Issue - meetings

Debt Recovery 2024/2025

 

 

Meeting: 07/07/2025 - Cabinet (Item 30)

30 Debt Recovery 2024/2025 pdf icon PDF 204 KB

Executive Summary

This is an annual report detailing the council’s collection performance and debt management arrangements for 2024/25. It includes:

  • A summary of debts written off in each debt area showing the reasons for write-off and values.
  • Collection performance for Council Tax and Non- Domestic Rates.
  • Level of arrears outstanding
  • Level of provision for bad and doubtful debts

 

Options considered.

 

To leave the write-off limits as they currently are or to increase these to a higher figure.

 

Consultation(s)

We are pleased to reach this year’s collection performance targets for council tax & Non-Domestic (Business) Rates whilst also working hard to reduce avoidance and fraud which with the cost-of-living crisis is a difficult time to for enforcement.

 

Recommendations

 

That Cabinet recommend to full Council that it:

 

  1. approves the annual report which details the Council’s write-offs, in accordance with the Council’s Debt Write-Off Policy and performance in relation to revenues collection.

 

  1. approves the continued delegated authority as shown in appendix 2 for write offs.

 

Reasons for recommendations

 

The recommendations ensure the Council makes best use of its staff resources and manages its finances to ensure best value for money.

Background papers

 

Corporate Debt Management and Recovery Policy -Appendix 1; Debt Write Off Policy - Appendix 2 and Recovery Methods including Enforcement Agent Code of Practice and Enforcement Agent Instructions - Appendix 3.

 

 

Wards affected

All wards

Cabinet member(s)

Lucy Shires

Contact Officer

Sean Knight

Revenues Manger

Sean.Knight@north-norfolk.gov.uk

 

Additional documents:

Decision:

Decision

RESOLVED to recommend that Full Council:

 

  1. approves the annual report which details the Council’s write-offs, in accordance with the Council’s Debt Write-Off Policy and performance in relation to revenues collection.

 

  1. approves the continued delegated authority as shown in appendix 2 for write offs.

 

Reason for the decision:

 

The recommendations ensure the Council makes best use of its staff resources and manages its finances to ensure best value for money.

 

Minutes:

Cllr L Shires, Portfolio Holder for Finance, Estates & Property Services, introduced this item. She said that the level of Council Tax and Non-Domestic (Business) Rates debts written off had increased since the previous year. The main reason for debts being written off were due to insolvency or where the debtor had absconded or was deceased. The collection rate for Council tax arrears had reached 98.37% and for business rates it was 99.45% - both higher than previous years. She added that the collection rate for business rates was the highest for 18 years.

 

Cllr Shires said that the outstanding arrears for council tax as at 31st March 2025 was £4.19m, which was slightly lower than the previous year.   In terms of business rates, the total of all years’ business rates arrears was £253k as at 31st March 2025. The picture overall was looking quite positive and she said that she wanted to reassure residents facing financial difficulty that they should contact the Council for advice and support.

 

Finally, Cllr Shires congratulated the team for their recent award from the Empty Homes Network. They were highly commended for the best use of media linking to long term empty homes work.

 

 

RESOLVED to recommend that Full Council:

 

  1. approves the annual report which details the Council’s write-offs, in accordance with the Council’s Debt Write-Off Policy and performance in relation to revenues collection.

 

  1. approves the continued delegated authority as shown in appendix 2 for write offs.

 

Reason for the decision:

 

The recommendations ensure the Council makes best use of its staff resources and manages its finances to ensure best value for money.