A NATIONAL debt helpline has called on Wychavon District Council to improve its debt collection practices after a freedom of information request revealed its use of bailiffs remains high.
National Debtline, a free debt advice service run by the Money Advice Trust, has written to the leader of Wychavon urging the council to commit to improve the way it collects council tax arrears and other debts.
Wychavon District Council figures, revealed in response to a Freedom of Information request, show the authority referred 856 debts to bailiffs in the 2022/23 financial year – a -66% decrease on pre-pandemic levels in 2018/19.
Despite the post-pandemic decrease, the charity says the council’s bailiff use remains too high, with action needed so fewer debts are sent to bailiffs in the first place.
Across England and Wales, 2.71 million debts were referred to bailiffs by councils during 2022/23 – broadly unchanged on pre-pandemic levels (2.65 million in 2018/19).
The findings form part of wider research into council tax debt and collection practices published by the Centre for Social Justice, which reveals 1.3 million households fell behind on their council tax bill in 2022/23.
Bailiffs, known officially as enforcement agents, have the right to visit a property and can remove and sell goods to repay certain debts, including council tax arrears, parking penalty charge notices and other debts.
National Debtline is calling for national changes from the Government to help reduce and reform bailiff action, including through new ring-fenced funding for councils to provide 100% Council Tax Support schemes for those on the lowest incomes.
Locally, the charity-run service is calling for Wychavon District Council to adopt all six of its ‘six steps’ to improve collection practices. This includes exempting residents receiving local Council Tax Support from any form of bailiff action.
Steve Vaid, chief executive of the Money Advice Trust, said: “Local authorities remain under significant financial pressure and council tax plays a crucial role in funding vital local services.
“Facing bailiff action, however, can be a distressing experience and risks pushing people already struggling into deeper financial difficulty. Bailiffs should only ever be used as a last resort.
“The fact Wychavon District Council has decreased its use of bailiffs to collect debts is welcome, but there is still more to be done to improve debt collection practices for the benefit of both people in difficulty and councils.”
Vic Allison, chief executive of Wychavon District Council, said: “We understand the financial challenges residents face, particularly during a cost-of-living crisis. That’s why we have frozen our share of the Council Tax for six of the last seven years and applied minimal increases to some of our other fees and charges.
“Increasingly we are choosing to work with people who owe us any sort of debt to find out why they are finding it difficult to pay and putting in place payment plans and other arrangements. It’s not only better for the customer but is more cost effective and leads to less write-off of debts owed. This is reflected in the fact our use of bailiffs has dropped by 66% since before the pandemic. We will only ever use bailiffs as a last resort when other forms of engagement have failed.
“Our message to anyone who is struggling to pay their Council Tax, Business Rates or any other form of debt is to get in touch with us as soon as you possibly can. The earlier people contact us the easier it will be for us to help.”
Visit www.nationaldebtline.org or call 0808 808 4000 for more information.
