Revealed: These eight London Councils ranked in the top 10 for most unpaid council tax
Over 4.4 million council tax bills have gone unpaid, piling up a staggering £4.4 billion in debt – and forcing over one million people into the hands of bailiffs.
A survey by SellHouseFast.uk of local councils in England and Wales revealed that 1.8 million cases were referred to court for liability order issuance in 2022/23, rising to 2.1 million in 2023/24 – a 14% increase. Many of these cases are decided in bulk hearings, which critics describe as ‘secret courts,’ leaving debtors unaware of the proceedings against them.
The list of councils with the biggest council tax arrears is largely dominated by London Boroughs, highlighting that London has the highest total arrears across the country. Eight of the top ten councils are in the capital, with Liverpool and Birmingham City Council being the only exceptions. Nationally, the average debt across council tax arrears is £997 million.
Looking regionally, London and the South East top the charts for total council tax debt, with £905 million and £786 million owed respectively – a reflection of higher property values in these regions.
Councils are increasingly turning to bailiffs, with referrals rising sharply by 21% – reaching nearly 1.3 million cases in 2023/24.
Councils in the East Midlands have seen the sharpest spikes in referring residents with council tax arrears to bailiffs for collection, with an increase of 68% compared to the previous year. In comparison, London is further down the rankings, seeing a 13% increase in bailiff referrals in 2023/24 compared to 2022/23.