Decision

Write Off of Irrecoverable Debt - Council Tax and Housing Benefit Overpayments.

Decision Maker:

Outcome:

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: February 25, 2025

Purpose:

Content: Salford City Council - Record of Decision   I, Councillor Youd, Deputy City Mayor and Lead Member for Finance, Support Services & Regeneration, in exercise of the powers contained within the Council Constitution, do hereby approve the proposed write-off of irrecoverable debts as outlined below: -   Council Tax £777,489.20. Housing Benefit Overpayments £13,815.68.   The Reasons are: The liabilities mentioned in the report for write-off are irrecoverable.   Options considered and rejected were:   To leave outstanding amounts on the accounts for a further period.   Assessment of Risk: The write-off of irrecoverable debts is an essential part of the administration of Council Tax, Business Rates and Housing Benefit overpayment accounts.  These write-offs are from debts from 2004 to the present and a breakdown of net write-offs by year is at Appendix A to the report.  The value of these write-offs, which are mainly for arrears debts, is approximately equivalent to 0.41% of the Council Tax collectable debit for 2024/2025.   The source of funding is:  The bad debt provision   Legal Advice obtained:Supplied by Ashley Marks, Principal Lawyer: I have looked at the write-off report for the period 01-NOV-2024 to 31-JAN-2025 and can confirm that the specific write-off categories are all clear and cover the most common scenarios i.e., deceased, absconded, insolvent or uneconomical to pursue . These are all cases where the best legal advice would be that the debt be written off as non-recoverable.   Financial Advice obtained: Supplied by David Eden, Finance Manager: There are sufficient provisions available to cover the cost of the proposed write offs.   The following documents have been used to assist the decision process: Lead Member Report. Some of the relevant documents contain exempt or confidential information and are not available for public inspection. Other documents which are in the public domain are the relevant write-off strategies.   Contact Officer:Penny Mitchell – Service Manager – Council Tax Email:penny.mitchell@salford.gov.uk   The decision is not subject to consideration by another Lead Member.   The appropriate scrutiny panel to call-in the decision is the Overview and Scrutiny Board.   Signed: Councillor Jack Youd                                    Date: 25th February 2025 Deputy City Mayor and Lead Member for Finance, Support Services & Regeneration                                                                                                                                                   This decision was published on 26th February 2025.   The decision will come into force at 4.00pm on 5th March 2025, unless it is called-in in accordance with the decision-making process rules.