UNION leaders and a cross-party group of 40 politicians demanded reforms to council tax collection today as debt continues to soar.

MPs and MSs from Labour, the Greens, Plaid Cymru as well as independents signed an open letter led by community union Acorn, joined by the leaders of PCS, POA and BFAWU unions.

The letter calls on governments in London and Cardiff to prioritise early intervention and support for those struggling with bills, rather than relying on heavy-handed enforcement action and court orders.

Government figures show that £6.6 billion is owed to local authorities in England, up 11 per cent on the previous year, while £264 million is owed in Wales.

Acorn national chairwoman Chelsea Phillips said: “Research shows that one in three people in council tax debt live below the poverty line — and the punitive way council tax arrears are collected means people are pushed further into debt, with added liability fees and charges from bailiffs, and can even be made liable for an entire year’s bill at once.”

“Too many people are coming into contact with bailiffs, and these visits often involve intimidation, threats and shutting down the opportunity of other ways out, such as discussing repayment plans.”

Acorn is urging for an end to the use of bailiffs altogether, and for the government to replace council tax with a proportional property tax.

One Acorn member recounted how bailiffs visited her home demanding that she pay her bill for the whole year after she was late with a payment.

“I asked the options, they said I would have to pay it there and then or they would take my belongings — my TV, my kids’ toys, my car — or I could go to prison,” she said.

Another member was threatened with enforcement action after he missed a 5 per cent bill increase and did not update his direct debit.

“Over a couple of months this added up, and because I had previously been in council tax arrears, this was immediately escalated to the courts, with more fees added on,” he said.

“I was staggered at how quickly this had escalated, from £20-£40 to hundreds, and the threat of bailiffs which only added to my health issues.”

A Welsh government spokesperson said: “Over the summer we consulted on proposals for fairer council tax enforcement practices in Wales, working with local authorities to focus on preventing harmful debt escalation.

“We thank everyone who responded to the consultation, and we’ll set out the way forward in due course”