Recovery Arrangements

Non-Domestic Rates (Business Rates) - when is it due?

Non-Domestic Rates (Business Rates) is a yearly charge which we normally ask you to pay in 10 instalments, beginning in April. We will give you 14 days notice before the instalments are due to begin. When you receive your first Non-Domestic Rates (Business Rates) bill you will see printed on it the monthly instalment date together with the amounts you need to pay in order to clear the bill in the year.

What if I do not pay on time?

If you do not pay an instalment on time the Council will give you a few more days to pay, after which a reminder will be sent.

If you pay the arrears on the reminder within 7 days, your instalment arrangement will continue. If you ignore this reminder a summons will be issued without further notice.

Only one reminder notice will be sent in any one year.

If you get a summons

If you do not 'catch up' and keep up-to-date then you will be sent a court summons. If a summons is issued you will be required to pay additional court costs of at least £60.

If it goes to Court

If you do not pay the balance including the costs as shown on the summons before the court hearing, the matter will be taken to the Magistrates Court and we will apply for a liability order, which enables us to recover the money in a variety of ways. Action in the Magistrates Court does not affect your credit rating so you need not worry that this will affect any further application to obtain finance. If a liability order is granted the Council may still come to a payment arrangement but you must keep to any agreement you make. To make an agreement you should contact the Non-Domestic Rates Section (Business Rates) Section on 01263 516110. If no arrangement is made the option for recovery of the debt is:

Use of bailiffs - bailiffs will themselves endeavour to make payment arrangements with you or remove goods, in certain cases to the value of the debt.

What about bailiffs?

The bailiffs employed by this Council all work to an agreed code of practice which is available on request. If a bailiff calls on you, and you have not paid or are unable to pay in full, including their fees, you may still be able to make an arrangement to clear the debt. The bailiff will ask to enter your premises to make a list of goods, plant, machinery and equipment and could then return later to remove and sell these items should you fail to honour the agreement. At this stage further fees will be incurred for the removal of the goods, auctioneers fees and the cost of storage.

Prison - the last resort

If all the above options fail then a summons may be issued requiring you to attend a committal hearing in the Magistrate's Court. The magistrates will carry out an examination of your conduct and means, and if they consider that the money should have been paid may issue a warrant of committal placing you in prison for up to three months. If however, the person owing the money makes an arrangement with the Council to clear the debt this course of action can be avoided providing the arrangement is kept to.

Other action that the Council can take

If the Magistrates give the Council a liability order to recover the debt this also gives the Council other options for recovery:

Bankruptcy - if your cumulative debt with the Council is more than £750 proceedings may be started to make you bankrupt.

If you have any questions about this information, please contact the Non-Domestic Rates (Business Rates) Section on 01263 516110.