Overview

• Council tax arrears across Britain have reached a record £8.3 billion, marking an 11 percent rise in a year as most councils applied the maximum 5 percent increase
• Ministers have opened a 12-week consultation to shift council tax payments to 12 monthly instalments by default
• Proposals under review include capping enforcement fees, extending the grace period before full-year liability and limiting bailiff use
• Debt charities and campaigners warn that most people in arrears are low-income households facing poverty and that aggressive collection practices heighten financial and mental health strains
• England accounts for £6.6 billion of the total arrears, with Scottish households owing £1.5 billion and Welsh households £160 million