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Thursday, 29 July 2021
Friday, 6 March 2020
Wrong side of the Tax – Why Council tax debt collection needs to change
Council
tax is important. It’s the largest property tax in England, and the revenue it
raises accounts for 32% of local government funding. But for households, it is
also a growing source of debt.
As
of March 2019, the overall level of council tax arrears stood at £3.2 billion -
7% more than the year before. Last year Citizens Advice helped 83,000 people in
England with council tax arrears. It is the most common debt they see,
impacting more than 1 in 4 of all those they help with a debt problem.
Not
so long ago the main reason why people fell into debt was because of credit
cards, payday loans or expensive bank overdrafts. But that has changed. Yes,
people still get into financial difficulty repaying those loans, but tougher
regulation in recent years has limited charges and given borrowers far more
protection.
It
is far more likely these days to see people struggling to pay their everyday
household bills, and in particular their council tax. Helping people with
council tax debt is now, by a long way, the most common debt issue that
Citizens Advice deals with. In fact, someone sought help from them with a
council tax issue every 90 seconds in 2019.
And
recent research published by the charity has laid out in stark terms what this
means for people. On average, someone they help with council tax debt has just
£7 left over at the end of the month after paying their living costs.
Shockingly, 42% of these people have no money left at all and these people are
more likely to be women, or under thirty, or have mental health problems.
Despite
this hardship, government regulations push councils into taking harsh routes to
recover debts. People who miss just one payment become liable for the whole
annual bill in one go, and that could mean having to pay thousands of pounds.
They’re often forced to pay extra court fees and to face bailiffs threatening to
take their goods. The result is often huge stress and anxiety for people. It
should also be remembered that non-payment of council tax is a criminal offence
and there is evidence that both councils and bailiffs are quick to threaten
imprisonment.
This
heavy-handed approach is meant to encourage people to pay, but it doesn’t allow
for the many hundreds of thousands who just do not have the funds. Intimidated
by a stream of threatening letters, emails and text messages from bailiffs,
it’s little wonder that people are flocking to charities like Citizens Advice
for support with debts.
The
Government has the power to change this. Councils want to be able to collect
council tax fairly, without locking people in debt, and to give greater support
to vulnerable people struggling to pay arrears, but the government regulations
make it far harder to do so.
The
government needs to listen and act now by giving councils the tools they need. It
also needs to give the green light to an independent regulator of bailiffs
and bailiff firms, as well as a user-friendly complaints mechanism. This is now
the only way to stamp out the threats, intimidation and other bad behaviours
that are all too common in the bailiff industry and which only add to the
misery of people struggling to pay their council tax arrears.
Monday, 1 July 2019
Friday, 21 June 2019
Thursday, 21 February 2019
Hunting Act 2004
This week, I demonstrated my support for strengthening the 2004 Hunting Act.
Fourteen years after the introduction of the Hunting Act, a key accomplishment of the last Labour government, the Labour Party is campaigning for the eradication of loopholes, such as ‘trail hunting’.
Trail hunting has arisen since the ban on hunting was introduced, and is an entirely different practice to drag hunting, which is a traditional and legitimate pursuit that does not use animal scent or involve the killing or chasing of wild animals.
To address some of the loopholes currently open to exploitation, Labour announced last year that in government they would consult on bringing forward the following amendments to the Hunting Act 2004:
1. Review sentencing to ensure effective deterrence includes the use of custodial sentences in line with other wildlife crimes.
2. Strengthening the criteria on which research licenses are issued.
3. The removal of the exemption “Use of dogs below ground to protect birds for shooting”, as it risks fights between dogs and wild mammals.
4. The introduction of a ‘recklessness clause’ to prevent trail hunting from being used as a cover for the illegal hunting of live wild animals.
A recent poll by Survation found that only 16% of those living in rural areas believe hunting with dogs is a reflection of countryside values, while 67% do not. It also showed that a mere 4% of people living in the countryside ever take part in hunting with hounds. In contrast, 91% said they thought observing nature was a greater reflection of countryside values.
I know from my postbag that Animal welfare is something my constituents feel very strongly. On the 14th anniversary of the introduction of Labour’s Hunting Act, we must look again to ensure that any loopholes currently open to exploitation through newly developed practices are closed. The next Labour Government will be committed not just to maintaining the hunting ban, but to strengthening it.
Thursday, 24 January 2019
Increase funding for VI Form Colleges
I spoke in a debate on VI Form funding this week. You can learn more about the campaign at www.raisetherate.org.uk
Wednesday, 12 December 2018
Makerfield Christmas Veterans' Lunch
I hosted my annual lunch for veterans with the support of Wigan Council and councillors representing wards in the Makerfield constituency.
Tuesday, 4 December 2018
Police cuts
Recently I spent a day with GM Police in Ashton in Makerfield and I raised their concerns about cuts to police numbers since 2010. Ministers will still not acknowledge the impact on frontline policing.
Wednesday, 28 November 2018
Wednesday, 14 November 2018
Prime Minister's Questions
The #RaisetheRate campaign aims to lobby Government to increase the funding rate for sixth form students that has been frozen at £4,000 per student, per year since 2013.
The campaign uses recent research from London Economics to press for a £760 per student increase to sixth form funding that is raised in line with inflation each year.
The associations behind the campaign state that “only a significant increase in the national funding rate for 16 to 18 year olds will make it possible for the government to meet its objectives for a strong post-Brexit economy and a socially mobile, highly educated workforce.”
The £760 increase is described as the “minimum required” to increase student support services to the required level, protect minority subjects such as languages that are at risk of being dropped, and increase extra-curricular activities, work experience opportunities and university visits.
Winstanley College and St John Rigby are two award winning colleges that deliver fantastic results in challenging circumstances as cuts erode their core budgets. The reality is that without proper funding in place, then something has to give and it is our students who ultimately pay the price with courses cut and reduced opportunities for enrichment through pastoral care.
Monday, 5 November 2018
Thursday, 18 October 2018
Wednesday, 11 July 2018
Monday, 2 July 2018
Friday, 22 June 2018
Monday, 11 June 2018
Friday, 1 June 2018
Thursday, 31 May 2018
Tuesday, 22 May 2018
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