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The council tax system is set for its most significant revamp since 1993. The government is currently inviting feedback through a consultation open until September 12, seeking input from English taxpayers on their experiences and opinions of the system.

One key proposal is to shift away from the traditional 10-month payment schedule, which sees most households not paying council tax in February and March, leading to marginally higher payments throughout the remaining months.

The new plan suggests defaulting to a 12-month payment cycle instead.

This adjustment could reduce monthly bills by £38 for the average band D property by spreading the cost more evenly over the year.

It would also benefit busy families who find it challenging to remember in which months they need to pay or not pay council tax.

Additionally, there will be changes to the Severe Mentally Impaired exemption, which offers discounts to certain people that can amount to 100% off their tax bill depending on their living circumstances. Martin Lewis claimed this exemption is currently "underclaimed, overcomplex and underpublicised".

The review will also examine the current disregard rules for care workers and apprentices as currently, carers are eligible for a council tax reduction only if they stay with the person they care for, while apprentices must ensure their training meets certain criteria to qualify for a discount.

The new system will also have a focus on making it clearer where funds are being spent and raise awareness of the support available for those facing financial difficulties.

Finally, the punitive measures for council tax arrears will be under scrutiny too.

Martin Lewis, the MoneySaving Expert, has lauded the proposed changes, saying: "Many parts of the Council Tax system are broken, and having called for some of these fixes for nearly 20 years, I'm delighted the government has listened and rapidly launched this long-due consultation, including many of the administration areas I hear the most complaints on."

He criticised the existing debt collection practices as "aggressive" and "ridiculous", highlighting that currently, falling three weeks behind on a monthly bill could lead to a demand for the entire year's payment upfront.

Should the bill remain unpaid after an additional three weeks, bailiffs may be employed to recover the debt, further increasing the amount owed due to additional fees.

Martin condemned the approach, stating: "No commercial lender is allowed to behave like this, meaning constituents are treated worse than consumers.

"The government has listened to our evidence, and this consultation thankfully looks at slowing it down, adding-in consideration, capping added costs, and pointing people towards help to pay."