Updating post from Reddit.
I've received a court summons from the council for unpaid council tax for the amount of 5k odd. The flat has been rented out to the same tenants since 2021 and no issues prior to this. The flat is managed via a rental agency. I've spoken to the council and they have reassured me that I won't be liable as long as I provide proof of AST and rental which I am waiting to get from rental agent. Council say they were informed that I was liable for tax from Jan 2025 which is untrue and I'm assuming the tenants told them that. My question is - is there anything I need to be cautious about as it looks like the tenants are having financial difficulties. They have paid rent on time every month so far. I'm an accidental landlord and now getting worried that I might have to deal with squatters if they stop paying rent etc. Rental agency have not been very helpful so far and I'm panicking that I might be summoned to court for this. Thanks all.
Council Tax is payable by the occupiers. You have a valid AST, so you're off the hook. It's their debt, not yours.
As for managing your rental, I would consider looking at landlords' insurance with rent receivables guarantee protection.
If they stop paying rent, they are not squatters, they are tenants. You need to evict using s8 notice for serious rent arrears if it comes to that.
Is the property a HMO, or are they renting the entire property? I ask because the landlord is responsible for council tax on HMOs since December 2023, not the occuipers.