Heather Jameson 27 April 2020

Debt collection needs reform, says think tank

Local government should follow the lead of the private sector when it comes to debt collection, the latest report from the Centre for Social Justice think tank has claimed.

The report cites Citizen’s Advice Bureau records which state 42% of debt in 2018-19 is owed to government or public bodies, up from 21% in 2010-11. In the same period, consumer debt dropped from 57% to 32% in the same period.

As the economic pressures caused by the coronavirus start to put pressure on family budgets, the problem of debt is set to be exacerbated.

According to the Centre for Social Justice, consumer debt collection has changed significantly over the past decade. It said: ‘Regrettably, these advances have not been mirrored by debt collectors in the public sector.

‘Councils are the nation’s largest commissioner of bailiffs, even though they recovered 27p of every £1 referred last year.

The Think tank has called for

Local government debt collection to be transformed and updated so it does not make debt problems worse

Transform debt collection in the justice system, removing prison terms for council tax debt and introducing an independent bailiff regulator.

A set of binding fairness principles to be put in law

Change debt collection in the welfare system, so historical debts around issues in the tax credit system are deducted affordably

The CSJ said: ‘With the lockdown not going anywhere soon, and the number of people in problem debt sadly set to rise, it is more urgent than ever to carve a new path forward for government debt collection.’

SIGN UP
For your free daily news bulletin
Highways jobs

Casual Support Worker

Oxfordshire County Council
£25992 - £28163
About Us Abingdon Community Support Service's primary purpose is to support adults to engage with a stimulating programme of meaningful individual and rewarding group activities. The Social and Community Services vision is to support and promote strong c Abingdon Community Support Service
Recuriter: Oxfordshire County Council

Quality and Review Support Assistant

Durham County Council
Grade 4 £25,583 - £26,824 Pro-rata
WHAT IS INVOLVED?   You will provide administrative, clerical and typing services to the Quality & Review Service, specifically in support of the Inde Spennymoor
Recuriter: Durham County Council

Duty Manager

Durham County Council
Grade 6 £28,142 - £31,022 per annum
We have an opportunity for a Duty Manager at Meadowfield Leisure Centre.  WHAT IS INVOLVED? You will be responsible for the day-to-day operation of t Durham
Recuriter: Durham County Council

Support Worker

Durham County Council
Grade 4 £25,583 - £26,824 Pro-rata
WHAT IS INVOLVED?   You should be an enthusiastic team player who takes pride in providing excellent customer service.  You will have good communicati Spennymoor
Recuriter: Durham County Council

Support Worker

Durham County Council
Grade 4 £25,583 - £26,824 Pro-rata
We have an exciting opportunity for a permanent Support Officer to join our dedicated team within Business Services (part time 22 hours).   WHAT IS IN Durham
Recuriter: Durham County Council
Linkedin Banner