A debt advice charity has urged Warrington Borough Council to improve debt recovery methods after bailiffs were instructed 6,432 times in a year.
New findings following a Freedom of Information Request revealed Warrington Borough Council sent 6,432 debts to bailiffs in 2022/23 – although the council says this was due to a backlog after suspending debt recovery for a three-year period during the pandemic.
Now National Debtline has called for improvements to debt collection practices and is urging Warrington residents who are struggling to seek free debt advice.
National Debtline, the free debt advice service run by charity the Money Advice Trust, has written to the Leader of Warrington Borough Council Cllr Hans Mudnry urging the council to commit to improving the way it collects council tax arrears and other debts and to only use bailiffs as a “last resoret.”
Warrington Borough Council figures show the authority referred 6,432 debts to bailiffs in the 2022/23 financial year – a -18% decrease on pre-pandemic levels in 2018/19. But the charity says that bailiff use remains too high, with action needed to improve collection practices so that 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 that 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 Warrington Borough 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, the charity that runs National Debtline, 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 Warrington Borough 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. We have written to the Leader to set out simple steps they can take to improve the way the council collects the debts it is owed.
“We are also calling on the new government to support Warrington Borough Council and other councils by introducing ring-fenced funding to enable all local authorities to provide 100 per cent Council Tax Support to households on the lowest incomes.
“I would urge anyone in Warrington struggling with their finances to get in touch with National Debtline as soon as possible. Our expert advisers provide free, impartial support and can help residents make a plan whatever their circumstances.”
National Debtline offers free, independent debt advice on 0808 808 4000 or at www.nationaldebtline.org
A Warrington Borough Council spokesperson said: “We offer a range of support to customers who are struggling to make payments, including setting up affordable payment plans and checking what discounts or council tax support they may be entitled to. Bailiffs are only used as a last resort when all other options have been exhausted.
“It is important to note that during the Covid period, we put a hold on chasing debts. We continued this for an extended period, to help people who may be struggling. This means that we are now catching up on three years of unpaid debt, which is reflected in the figures.
“We do all we can to collect as much as possible in unpaid debts – without using bailiffs. The vast majority of cases can be resolved by customers talking to us about any difficulties they may be facing, so we can put the right support in place. However, ultimately, we will use all avenues available to us to collect outstanding debt, as if we don’t, the cost is passed on to other council taxpayers.”
