Issue - meetings

RESOLVED that the amounts included at paragraph 2.1 of the report (£159,640.52), and individually detailed in Appendix 1, be written off.

Executive considered a report, presented by Junior Cabinet Member, Councillor Duncan Haywood, which sought Members approval to write-off of debts in respect of Business Rates, Council Tax, Housing Rents and Overpaid Housing Benefits as detailed in Appendix 1 to the report.

When an amount of arrears becomes uncollectable it was described as a bad debt.  Writing-off amounts which were no longer collectable was an essential part of the debt management process.  It ensured that a focus was maintained on those amounts which were collectable, thus maximising overall levels of collection.

The Council’s Constitution allowed the Director of Finance and Section 151 Officer, after consultation with the relevant Portfolio Holder, to authorise the write-off of bad debts up to an approval limit of £2,500.  The report recommended the write-off of a number of individual debts which were above the limit of £2,500 and a table in the report provided a summary of each class of write-off.  In all cases every attempt had been made by the Council, and agencies working with the Council, to collect the outstanding debt before write-off was proposed.

Moved by Councillor John Ritchie and seconded by Councillor Phil Smith

RESOLVED that the amounts included at paragraph 2.1 of the report (£159,640.52), and individually detailed in Appendix 1 to the report, be written off.

Reasons for Recommendation

Given that all available options to recover the debt have been explored, it was important that the Council recognised the position and approve the write-off of the uncollectable debt.

Alternative Options and Reasons for Rejection

These are outlined in the main body of the report.