Bailiff action by Kent councils ‘remains high’, warns National Debtline charity
05:00, 19 September 2024
updated: 16:40, 20 September 2024
Medway continues to lead the way for bailiffs use in Kent with nearly 90,000 referrals across the entire county over a one-year period.
New figures show the the council sent nearly 20,000 debt collectors to recover unpaid parking fines and council tax last year.
The Money Advice Trust, a charity helping people to tackle their debt, says bailiffs should only be called in as a last resort.
According to data obtained from freedom of information requests sent by the organisation, which operates the National Debtline, Medway Council has sent more than 17,000 debts to bailiffs from 2022 to 2023.
Of those, 7,000 were from council tax referrals, and nearly 10,000 from parking.
The rest were made up of housing benefit overpayments, business rates, and commercial rent referrals.
In total, nearly 88,366 bailiff referrals were made across the entire county in 2022/23.
This represented a decreased of 6% from pre-pandemic levels with 93,890 referrals having been recorded in 2018/19.
Bailiffs, also known as enforcement agents, visit properties to remove and sell goods for the repayment of certain debts, including council tax arrears, parking notices and others owed to the council.
But despite Medway - which has by some way the biggest population in Kent - recording the highest figures, its debt collection use is nearly a 30% drop from the previous data collection period in 2018 to 2019, which had totalled nearly 25,000.
A spokesman for Medway Council said it offers people in council tax arrears payment plans and pointed to its debt welfare page if people need help with their debts.
He also confirmed warrants are more commonly issued in the case of persistent offenders when it comes to penalty charge notices.
Chief Executive of the Money Advice Trust, Steve Vaid, said: “The fact Medway 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
“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.”
Meanwhile, Thanet had the second highest recorded enforcement agent use with nearly 13,000, of which 10,000 were due to council tax arrears.
But, like Medway, the total use of enforcement agents by the coastal authority was down from the period 2018 to 2019.
A spokesperson for Thanet Council said: “Some unpaid debts will be referred to enforcement agents but it should be stressed that this is always a last resort.
“Attempting further enforcement activity on historic cases maximises the chance of recovery and reduces the likelihood of writing off debt that the taxpayer ultimately has to fund.”
They added: “While recent increases in the cost of living have put greater pressure on household finances, council tax is a really important source of income for the council and it’s important that people pay if they can so that we can provide essential services for local residents.
“Where people are struggling to pay, we offer different kinds of support.
“Thanet has the most generous council tax support scheme in Kent covering up to 90% of council tax for qualifying working age residents, reducing the impact of council tax demands on vulnerable people living in the area. “
Meanwhile, Maidstone council had used bailiffs a total of 12,000 times in 2022 to 2023 – a 45% increase from the previous term where it totalled just over 8,000.
In the most recent figures, nearly 4,000 were for council tax referrals, and almost 8,000 for parking debts.
Mr Vaid said: “Unfortunately, Maidstone council's use of bailiffs remains high - and our research shows the council is one of 41% of authorities which had increased bailiff use compared to pre-pandemic levels.
"Improving debt collection practices benefits not just people in financial difficulty, but councils too. We have written to the Leader with steps they can take so that fewer debts need to be passed to bailiffs in the first place.
“We are also calling on the new government to support Maidstone 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.”
Bailiffs should only ever be used as a last resort
Elsewhere the council with the highest bailiff increase since the pandemic was Tunbridge Wells.
From 2022 to 2023, its use of debt collectors had almost doubled, with a 72% increase.
It saw referrals for enforcement agents go from more than 4,000 to nearly 7,500.
A spokesperson for Tunbridge Wells Borough Council said: “Instructing bailiffs is the very last resort, we actively encourage anyone unable to pay their Council Tax or Business Rates to speak to us as soon as possible as we may be able to help.”
Sevenoaks too saw a large spike with an 61% from pre-pandemic levels taking it from around 2,000 to more than 3,000.
There can be serious implications for those who fail to pay debts.
In July, KentOnline reported how a Northfleet resident had their home forcefully sold after racking up a council tax debt of £36,000.
Gravesham council had said after the recovered debt and legal costs from the proceeds of the sale of the Northfleet home the balance was handed back to the home’s former owners.
Speaking at the time, Cllr Narinderjit Singh Thandi said: “We rely on council tax to pay for the vast majority of services we provide.
“Like many local authorities around the country, we face budget challenges, and every penny counts.
“I would encourage anyone who is struggling to pay their bill to contact us as soon as possible so we can investigate whether they are claiming all the benefits or discounts they are entitled to.
“Where it is clear that a council taxpayer can afford to pay but has chosen not to, then as demonstrated by this latest case, we will use all legal powers available to us to collect unpaid council tax.”
If you or anyone you know is struggling with finances, contact National Debtline on 0808 808 4000 or online here.
Advisers will be able to provide free support and help residents make a plan whatever the circumstances.