Citizens Advice Scotland say council tax debt could soar as hard-pressed households prioritise food and heat amid the cost of living crisis
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Citizens Advice Scotland (CAS) is warning that council tax debt is likely to soar in 2023 amid the cost of living crisis.
The consumer, legal advice, and political rights champion highlighted new data showing there is already a staggering scale of arrears across its network in Scotland.
Between September 2021 and September 2022, 3,717 CAS clients owed a cumulative £12.7 million to local authorities for unpaid council tax bills.
The average debt for a CAS client is £3,420 – almost three times the average council tax bill in 2022/23 of £1,238.
The charity is warning that the cost of living crisis could lead to people prioritising food, housing and energy and falling even further behind on council tax bills.
Previous research from Citizens Advice Scotland found a large increase in complex debt clients – those with multiple debts – who would take longer to pay off what they owed.
One in two clients had no money to pay down their debts after covering essential outgoings.
CAS financial health spokesman Myles Fitt said: “Council tax debt is the biggest debt issue the Citizens Advice network deals with.
“These figures suggest the cost of living crisis could see an explosion in the levels of arrears across the country as people prioritise expenditure for immediate cost of living needs.
“CAS clients owe over £12.7 million in arrears with the average debt being almost three times as much as the average bill.
“That is the scale of the debt some people are facing while the cost of living continues to soar – it is no wonder people find themselves taking longer and longer to pay off their debt.
“One option people could use is check to see if they are entitled to any savings or exemptions through the Council Tax Reduction scheme.
“People feeling worried about their finances can always turn to the Citizens Advice network for help.
“Our advice is free, confidential and impartial and can deliver real results. We never charge people for advice and are for everyone, regardless of whether you are working or not.”
People can check if they are eligible for savings on their council tax bill at www.checkmycounciltax.scot.
