William Eichler 22 February 2023

Liverpool council reports over £220m of outstanding debts

Liverpool council reports over £220m of outstanding debts image
Image: Yossa Song / Shutterstock.com.

Liverpool City Council has over £220m of outstanding debts that it does not expect to recover, a report by the interim chief finance officer has said.

The report, which was written by interim chief finance officer Ian Duncan, shows that the council has £228m in ‘bad or doubtful debts’.

The failed collection of council tax and business rates was a major factor behind the debts, according to Mr Duncan’s report.

The overpayment of housing benefits, and outstanding social care and commercial rent income also contributed.

In his report, Mr Duncan noted: ‘It is good practice to keep under regular review the need to write off bad debts, but this does not appear to have been done for some time. Consequently, the city council has some extremely old debt on its books, and it will be necessary to bring forward reports to formally write off debts.’

The council has been approached for comment.

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