English councils are being urged to end the use of imprisonment for the non-payment of council tax.
The national free debt advice provider PayPlan and the Institute of Money Advisers (IMA) are writing to leaders of local authorities in England and Wales to ask for their support in reviewing the policy.
Between 2011/12 and 2017/18, the number of people contacting Citizens Advice with council tax debts rose from 168,000 to 217,000. Court action was taken against 4,800 people for non-payment.
The average debt level of people subject to committal action in court in 2016/17 was just £2,213. This figure is below the level for which the law allows bankruptcy to be considered.
In January 2018, the High Court announced that up to 17 people in England and Wales were unlawfully sent to prison in 2017 for council tax arrears.
The Welsh government is currently reviewing the responses to its consultation on banning the use of imprisonment for the non-payment of council tax.
‘Local authorities absolutely need to ensure that council tax is collected effectively, and our report is not arguing against this,’ said Alistair Chisholm, head of advice sector policy and partnerships at PayPlan.
‘However, collection needs to be proportionate and fair. We believe that those struggling with debt should not feel they are unfairly grouped together with criminals.
‘Debt is a complex issue and we urge local authorities to reconsider how they collect council tax arrears. Reviewing this policy has helped Welsh councils to work closely with advice agencies and those members of their communities that are struggling financially.’