Campaign group calls for council to end use of bailiffs to recover debts

More than 8,000 cases of council tax debt were passed to bailiffs in Haringey in a year, reports Simon Allin, Local Democracy Reporter

Empty wallet — credit Towfiqu Barbhuiya via Unsplash

Haringey Council is facing fresh calls to end “humiliating” debt collection after passing more than 8,000 council tax debts to bailiffs in a year.

The Association of Community Organizations for Reform Now (Acorn) has revealed 8,184 council tax debts in Haringey were referred to bailiffs between April 2022 and March 2023 – up from 8,048 during the previous twelve months.

The council apologised to Acorn for a “mix-up” after initially indicating the number of referrals to bailiffs had dropped by 67%, from 18,000 in 2019/20 to 6,000 in 2022/23, following a change in its policies.

After Freedom of Information (FOI) requests submitted by Acorn uncovered the true figure, the council corrected the numbers to show the actual reduction was just 22% – from 10,553 to 8,184.

Local authorities can send bailiffs to seize property if they decide there is no other way to recover debts, but Acorn says the practice is unnecessary and cruel.

Under the council’s ethical debt reduction policy, introduced in early 2021, it committed to stop using bailiffs to collect debts from residents who are vulnerable, facing mental health issues and on very low incomes. The council says it is acting in line with the policy.

Acorn’s Haringey branch will hold a rally in support of a ban on the use of bailiffs at 6pm this evening (Monday 15th) outside Tottenham Town Hall, during Haringey Council’s annual general meeting (AGM).

Reuben Bard-Rosenberg, chair of Acorn Haringey, said: “It’s shameful that Haringey Council didn’t know how many residents it has thrown to bailiffs.

“While the council has shown good intentions with its ethical debt policy, the real data shows that it has not significantly reduced bailiff use in our borough.

“As more and more people are struggling with higher costs and stagnating wages, Haringey Council must take decisive action to end this violent and humiliating method of debt collection. We’ll be outside the council’s AGM on Monday 15th to deliver a polite but noisy message that change needs to start now.”

Seema Chandwani, cabinet member for tackling inequality and resident services, said: “We have made it a top priority to work together with our residents to support all those who are facing debt and financial hardship. This is reflected in our approach to collecting council tax and dealing with council tax debts.

“In line with our ethical debt reduction policy, we never use bailiffs to enforce council tax debts where people are vulnerable, face mental health issues or are on low incomes.

“Where we do use bailiffs – for example in cases where landlords have not paid – we have rigorous processes to ensure residents are treated fairly. All phone calls and visits are recorded, and performance is closely managed.”

Cllr Chandwani said the council has a “range of initiatives” to help residents avoid getting into debt, while separate policies mean more than 19,000 Haringey households will not pay any council tax for the 2023/24 tax year. She added that the council had “committed to work with Acorn to ensure our systems do not negatively impact on vulnerable residents”.

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