Stop bailiffs call to Sheffield Council over tax debts as “thousands live in fear”
Sheffield housing campaigners have called on the city council to stop using bailiffs to collect council tax debts, with one saying that 25,000 people are “living in fear”.
Supporters of the ACORN community-based union, which campaigns on tenants’ rights, asked questions at a meeting of Sheffield City Council on Wednesday (November 5).
Joanna Sparks stated: “Sheffield City Council referred 25,000 people to bailiffs last year for council tax. That is 25,000 people getting a visit by bailiffs who often break their own rules – rules which are not enforced.
“That is 25,000 people living in fear. That is children being told not to open the door.
“You don’t even exempt residents receiving council tax support from bailiff visits. You have a duty of care to Sheffield residents and you have failed. How do you explain this to the people of Sheffield?”
Another questioner asked: “The cost of living has shot up and people are having to choose between food, rent and council tax.
“You say that there are more than 18,000 bailiff referrals. How do you sleep at night knowing that every 15 minutes someone in the city gets a knock on the door from someone whose job is to intimidate them into handing over money?”
Mould
One tenant described living in a council house in Stocksbridge with leaks, mould and water penetration. She said the situation is so bad she has been unable to plug in her cooker or cook on a normal cooker for two years.
She called on housing policy committee chair Coun Douglas Johnson to meet ACORN to put an end to the “nightmare”.
Finance and performance policy committee chair Coun Zahira Naz responded to Ms Sparks: “The payment of council tax provides a significant source of income to the council which, in turn, enables the council to deliver vital services across the city.
“By way of example, the actual amount billed at the start of the current financial year was £351,590,658.
“As such it is necessary for the council to have a robust approach to the payment and collection of council tax, in line with the council’s corporate debt policy, which sets out how the council maximises income collection and minimise levels of debt in the most fair, efficient and cost-effective way, whilst providing support for our most vulnerable customers.
Struggling
“Consequently, the council takes a firm but fair approach to recovering unpaid council tax, providing financial support and advice to those who are struggling to pay whilst utilising all recovery options against those who can but won’t pay.
“The process for recovering council tax is set by statute and the council must comply with the law when recovering unpaid council tax.
“The current default position for billing council tax is for the bill to be paid over 10 monthly instalments, although taxpayers can request to pay over 12 monthly instalments. In Sheffield almost half of the city’s taxpayers who pay by direct debit pay over 12 months.
“Although the right to instalments is lost at the point a summons is issued (and this is after a taxpayer has received a bill, a reminder and up to two further reminders before a final notice), the reality is that where taxpayers engage with the council and make realistic and affordable repayment arrangements these instalments are reinstated, with many arrangements extending into the following financial year in recognition of the taxpayer’s ability to pay.
“So far in this financial year the council tax service has entered into 20,740 repayment arrangements where the right to pay by instalments has been reinstated. This is indicative of our approach to be flexible with those customers who are genuinely struggling to pay.”
Support
Coun Naz added that so far this year more than 43,000 financially vulnerable households have received help from the Council Tax Support Scheme. More than 10,500 households received around £2.3m of additional financial support from a Council Tax Hardship Scheme.
A total of 37,026 text reminders were sent before action was taken and in-person pre-court surgeries give taxpayers advice, support and repayment arrangements. An average of 100 people are seen per month, said Coun Naz.
She said taxpayers are also signposted towards other services and organisations who offer financial and debt management advice.
“The use of enforcement agents is not taken lightly but the option to refer a debt to an enforcement agent company remains an essential part of the council’s ability to recover this vital source of funding,” said Coun Naz.
“If taxpayers engage with the council and make affordable sustainable repayment arrangements which are maintained, then there is no reason to refer to an enforcement agent company.
“For both in-house and external enforcement agent activity, we require strict adherence to all applicable industry codes of conduct and guidelines.
Enforcement
“We do not take enforcement action where it is known that a person is vulnerable and, in accordance with the council’s own council tax recovery policy, where vulnerability is established after any such referral, we will take action to end the enforcement agent involvement in the case.
Coun Naz said that 18,760 cases were referred to an enforcement agent in 2024/25 .
Francis McKenna said that ACORN is calling for the government to end the use of bailiffs to collect council tax, as well as a cap on liability orders, a statutory pre-action protocol for bailiffs and other measures.
They asked if the council would agree to a meeting and Coun Naz said she would, along with officers from the council’s revenues and benefits team.