Thousands of UK residents may be eligible for a further cash boost on top of the £150 council tax discount.

The money may help the lowest-earning households manage rising bills during the cost of living crisis.

Under the terms of the council tax grant, households in property bands A to D will get a £150 rebate on this year’s bills.

But some areas could get more money to help cope with the cost of living crisis.

Households who don't qualify could get targeted support, potentially adding an extra £40 on top.

How to reduce your energy bills as prices increase

Is there any more government financial support?

300 councils have also been given a £144million discretionary fund.

The government explains: "In recognition that billing authorities may wish to provide support to households who are not eligible under the terms of the main scheme, councils will receive a share of a £144million discretionary fund."

The fund, issued to local authorities, is to help households battling rising prices who are at risk of falling into the poverty bracket as well as those who may fall outside of the A to D scheme.

Some councils say the money will be offered to those in all bands – not just those in A to D properties reports The Mirror.

Other councils say the extra funding will be paid automatically to the lowest earners.

When will the fund be distributed?

There is no timeline for when discretionary fund payments should start but local authorities have to spend the money by November 30 2022 or return it to the central government.

The guidance does say support from the discretionary fund should consist of no more than £150 per household, which equates to the same amount as the council tax support.

Therefore, local authorities will decide and publish their eligibility criteria. This could include households living in property valued in bands E to H on income-related benefits or for those where the energy bills payers are not liable for council tax.

However, students living in halls may not be eligible unless exposed to rising energy prices in a similar way to other households.

The schemes are targeted toward those already getting council tax support.

When UK households can expect to receive £150 council tax rebate

Ian Williams, the council's finance and resources boss, said: "We know that many families in Hackney are struggling with the rising cost of living, and particularly higher energy bills this month.

"Using our discretionary funding in this way will mean that those most at risk from rising bills will get the extra help they need in the simplest way possible."

To find out how they are distributing the extra funding, your local authority will need to be contacted which can be done via the gov.uk website.

Eligible residents for the initial £150 council tax rebate should have been notified about their payments by now, and this should appear on your council tax annual statement detailing how much your bill is increasing this year.

Over a dozen councils have also said that payments will start from May.

An estimated 2.8million households are estimated to be missing out on council tax support worth £2.6billion.

You can apply for a council tax reduction if you're on a low income are vulnerable or live alone.