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Borough launches ‘ethical debt collection’

London Borough of Hammersmith & Fulham has announced plans to end the use of bailiffs for council tax debt. The council and its private partner 1st Credit will launch a new “ethical debt collection” initiative which is also aimed at helping residents avoid debt in the first place. “Heavy handed debt collection in the public sector is counter-productive. court action, bailiffs and lawyers all cost money, and can create high levels of stress and anxiety in families that find themselves in debt,” according to Max Schmid, the council’s cabinet member for finance.

The local government financial crisis has not been caused by a lack of funding: that’s just a symptom of the inherent conflict of having independent local authorities within a highly centralised state, argues Conrad Hall.

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