Issue - meetings

The Portfolio Holder for Corporate Finance and Resources to provide a report to advise that:

a)    The purpose of this Report is to seek Cabinet’s approval to consult stakeholders on the draft Corporate Debt and Income Maximisation Policy.

b)    The report outlines the current debt management situation and ways the Council can seek to maximise income whilst ensuring residents’ vulnerabilities and ability to pay are accounted for in any action. It also sets out the additional resources required to support an increased focus in this area.

1)    Cabinet considered the contents of the draft Corporate Debt and Income Maximisation Policy and APPROVED the commencement of consultation.

2)    Cabinet APPROVED the continuation of a Sundry Debt Officer to 1 April 2020 and the budget be redirected in that year to support the post.

Councillor Ronnie de Burle, Portfolio Holder for Corporate Finance and Resources introduced the report with the purpose to seek approval to consult stakeholders on a draft Corporate and Income Maximisation Policy.

During discussion, the following points were noted;

Collection rates of both Council Tax and Business rates are currently high, with 98.2% of Council Tax and 98.6% of business rates collected in 2018/19. Sundry debt collection rates are currently at 86.5%, however the council is experiencing high levels of historic sundry debt.

Where possible, payments should be requested before the service is provided. This will require services to manage debtors effectively, ensuring services are withheld until payment has been made, or to withdraw services for non payment where up front payment is not possible.

DECISION (NON-KEY)

1)    Cabinet considered the contents of the draft Corporate Debt and Income Maximisation Policy and APPROVED the commencement of consultation.

2)    Cabinet APPROVED the continuation of a Sundry Debt Officer to 1 April 2020 and the budget be redirected in that year to support the post.

Reasons:-

The Policy will assist officers in ensuring income is maximised and that residents and businesses are sufficiently safeguarded with regard to collection action. Consultation will allow the Council to make an informed decision on whether to approve the draft Policy in its current form or if changes are required. The establishment of a Sundry Debt Officer post will help to safeguard and improve both the Council’s financial position regarding sundry debt, and the ability to identify and act upon vulnerability.

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Cabinet resolved that the public and press be excluded from the meeting in accordance with paragraph 3 of Part 1 of Schedule 12A to the local Government Act 1972. (Information relating to the financial or business affairs of any particular person, including the authority holding that information).

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