Issue - meetings

Business Rate Debt - Write Off

Meeting: 13/05/2014 - Cabinet (Item 225)

225 Business Rate Debt - Write Off pdf icon PDF 37 KB


As detailed in the recommendation.


The Cabinet Member for Corporate Management introduced the report which sought authorisation to write off multiple business rate debts for two Charitable organisations that had gone into liquidation:

·        Public Safety Charitable Trust – debt equating to £336,923.11

·        Life Foundation Trust – debt equating to £60,732.50


Financial Procedure Rules (section 9.5c) required that debts in excess of £25,000 being considered for write off be referred to Cabinet for consideration and approval.


There was no direct loss of income to the Council as the Business rates, which local authorities collected, were all distributed via the Business Rates Collection Pool which was supported by HM Treasury under the current funding arrangements.  As the Pool was supported by the UK Government, Business Rates avoidance did mean though that there was a wider loss to the UK taxpayer. 


The Head of Finance added that the rate avoidance scheme had been brought to a close following the early intervention of a small number of local authorities, including the early actions taken by Flintshire County Council. 


Flintshire County Council would continue to take a robust approach through the courts to tackle aggressive rate avoidance schemes where it was in the public interest to do so.


The Deputy Leader and Cabinet Member for Environment thanked the officers involved for their early intervention on this issue which was echoed by a number of other Cabinet Members.




That the write off of debts relating to £336,923.11 for PSCT and £60,732.50 for LFT be approved.