Laura Sharman 24 November 2021

MPs launch inquiry into collection of council tax arrears

MPs launch inquiry into collection of council tax arrears image

An inquiry into how local authorities in England collect council tax arrears has been launched by MPs.

The Housing, Communities and Local Government (HCLG) Committee will examine whether there should be changes to the law on the recovery of council tax arrears. It highlighted that England is the only nation in the UK where local authorities can use their powers to send someone to prison for up to three months for the non-payment of council tax.

It will also explore how local authority council tax support schemes affect council tax collection rates, and if there are examples of best practice for council tax arrears collection.

Clive Betts, chair of the Committee, said: 'Council tax arrears is the most common debt problem which people approach Citizens Advice about. COVID-19 has also inevitably had a major impact on many household incomes with some residents suffering financial hardship, leaving them to fall behind on their council tax payments.

'In our inquiry, we are keen to understand about how councils differ in their approaches to council tax arrears, the support available to those who fall into council tax debt, and whether there needs to be changes to the law on the recovery of council tax arrears. We are also keen to examine how different council tax support schemes affect council tax collection.'

Figures show the total amount of council tax outstanding is £4.4bn, with the pandemic causing council tax debt to increase by £841m last year.

Reform of council tax, including devolved powers for local authorities, are among the plans in a co-operation agreement between Labour and Plaid Cymru in Wales.

SIGN UP
For your free daily news bulletin
Highways jobs

Head of Planning and Coastal Management

East Suffolk Council
£87,358 - £99,018 per annum, plus benefits
Following a restructure which has placed the current postholder in a critically important role East Suffolk
Recuriter: East Suffolk Council

Deputyship Caseworker

Essex County Council
£23344 - £26620 per annum
Deputyship CaseworkerPermanent, Full TimeUp to £24,309 per annumLocation
Recuriter: Essex County Council

Engineer

Bristol City Council
£40,221 - £51,515
As part of a friendly and enthusiastic team, you will play an important role in designing innovative urban transport and public realm projects 100 Temple Street Redcliff Bristol BS1 6AN
Recuriter: Bristol City Council

Intelligence Manager - Quantitative and Qualitative Research

Essex County Council
Up to £69262 per annum
Intelligence Manager - Quantitative and Qualitative ResearchFixed Term, Full Timeup to £69,262 per annumLocation
Recuriter: Essex County Council

Research Strategy and Governance Manager

Essex County Council
Up to £70364 per annum
Research Strategy and Governance ManagerFixed Term, Full Timeup to £70,364 per annumLocation
Recuriter: Essex County Council
Linkedin Banner

Partner Content

Circular highways is a necessity not an aspiration – and it’s within our grasp

Shell is helping power the journey towards a circular paving industry with Shell Bitumen LT R, a new product for roads that uses plastics destined for landfill as part of the additives to make the bitumen.

Support from Effective Energy Group for Local Authorities to Deliver £430m Sustainable Warmth Funded Energy Efficiency Projects

Effective Energy Group is now offering its support to the 40 Local Authorities who have received a share of the £430m to deliver their projects on the ground by surveying properties and installing measures.

Pay.UK – the next step in Bacs’ evolution

Dougie Belmore explains how one of the main interfaces between you and Bacs is about to change.