Council writes off almost £600k in unpaid debt

A council has written off nearly £600,000 in historical debt, citing it as uncollectable.

A report, presented to North Northamptonshire councillors on 13 March, detailed nine accounts deemed "no longer collectable," with the largest single debt -£233,300.13 - owed by a business that went into liquidation.

The debts, totalling £589,959.61, including unpaid business rates and council tax, were discussed in private documents due to confidentiality concerns.

The council stated in a report that further attempts to recover the funds would not be cost-effective.

The council's executive panel, responsible for approving debt write-offs over £25,000, voted in favour of clearing the outstanding amount.

Claire Edwards, executive director of finance, said: "The authority has a duty to maximise revenue collection. However, circumstances may arise in which amounts due must, for all practical purposes, be deemed uncollectable and therefore written off."

According to the Local Democracy Reporting Service, an alternative option to continue pursuing the debt was considered but ruled ineffective.

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