Issue - meetings

Debt Recovery 2024-25

 

 

Meeting: 16/07/2025 - Overview & Scrutiny Committee (Item 36)

36 Debt Recovery 2024-25 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.

 

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

Minutes:

Cllr Shires presented the report to the committee and congratulated the Revenues team for their hard work and their national standing and recognition.

 

Cllr Cushing made an observation about the low level of direct debit (DD) payments and asked if there was ongoing work to encourage more of the public to pay this way.  Cllr Shires explained that there was ongoing work actively encouraging and supporting residents to switch to DDs. Cllr Shires concluded that support and education, and awareness of Council Tax Support (CTS), to help bridge financial gaps and a shift from paying by cash for instance and onto DD, was needed. The Revenues team were working hard to achieve this, with the Financial Inclusion (FI) and Benefits teams, to assure residents’ support was out there.

 

Cllr Bailey sought further clarification on charging orders. Cllr Shires assured the committee this route was very much a last resort but would provide figures for the committee on this as soon as possible. Cllr Shires explained that for many there were much wider issues ongoing than not paying Council Tax and the recovery methods taken were reviewed on a case-by-case basis. Cllr Shires said that the Council wanted to support residents who were struggling financially.

 

Cllr Boyle thanked the team for an excellent report and their hard work.

 

The Chair commented that the level of DD payments was also low for non-domestic rates (NDR), at 30% and asked if members should be concerned. Cllr Shires agreed it did appear low but said that it might depend on the size of the business as many small businesses would prefer to be more in control of when they paid due to cashflow for example. Cllr Shires did recognise this was something that could be explored when the next consultation with local businesses was undertaken to try and understand what the barriers were for them not paying via DD

 

The Committee RESOLVED to make the following recommendations to 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.