By Richard Johnstone | 25 April 2013
Local authorities in England have failed to collect almost £2.4bn in council tax since the system began, according to the Department for Communities and Local Government.
The analysis, published today by local government minister Brandon Lewis, also shows that £605m was uncollected in the 2011/12 financial year.
Lewis said that the total figure adds up to £100 for every household in England.
Liverpool has the most unpaid tax, with just under £114m owed to the town hall. This is more than double the amount of the authorities with the next highest amount – Croydon, with more than £43m, and Lambeth, with more than £41m.
The smallest arrears are at the City of London, where only £137,000 is owed. This is followed by South Cambridgeshire Council, at £664,000, and Amber Valley, in Derbyshire, with £695,000.
Publishing the figures to Parliament, Lewis said: ‘Every penny of council tax that is not collected means a higher council tax for the law-abiding citizen who does pay on time.'
He added: ‘It is important that councils are sympathetic to those in genuine hardship, are proportionate in enforcement and do not overuse bailiffs. However, these figures show that there is a significant source of income for councils, which councils could use to support frontline services or cut council tax bills.’
Ahead of next month’s local elections, the Conservative Party has broken the figures down by current political control of authorities.
According to Local Government Secretary Eric Pickles, the average council tax arrears per household in Labour authorities is £143, compared to £76 for Liberal Democrat-run councils and £61 for Conservative ones.
Pickles accused Labour authorities of ‘turning a blind eye to tax evasion’.
