Wiltshire Council intends to make “every effort” over the next few years to reduce a £25 million ‘black hole’ of uncollected council tax.

The latest data from a Freedom of Information Act request shows that Wiltshire Council has been unable to collect more than £25 million worth of council tax from its residents.

Accident Claims Advice has learned that the council estimates its council tax deficit to be £25,127,000, which has grown by 40 per cent in the past five years.

 This figure represents the rolling total of tax that has not been collected and excludes 2024/25 council tax bills.

Cllr Nick Botterill, Wiltshire Council’s Cabinet Member for Finance, said: “Since the formation of Wiltshire Council in 2009, we have historically collected around 98 per cent of all council tax due each financial year. This is a percentage collection rate which is much higher than most comparable-sized authorities. 

 “In 2024/25 we aim to collect £458 million council tax alongside the outstanding £25 million owed from previous years.

“We will make every effort to reduce arrears through the proactive management of council tax debts, many of which are subject to payment plans that may take many years to pay off, however we do tend to get the money in the end. 

 “Although this is the council’s main source of income to fund the many essential services provided, it does not retain all of the money collected. 

“We collect money on behalf of the Fire Service, the Police and parish and town council but we are responsible for holding and managing the debt on behalf of precepting authorities.”

An Accident Claims Advice spokesperson said: “According to the data, 30,349 accounts have gone into the 2024/25 tax year while saddled with an outstanding payment for council tax owed before April 2024.

“The council’s tax deficit has continued to grow over the past three years. At the end of 2021/22, it sat at £19,071,000, before rising to £22,685,000 after the conclusion of 2022/23 collections.

“The council tax shortfall stood at £18,039,000 in 2019/20. This means that the deficit has grown by almost 40 per cent in the past five years.”

Wiltshire Council opted to raise taxes by the maximum of 4.99 per cent for 2024/25, including a two per cent social care precept.

It means that a Salisbury household could pay up to £5,051.88, with the annual bill in Chippenham rising as high as £4,943.38 for some residents.