Solihull Council forced to write off more than £3million in unpaid debts

Solihull Council has been forced to write off more than £3.2million in unpaid debts after concluding the money could no longer be recovered.

The authority wrote off a total of £3,203,428 in debt during the financial year ending in March 2026, according to figures discussed at a council meeting.

The money includes unpaid business rates, sundry income, rents and charges, council tax and housing benefit overpayments.

Business rates accounted for the largest share of the total, with £1,138,473 written off. A further £979,737 in sundry income and £749,376 in rents and charges were also written off.

The remaining debt comprised £256,546 in council tax and £79,296 in housing benefit overpayments.

The figures were discussed at a cabinet portfolio holder’s decision session, where Joanne Robinson, the council’s head of income and awards, explained the authority’s approach to recovering outstanding money.

She said: “We do take a proactive approach to the monies owed and we take every available route to us.

“There are instances where we have exhausted all opportunities to collect the money and our only option is to consider a write off - again that is only when we have exhausted all opportunities.”

A council report explained that the debts written off during 2025/26 could relate to money owed from previous financial years, rather than debts raised during that period alone.

It added that the authority issues reminders and final demands for outstanding council tax, business rates, overpaid housing benefit and sundry income before taking court action.

The write-offs come amid wider challenges for local authorities seeking to recover outstanding payments from residents and businesses.

As previously reported by the Local Democracy Reporting Service, further historic debts have already had to be written off during the current financial year.

At an earlier meeting, council officer Louise Lynch said the authority had seen a change in collection patterns over the past five or six years.

She said: “Over the last five or six years collection has changed.

“We have got the challenges with cost of living, pressure there.

“Previously we would look to collect 98 per cent within the year, now we have to be more realistic. People might just need longer to pay.”

Councillor Dave Pinwell, the portfolio holder, said he had compared the figures with previous years and noted that the amounts had fluctuated over a three-year period.

He added: “I think you would regard yourself as on track.”SS