Council tax debt cases reached at least 1.5 million across Britain last year, according to new research released by the GMB.
The union analyzed Freedom of Information responses from 200 local authorities. The findings showed that councils summoned around 1.4 million people to court during the 2024/25 financial year. However, researchers believe the true figure is higher because some councils did not provide data.
The figures have intensified concerns about the growing pressure on households struggling with rising living costs. Furthermore, they have renewed calls for reforms to the current council tax system.
Council tax debt remains a significant challenge for many families across Britain. As inflation and household bills continue to strain budgets, more people have fallen behind on payments. Consequently, councils have increased efforts to recover unpaid taxes.
The GMB presented the findings during its annual congress in Blackpool. There, union leaders argued that the current system places excessive pressure on both residents and local authorities.
Rachel Harrison, national secretary of the GMB, described the figures as alarming. She argued that the council tax structure no longer reflects modern economic realities. In addition, she criticized the use of court action against large numbers of residents.
According to Harrison, councils often rely heavily on council tax revenue because central government funding has declined over many years. Therefore, local authorities frequently pursue unpaid bills through legal channels to balance their budgets.
Council tax debt has also highlighted broader concerns about local government finances. Many councils continue to face budget pressures while trying to maintain essential public services. As a result, authorities often struggle to meet rising demand for services.
The union also pointed to the impact of austerity measures on local government funding. Harrison said years of financial restraint left lasting damage across public services. Moreover, she warned that many communities still feel those effects today.
GMB leaders called for increased funding from central government. They also urged ministers to reform council tax bands so wealthier households contribute a larger share. Additionally, they proposed changes to business rates to help councils support local high streets and economic growth.
Council tax debt cases continue to affect millions of households every year. Consequently, campaigners argue that reform is necessary to create a fairer and more sustainable system.
As pressure grows on local government finances, the debate over council tax reform is likely to remain a major political issue. Ultimately, unions and local authorities hope policymakers will address the long-term challenges facing the current system.
For more updates on this news, follow London Pulse News.
