation.gov.uk - Local Government Finance Act 1992