England and Wales FAQs

Council tax debt FAQ's

If you have council tax arrears and have not already contacted your local authority you must speak to them as soon as possible to make an arrangement to pay the arrears back.

It is important to work out how much you can reasonably afford to pay and then tell them. Always stick to an arrangement. Local authorities may take court action to get a liability order with only two missed payments.

They will also expect the arrears to be paid by the end of the tax year in April. They will usually allow you to spread the cost over the following months.

If you find you can no longer afford the arrangement, you must contact your local authority to try to reduce the amount.


 

If your local authority applies to the court for a liability order, you will receive notice at least fourteen days before the hearing. You should attend the hearing to make an offer to payment by instalments.

If you think you have been incorrectly billed, you should contact the council as soon as possible to appeal the bill and ask for the hearing to be adjourned.

Once a liability order is granted, the council has a number of ways to collect the debt:

  • An arrangement to pay in instalments
  • A ‘distress warrant’ and the use of bailiffs
  • Take money from your wage by an attachment of earnings
  • Take money from your benefits
  • A charging order in the county court if the debt is over £1000
  • In rare cases, bankruptcy proceedings

If you have received a liability order, the consequences can be serious. Please contact our Helpline and one of our advisors will be able to advise you on your situation.


 

For any complaints about council tax, the council should have a complaints procedure and you should follow this first. You may it useful to contact your local councillor for help as well.

If your complaint is not resolved, you can contact the Local Government Ombudsman who will investigate the issue further.


 

If all other means to collect outstanding council tax have failed, a magistrates’ court has the power to imprison you for up to three months. This is a last resort and a court will only use this measure when someone is able to pay the bill but is deliberately refusing to do so.


 

If you are on benefits or have a low income, you may be entitled to have some council tax benefit. You should contact your local council to discuss this.

If you are the only adult in the house, you will qualify for a 25% single person discount. There are other categories of people who do not have to pay full council tax, such as students.

Your local authority should have a welfare rights officer who can give you help, or if you are contacting us for advice on dealing with your debts, our counsellors can offer benefits advice.


 

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