Staffordshire council writes off tax debt and benefit overpayments worth almost £140,000
Council tax debt and housing benefit overpayments totalling almost £140,000 are being written off by Stafford Borough Council.
The money has been deemed “irrecoverable” by the authority.
On Thursday cabinet members agreed to write off 18 council tax arrears totalling £68,142.19 and 11 housing benefit overpayments worth £70,448.23. The meeting was also given an update on the progress of council tax and business rate collection between April and June this year.
A cabinet report revealed collection levels of council tax and business rates were both lower than in June 2021. It said: “Council tax due for the current year amounts to £94.8m, of which some 28.4 per cent was collected by the end of the June, which is lower than the 29.1 per cent collected in the same period last year.
“Whilst our collection rates are traditionally good, regrettably not all of the monies owed to the council can be collected. The knock-on effect of underpayments during the past two years, the current economic climate and the need for revenues staff to continue to manage Council Tax Energy Rebate awards will add to the difficulty in achieving (the target of 98 per cent) in the current year.
“In accordance with the council’s approved policies, all reasonable and lawful attempts are made to recover all amounts due. In the first instance this involves the issue of bills, reminders and final notices, followed by Summonses in the Magistrates Court where the warning notices are not effective.”
Council leader Patrick Farrington said: “There are lots of things in place, where appropriate, to cover outstanding bills and there are safeguards in place for those who are unable to pay in terms of benefits and in relation to debt relief orders and IVAs (individual voluntary arrangements).
“When you look at the collection of business rates there is a slightly wider gap between the collection of 24.8 per cent this year as opposed to the collection of 30.3 per cent. We know the effect of Covid has had significant impact on businesses, not withstanding the provision of grants.
“Where appropriate the council will use its recovery powers to deal with non-payment.”
