IRRV Alert - week ending 31st July 2009

News

Consultations

Reports

RATES - HELPING THE CAN’T PAY, PURSUING THE WON’T PAY

 

 

 

"Rates" in NI includes domestic (capital value) property tax and non-domestic rating (rental value basis - no UBR).

RATES - HELPING THE CAN’T PAY, PURSUING THE WON’T PAY

Ratepayers who are experiencing difficulty in paying their rate bills are being encouraged to seek advice on what help may be available to them.

The call came from Land & Property Services (LPS), the Government Agency responsible for collecting rates, as it revealed that the worsening economic situation has led to an increase in ratepayers defaulting on their rate payments.

John Wilkinson, Chief Executive of LPS said: “In April we posted out bills to ratepayers across Northern Ireland. The majority of ratepayers have either paid their bill in full already, or entered into payment agreements, for example using direct debit, to pay their rate bill in instalments.

“There is evidence, however, that there are a number of ratepayers are finding it difficult to pay their rate bill during these difficult economic times.

“I would encourage anyone in this situation, whether they are an individual householder or a business, to contact LPS to discuss payment options. We want to work with ratepayers to ensure they are able to fulfil their legal obligation to pay rates. We can discuss payment plans and advise on any benefits they may be entitled to receive.”

The call comes as ratepayer debt at 31 March 2009 stood at £138 million. This figure increased towards the end of the last financial year as the impact of the economic downturn grew.

The Agency encountered a number of challenges in collecting rates during the year. It took record numbers of ratepayers (46,611), who hadn’t paid their rates, to court. It also wrote off nearly £6 million of rates as irrecoverable, a significant increase on recent years and largely due to businesses entering liquidation. All of this additional work further increased the cost of collecting rates, which is passed on to central and local Government.

The situation is continuing this year, with many more final demands for payments of rates having issued this year to date, compared to the same time last year.

Mr Wilkinson continued: “The economic downturn has undoubtedly created financial difficulties for many ratepayers across Northern Ireland. My appeal today is for anyone in this situation to contact LPS as soon as possible.

“We are keen to help ratepayers in any way we can. We have a legal responsibility to pursue the payment of rates, meaning that those who refuse to pay their rates will be subject to legal proceedings to ensure their liability is discharged.

“Ratepayers can avoid this process by engaging early with us and exploring what options are available to them.”

Anyone having difficulty paying their rate bill should contact LPS immediately on 0845 300 6360. Further information on payment options, or the range of rate reliefs that are available, can be found at www.lpsni.gov.uk or www.nidirect.gov.uk

Notes to Editors:

1. The figure of £138 million for uncollected rates is a cumulative figure and comprises all rates due during the 2008/09 financial year that were not paid plus unpaid rates from all previous years.
2. The total amount collected in rates in the 2008/09 year was £940 million.



IRRV Software

Copyright © 2025 · All Rights Reserved · Institute of Revenues Rating and Valuation
Warning: Undefined array key "User_id" in /home/irrvnet/public_html/forumalert/inc_footer.php on line 4