Flatmate has just dropped bombshell on us saying they are no longer a student, meaning we all owe council tax. What can we do?

Our flatmate, has told us they have failed Uni and haven’t told their parents. They have just left for a holiday, and is asking us to report them as a student to avoid council tax.

Obviously me and the others in the house are incredibly angry about this, as this would be fraud.

So we now owe thousands (split) to the council for their mistake.

The parents will likely find out as soon as they end up owing tax.

What do we do? This is obviously a pretty stick situation.