Council writes off £150,000 debts

Darlington and Stockton Times: CABINET MEETING: Darlington Town Hall CABINET MEETING: Darlington Town Hall

CABINET members at Darlington Borough Council have agreed to write-off debts of almost £150,000 owed to the authority.

Councillors approved the write-off at a cabinet meeting this week on the recommendation of a report prepared by efficiency and resources portfolio holder Cllr Stephen Harker.

The report stated that money was owed to several council departments, including housing, schools and neighbourhood services and resources.

Of the 99 debts written off, 93 were more than a year old so the loss had been budgeted for by the council when preparing its medium term financial plan.

The majority of the debts - 81 with a combined value of £123,969 - were written off after the council had exhausted all the recovery procedures available.

Other reasons included bankruptcy, death with no estate left behind and the debtor absconding.

The £149.939 write-off represents 0.7per cent of debts raised and Cllr Harker said: “Although the amounts are considerable, I would not dispute that, the percentages being written off are very, very small in each case.”

Council leader Bill Dixon added: “If the banks had managed to stay within these parameters we would not be in the situation we are in now.”

Comments (5)

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8:27pm Wed 2 Jul 14

Bank of Europe says...

Council leader Bill Dixon added: “If the banks had managed to stay within these parameters we would not be in the situation we are in now.”..... why is it all the banks fault Bill Blame everyone else but not you people eh !!! I wonder if Our Bill would be so nonchalant IF the money was his own ?? I think not
Council leader Bill Dixon added: “If the banks had managed to stay within these parameters we would not be in the situation we are in now.”..... why is it all the banks fault Bill Blame everyone else but not you people eh !!! I wonder if Our Bill would be so nonchalant IF the money was his own ?? I think not Bank of Europe
  • Score: 8

10:00pm Wed 2 Jul 14

Darloresident says...

Bill Dixon - waste of space... He just doesn't get it does he??? What have the banks got to do with the councils unrecovered debt???
He should be telling us how he intends to get the 0.7% down for the next financial year..As usual he demonstrates breathtaking complacency when it comes to managing other peoples money..
150 grand unrecovered and he couldn't care less
Bill Dixon - waste of space... He just doesn't get it does he??? What have the banks got to do with the councils unrecovered debt??? He should be telling us how he intends to get the 0.7% down for the next financial year..As usual he demonstrates breathtaking complacency when it comes to managing other peoples money.. 150 grand unrecovered and he couldn't care less Darloresident
  • Score: 3

11:00pm Wed 2 Jul 14

DarloXman says...

For Mr Dixon to compare DBC to the 'banks' is ridiculous. It is the banks business to lend money - that is how they make money!

DBCs debt is that of unpaid charges (rent, council tax, rates, fines etc). There are bound to be those who are ultimately are unable to pay this charge to the council and write-off's from the accounts are a usual periodic occurance. If the write off's are small it has nothing to do with any good management by the council - just a matter of circumstances.
For Mr Dixon to compare DBC to the 'banks' is ridiculous. It is the banks business to lend money - that is how they make money! DBCs debt is that of unpaid charges (rent, council tax, rates, fines etc). There are bound to be those who are ultimately are unable to pay this charge to the council and write-off's from the accounts are a usual periodic occurance. If the write off's are small it has nothing to do with any good management by the council - just a matter of circumstances. DarloXman
  • Score: 2

3:21am Thu 3 Jul 14

SirLance says...

Every business has write off's! This is not huge, just a part days takings at one of the larger town car parks? There's more money wasted bringing this up during the minutes at every council session! A complete council meeting sitting again and again discussing something they all know in reality cannot be attained! Good move now get on with the serious matters concerning town center investment and development, oh and by the way----some town center public toilets please! When I was last in town with my kids we had to go into a pub and 'politely' buy a drink so we could use the toilets! Senseless!
Every business has write off's! This is not huge, just a part days takings at one of the larger town car parks? There's more money wasted bringing this up during the minutes at every council session! A complete council meeting sitting again and again discussing something they all know in reality cannot be attained! Good move now get on with the serious matters concerning town center investment and development, oh and by the way----some town center public toilets please! When I was last in town with my kids we had to go into a pub and 'politely' buy a drink so we could use the toilets! Senseless! SirLance
  • Score: 5

7:59am Thu 3 Jul 14

laboursfoe says...

£150,000....
I'm guessing that could build a couple of much needed council houses in the borough.

Bill Has obviously lost the bubble or feels quite a degree of embarrassment to come up with such a ridiculous statement.

Keep interviewing him please Northern Echo, the man is a liability and sooner or later the Unions will wade in and remove him!!
£150,000.... I'm guessing that could build a couple of much needed council houses in the borough. Bill Has obviously lost the bubble or feels quite a degree of embarrassment to come up with such a ridiculous statement. Keep interviewing him please Northern Echo, the man is a liability and sooner or later the Unions will wade in and remove him!! laboursfoe
  • Score: 3
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