Paying your Council Tax
What happens if I don't pay?
You usually pay your Council Tax bill in 10 monthly instalments or 12 monthly instalments if you pay by direct debit. If you're having difficulty making a payment, contact us immediately and explain the situation - the longer you ignore a debt problem, the worse the situation becomes.
Below we set out the steps we can take to recover your unpaid Council Tax. If you want more detail about this process you can read our 'Debt Recovery Policy' .
The recovery process
If you fall behind with your payments or you are paying later than the dates shown on your bill we will send you a reminder, giving you 7 days to bring your account up to date. If you bring your account up to date and fall behind again we will send you a second reminder.
If you are unable to bring your account up to date or you are unable to come to a payment arrangement or if you make an arrangement to pay but don't, you will lose the right to pay in instalments and the full years Council Tax becomes due.
The next stage is to issue you with a summons. We will ask the Magistrates' Court for a Liability Order (a demand for you to pay the full amount you owe, plus £74 costs).
You have the right to attend the court and offer evidence as to why you are not liable for the debt. Even if you decide not to attend court, you should speak to us or, if you prefer, your Local Citizens Advice Bureau. We will try to come to a reasonable arrangement with you for payment but we cannot do that unless you contact us.
If you choose to go to the court hearing, the Magistrates will ask if you have a valid defence which will stop a liability order being granted. The valid defences are:
- the amount has not been demanded in accordance with the regulations for example, the Council failed to follow the correct time periods in serving bills and reminders; or
- the amount has been paid; or
- you are not the person named on the summons.
If you do not have a valid defence a Liability Order will be granted.
If you ignore a Liability Order
Once the court has made a Liability Order against you, the Council can take enforcement action against you in order to recover the debt. This usually means either deductions from wages and benefits or the use of bailiffs (see below).
Bankruptcy and charging orders are other options available to the Council if you ignore a Liability Order. The Council's 'Bankruptcy and Insolvency Policy' describes the legal requirements for taking these types of action and explains how the Council identifies cases where this action would be appropriate.
Deductions from wages
We can order your employer to deduct a regular amount from your wages toward your unpaid Council Tax.
The table below shows the amount to be deducted from weekly earnings.
| Net earnings |
Deduction rate |
|---|---|
| below £75 |
no deduction can be made |
| £75 to £135 | 3% |
| £135 to £185 | 5% |
| £185 to £225 | 7% |
| £225 to £355 | 12% |
| £355 to £505 | 17% |
| above £505 |
17% for the first £505 and 50% for the remainder |
The table below shows the amount to be deducted from monthly earnings.
| Net earnings |
Deduction rate |
|---|---|
| below £300 | no deduction can be made |
| £300 to £550 | 3% |
| £550 to £740 | 5% |
| £740 to £900 | 7% |
| £900 to £1,420 | 12% |
| £1,420 to £2,020 | 17% |
| above £2.020 | 17% for the first £2,020 and 50% for the remainder |
Deduction from benefits
We may be able to apply for deductions if you are receiving Jobseekers' Allowance, Income Support or Pension Credit.
Bailiffs
We can send bailiffs to your home to seize property to sell. The money raised goes towards paying your debt, plus costs. We will send a letter two weeks before the bailiff's first visit stating how much money you owe under the Liability Order.
You can contact the bailiffs and offer to come to an agreement on payments. It's important to do this straight away, because if the bailiffs make a visit their costs will be added to your bill.
The Council employs four bailiff companies, they are.
Dukes Limited
Dukes Court
8 Newcastle Street
Stone
Staffs
ST15 8JT
Phone: 0844 844 1340 Email: contact@dukeslimited.co.uk
Website: http://www.dukeslimited.co.uk/
Equita Limited
5th Floor
West Wing
Quay House
Quay Street
Manchester
M3 3JE
Phone: 0161 834 2460
Website: www.equita.co.uk
Marston Group Ltd (formerly Drakes Group Ltd)
Bridgeman House
Sun Street
Waltham Abbey
Essex
EN9 1EL
Phone: 0870 787 9555 Email: marketing@marstongroup.co.uk
Website: www.marstongroup.co.uk
Rossendale CB Limited
Hardman Mill
New Hall Hey Road
Rawtenstall
Rossendale
Lancs
BB4 6HH
Phone: 0844 701 3980 24hr payment line: 0845 078 1194
Website: www.rossendales.com
The City Council expects any bailiff company acting on its behalf to behave professionally, to follow set procedures (including having an internal complaints procedure), and not to take inappropriate action. You can read more details in our 'Bailiff Code of Practice and Council expectations'.
Court hearing
If we have tried using bailiffs but your Council Tax still isn't paid in full, we may apply to the Magistrate's Court for a warrant committing you to prison. We will only take this step when other efforts have failed.
Before issuing a warrant of commitment the court must hold a means enquiry with you present. A warrant will only be issued if the court is satisfied that the failure to pay is the result of wilful refusal or culpable neglect. The maximum period of imprisonment is three months.
The court may decide to postpone the period of imprisonment on certain conditions, normally relating to payment of the debt over a period of time. The court also has the power to remit all or part of the debt.
Contents of Paying your Council Tax
- Choose the way you pay your council tax
- What your Council Tax pays for
- What happens if I don't pay? (this page)
