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PRIVACY
Economic Development

Birmingham's council tax debt tops that of Wales

Arrears have risen by 15 per cent over the past year with the council owed more than £105 million

Birmingham City Council

Council tax arrears in Birmingham have soared by 15 per cent in the last year with the local authority owed more than £105 million.

Residents in the city now owe more council tax than the whole of Wales where the total arrears are £82 million.

Although, as Britain's , Birmingham's total arrears are bound to be higher than any other council, the amount per dwelling - which stands at £245 - is also the 10th highest in the º£½ÇÊÓÆµ.

New figures from the Office for National Statistics have also shown that Metropolitan Borough Council is better at collecting outstanding debt than many of its neighbours, taking 55 per cent of money owed from the 2012/13 financial year.

Solihull managed to collect 7.4 per cent, Birmingham 8.6 per cent and Sandwell 8.8 per cent of the outstanding arrears.

Birmingham raises £312 million a year from council tax, about 10 per cent of its annual budget.

According to the council, there are three reasons for the non-collection:

* Citizens moving and absconding where, despite sophisticated financial tracing methods, they cannot be reached.