Council Tax Arrears Figures Revealed in New Report
Updated for 2026
Council tax arrears remain a growing concern across England and Wales, with billions of pounds in unpaid council tax owed to local authorities. According to recent government data, the total council tax arrears in England alone exceeded £6 billion by 2025, affecting millions of households struggling to keep up with rising bills.
In many cases, councils turn to enforcement agents (bailiffs) to recover unpaid council tax, but this step is supposed to be a last resort after all other collection efforts have been exhausted. The Taking Control of Goods Regulations 2014, which overhauled bailiff practices, set out clear rules about what enforcement agents can and cannot do when visiting a debtor’s home. These regulations were further reviewed in subsequent years, with the government acknowledging ongoing concerns about bailiff conduct.
Despite the reforms, reports of aggressive or improper bailiff behaviour continue to surface. Debt charities such as StepChange and Citizens Advice regularly highlight cases where enforcement agents have overstepped their legal boundaries, causing distress to vulnerable households. The issue is particularly acute for families who became liable for full council tax payments after the localisation of council tax support in 2013, which saw many low-income households lose some or all of their previous exemptions.
The current fee structure for enforcement action adds to the financial burden. A compliance stage fee of £75 is charged when a case is passed to an enforcement agent, followed by a £235 fee if they visit your property. If goods are removed and sold, a further charge applies. For households already struggling to meet their council tax obligations, these fees can quickly escalate the total debt.
Council tax bills have continued to rise year on year, with many councils in England and Wales increasing rates by the maximum permitted amount. For 2025/26, the average Band D council tax in England rose to over £2,100, putting further pressure on household budgets already stretched by the cost of living. This has led to a steady increase in the number of people falling into arrears for the first time.
If you are behind on your council tax payments, it is important to act quickly. Local authorities are required to consider your circumstances and may be able to offer a manageable repayment plan. You may also be entitled to council tax reduction, a discount for single occupancy, or an exemption depending on your situation.
The experts at Council Tax Advisors are here to help. We can assist with setting up repayment arrangements, checking whether you qualify for reductions or exemptions, and dealing with enforcement agents on your behalf. Our friendly, professional team has helped thousands of people resolve their council tax problems. Contact us today to find out how we can help you.