**Brent Council's council tax collection rate is lagging behind the London average, despite recent improvements, according to a performance report.
Figures presented to the Resources and Public Realm Scrutiny Committee on Tuesday 20 October 2026 revealed that by the end of September, Brent had collected £132.8 million, representing 52.2% of the £254.5 million council tax due for the year. While this is an improvement on previous years, it falls short of the £134.3 million target for the same period.
The council's collection rate of 52.2% places it 32nd out of 33 London boroughs, significantly below the London average of 94.33% and the comparator average of 94.43% for the 2025/26 financial year. The full-year target for council tax collection in Brent for 2026/27 is 93.5%, an increase of 1.9 percentage points on the 91.6% achieved in 2025/26. In 2025/26, Brent's collection rate was 2.7 percentage points below the London average and 2.8 percentage points below the comparator average.
Despite these challenges, the council has collected £8.1 million more council tax than at the same point in the previous year and £21.9 million more than two years ago. This improvement has been achieved even as the total amount to be collected has risen by £37 million over the same period.
Brent Council attributes its historically lower collection rates to factors such as a large and mobile population, high levels of deprivation, significant demand for Council Tax Support, and ongoing cost-of-living pressures affecting residents' ability to pay. Language barriers and varying levels of familiarity with the UK council tax system also contribute to the challenge.
Residents in Brent continue to face significant financial pressures. The cost-of-living crisis, triggered by the 2021 energy price shock, has not fully eased, and the latest rise in energy costs is adding further strain on household budgets. This is reflected in an increase in Council Tax Support (CTS) awards, which totalled £28.0 million as of 30 September 2026, an increase of £2.1 million from March 2026. As of the same date, 23,449 households received CTS, comprising 8,982 pension-age and 14,467 working-age households.
The Council Tax Hardship Fund for 2026/27 has an allocation of £1.5 million, with £0.4 million funded by the Greater London Authority (GLA). Eligibility for the fund is based on demonstrating financial hardship or personal circumstances that justify a reduction in Council Tax liability. As of 31 August 2026, 1,094 out of 1,445 applications (78%) have been approved, with £765,746 awarded from the fund, which is forecast to be fully allocated in 2026/27. This represents a significant increase from the £40,297 awarded at the same point the previous year, attributed to a simpler application process, stronger promotion, and continued cost of living pressures.
The council emphasizes a balanced approach, offering early support and affordable repayment plans for residents experiencing hardship, while pursuing proportionate recovery from those who can pay but do not engage. Brent Council has implemented a Council Tax and debt recovery improvement programme that includes:
- Earlier contact with residents: Proactive outreach to understand circumstances and offer support.
- Improved customer and contact data: Strengthening contact details and customer segmentation to tailor support or recovery routes.
- Stronger recovery processes: Progressive escalation of recovery actions, including summonses, liability orders, deductions from earnings or benefits, enforcement agents, charging orders, means inquiries, insolvency, and other lawful remedies.
- Flexible repayment options: Offering Payment Plans for those willing to repay but unable to clear debt within standard timescales.
- Better access to support for those in financial hardship: This includes Council Tax Support (CTS), the Council Tax Hardship Fund, discounts, exemptions, and income maximisation support.
- Digital engagement: Targeted text messages and emails are used to encourage earlier payment or contact before recovery escalates.
- Proactive Collections Team: A dedicated team focuses on earlier intervention, contacting residents before debt ages, and addressing older debt on the same account.
- Direct Debit promotion: Increased take-up of Direct Debit accounts to support regular payment.
- Targeted support: New schemes include Council Tax reductions for households affected by terminal illness and automatic relief for care leavers aged 18-24.
The projected outcomes of these strategies include an improved in-year collection rate, a reduction in historic arrears, and a more accurate debt portfolio. The Proactive Collections Team is meeting its financial impact target, and Direct Debit take-up has increased to 73%, exceeding the London average of 67%. The number of cases progressing to summons has fallen by approximately 50% due to earlier digital engagement.
The trend in Council Tax arrears shows improvement in recovery, with historic arrears falling from £84.3 million at 1 April 2025 to £71.2 million at 31 March 2026. The Council collected £8.75 million of these arrears in 2025/26, which was £2.45 million (39%) more than in the previous year. However, despite improved recovery, £21.7 million of 2025/26 Council Tax remained unpaid at year-end**, bringing the total historic debt to £92.9 million at 1 April 2026.
The council is also working to improve data quality, with a reduction in unconfirmed customer profiles and an increase in confirmed owner and tenant profiles, allowing for more tailored support and recovery routes. Further details on council performance can be found in the Public reports pack for the Resources and Public Realm Scrutiny Committee meeting: Public reports pack Tuesday 20-Oct-2026 18.00 Resources and Public Realm Scrutiny Committee.
