Issue - meetings

The Portfolio Holder for Corporate Finance and Resources to submit a report seeking approval to write off debts over the value of £2,500, where there is little or no prospect of recovering them.

Cabinet

(1)  NOTED the action taken by the Council to recover outstanding debts;

(2)  APPROVED the write off of the debts shown in Appendices 1 and 2.

Andrew Cotton, Director for Housing and Communities introduced the report, the purpose of which was to seek approval to write off debts over the value of £2,500, where there was little or no prospect of recovering them.

Mr. Cotton advised highlighted the Council’s intention to maximise income through proportionate debt recovery action and acknowledged that the write-off of irrecoverable debt was part of good income management and financial practice.  The debts were specified within Exempt Appendix A and these totals were detailed at paragraph 3.3 of the report.  The principles of the Corporate Debt Policy had been followed and recovery actions had been exhausted.

Councillor Ronnie de Burle, Portfolio Holder for Corporate Finance and Resources highlighted the necessity to write-off irrecoverable debts as part of good financial practice.

During discussion, the following points were noted:

·         Members noted that debts were only assets if they were recoverable and agreed that it was good business practice to write-off irrecoverable debts.

Cabinet

(1)  NOTED the action taken by the Council to recover outstanding debts;

(2)  APPROVED the write off of the debts shown in Appendices 1 and 2.

Reasons for the decision

All recovery methods have been considered and where appropriate pursued, before recommending that debts are written off.

Officer time can be maximised on greater returns, focusing on debts where there is more realistic chance of recovery.