Sheffield City Council referred more than 28,500 council tax debts to bailiffs during the 2022/23 financial year, according to research by the debt advice service National Debtline.

The figures, obtained by the charity behind National Debtline, the Money Advice Trust, have prompted renewed calls for the council to improve it’s debt collection practices.

National Debtline found Sheffield City Council has increased its use of bailiffs (officially called enforcement agents) by 116 per cent since pre-pandemic levels in 2018/19, when most local authorities (59 per cent) have not seen increases at all.

Sheffield City Council have been urged by a debt advice charity to reduce its use of bailiffs for collecting council tax debts.

placeholder image — Sheffield City Council have been urged by a debt advice charity to reduce its use of bailiffs for collecting council tax debts.

Steve Vaid, chief executive of the Money Advice Trust, said: “Local authorities remain under significant financial pressure and council tax plays a crucial role in funding vital local services.

“Facing bailiff action, however, can be a distressing experience and risks pushing people already struggling into deeper financial difficulty. Bailiffs should only ever be used as a last resort.

“Unfortunately, Sheffield City Council's use of bailiffs remains high - and our research shows the council is one of 41 per cent of authorities which had increased bailiff use compared to pre-pandemic levels.

Council tax in Sheffield has been increased by the maximum 4.99 per cent in 2024. | UGC

"Improving debt collection practices benefits not just people in financial difficulty, but councils too. We have written to the Leader with steps they can take so that fewer debts need to be passed to bailiffs in the first place.

“We are also calling on the new government to support Sheffield City Council and other councils by introducing ring-fenced funding to enable all local authorities to provide 100 per cent Council Tax Support to households on the lowest incomes.”

Bailiffs have the right to visit a property and can remove and sell goods to repay certain debts, including council tax debts, penalty parking charge notices and other debts.

Councillor Zahira Naz, chair of the Finance and Performance Committee, said: “Sheffield City Council takes what we call a firm but fair approach to the collection and recovery of council tax.

“We are firm with those who can but won’t pay, and we work with those who are perhaps struggling to pay for what can be a variety of reasons.

“Where possible, we try to utilise our in-house enforcement teams to collect unpaid taxes. And again, this is aimed at targeting those that ‘won’t pay’, rather than those that ‘can’t pay’.

“If you are in a position where you might struggle to meet payments, you can speak to our finance teams who will be happy to talk through support options during what will undoubtedly be a difficult and stressful time.”

Data obtained by Accident Claims Advice, another support service for people concerned about debt, released around the same time as that of the Money Advice Trust, reveals Sheffield City Council missed out on more than £23.5million in unpaid council tax during the same time period (the 2022/23 financial year).

This figure rose to just under £25million in the 2023/24 financial year - roughly nine per cent of the total council tax income - despite the council writing off more than 5,000 accounts, striking off some debts.

It is the fourth successive year Sheffield City Council has missed out on over £23million worth of council tax income. Councillors approved another maximum 4.99 per cent rise in council tax in March 2024, as authorities continue to try and cover rising costs to services.

At the time, council leader Tom Hunt blamed the Conservative government had “drastically cut” the spending power of local authorities, calling it a “decade of systematic under-investment”.

Mr Vaid concluded: “I would urge anyone in Sheffield struggling with their finances to get in touch with National Debtline as soon as possible. Our expert advisers provide free, impartial support and can help residents make a plan whatever their circumstances.”