Havering Council has written off £520,925.70 in uncollectable business rates debt, the cabinet revealed at a meeting on Wednesday, August 13, 2025. This figure represents the total value of business rates debt that the council has been unable to recover during the first quarter of the financial year 2025/26.
The decision was detailed in the First Quarter of Financial Year 2025/26 Revenue and Capital Monitoring Report. The write-off is against a bad debt provision already made in the council's financial accounts, meaning there will be no further impact on the council's financial position.
The report noted that the Strategic Director of Resources approved the write-off, exercising powers delegated under Part 3.3 of the council's constitution. The decision comes after all appropriate attempts to collect the debt proved unsuccessful.
Business rates debt is only submitted for write off where all appropriate attempts have been made to collect the debt and failed. This process includes issuing reminder notices, final notices, and summonses. If these initial steps are unsuccessful, the council engages enforcement agents. These agents send letters and text messages, and make visits to the property in an attempt to recover the debt. According to the council, recovery action is considered exhausted when the enforcement agent is unable to make contact with the debtor and all other appropriate methods of recovery have been considered.
Circumstances giving rise to the request for write off will be one of the following:
- The debtor is Insolvent, Liquidation or in Administration
- Recovery action has been exhausted.
