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Showing posts with label policy. Show all posts
Showing posts with label policy. Show all posts

Thurrock Council’s Fair Debt Policy criticised again

Just months after consumer watchdogs criticised debt recovery practices in a number of councils up and down the UK, Thurrock Council’s Fair Debt Policy has been sent back for further scrutiny after it was found to be not up to scratch.

The Essex-based council was forced to defend itself last April after the Thurrock Citizens Advice Bureau voiced concerns over the use of bailiffs to recover council tax from residents with debt problems.

The CAB criticised the council over other “questionable methods” used to recoup tax arrears from some of the area’s most vulnerable residents, such as using threats of court action or bankruptcy to make them pay what they owe.

A report on the issue was produced, which cited the example of a woman with mental health problems who was repeatedly sent text messages and notices from bailiffs over tax arrears, whilst the council threatened court action. The CAB warned on two occasions that the woman was vulnerable and that she was having serious difficulty in managing her finances.

In response to criticism, Thurrock Council’s Fair Debt Policy is to be referred back to the corporate overview and scrutiny committee in order for improvements to be made. Councillor Robert Gledhill, who sits on the committee, said:

“Every resident who is liable to pay money to the council should pay it on time and a vast majority do.

“However, for those who don’t, the council has to collect monies owed without adding unnecessary cost to residents who can’t pay or can just pay a little late.

“Unfortunately the proposed policy didn’t meet those criteria and would have left the council at risk of compensation claims and unnecessary risk of extra costs.”


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PM risks accusations of hypocrisy over debt management policy in Davos speech

Tuesday 1st February 2011

David Cameron used his speech at the World Economics Forum in Davos, Switzerland, to broach the topic of debt management in the UK despite government plans to imminently scrap the Financial Inclusion Fund.

Speaking on Friday, the Prime Minister said the country needs “an economy based not on consumption and debt but on savings and investment”, a statement that some commentators have interpreted as an indication that further measures may be taken by the coalition government to try and address the financial difficulties facing thousands of Britons. Personal debt in the UK has reached nearly £1.5 trillion and insolvency rates have also risen to record levels.However, such hope that David Cameron might attempt to assist Britons with their debt problems is rather undermined by the Legal Action Group’s (LAG) report, released yesterday, which revealed that the Financial Inclusion Fund (FIF) will end in March due to impending cuts to legal aid and local government grants.Around 100,000 people with debt problems are assisted each year by the 500 advisors paid for by the Financial Inclusion Fund, who are based in the Citizen’s Advice Bureaux and other not-for–profit advice centres. The majority of these advisors will now be made redundant.Teresa Perchard – Director of Policy at the Money Trust, a charity which promotes independent help for people with debt problems – said to the BBC: “It just doesn’t stack up: unemployment is rising, the economy is in a difficult situation and there is an increasing demand for debt advice. To lose frontline services in local communities at this time doesn’t seem to make sense.”A spokesman for the Treasury said to the BBC that a new web and phone based service would be introduced and would be able to refer cases to specialists. "We want to make sure that individuals facing financial difficulty can get advice early, rather than wait until their problems become much more difficult to resolve," he added. 
Manchester debt firm is liquidated owing creditors over £2.2m
Wednesday 11th August 2010

Bankrupt football legend probed by police over loan fraud
Monday 2nd August 2010

Mortgage broker ordered to repay £1.5m of client money used to pay off debts
Wednesday 14th July 2010

Barclays lifts lid on banking write-offs
Wednesday 20th February 2008


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