It's thought that east Devon council could be losing out on 385 thousand pounds a year - because of fraudulent claims for council tax discounts.
People living alone get 25 per cent off their yearly bill, but research suggests that up to five per cent of those discounts may be awarded to people who aren't really eligible.
The council is currently working with data specialists to check that people who claim the discount are still living alone.
It says those who're genuinely entitled to the lower bills have nothing to fear.
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