a sentence used to describe lube for those too poor to afford or in a desperate situation and require lubrication. inferring that council estates (of the uk) may be too poor to afford any decent lubrication. coined in the same sense that "council pop" refers to water from a tap.
him - "lets have anal sex"
Her - "but we havent got any lube!"
him - "thats fine, ive got council lube"
him - *spits in hand*