Historic council tax arrears
Council tax arrears from previous years can be included in a DRO. Once the DRO is granted, the council cannot pursue the arrears during the 12-month moratorium and they are written off at the end.
This applies to arrears at any stage: with the council, at Magistrates Court Liability Order stage, with enforcement agents, or with attachment orders.
Enforcement agents must stand down once the DRO is granted. Fees they have added become part of the debt included in the DRO.
Current-year council tax
Current-year council tax (the ongoing liability from April to March) must continue to be paid. It is not included in the DRO.
This is a common point of confusion. If you are struggling to pay current-year council tax on top of everything else, contact your council to discuss instalment plans or Council Tax Support.
Council Tax Support
Council Tax Support (also known as Council Tax Reduction) can reduce your ongoing bill if you are on a low income or receiving benefits. Each council runs its own scheme with slightly different rules.
Apply through your local council. Many councils have online application forms and back-date support to the date of application.
If you were behind on council tax for many years
Council tax debts do not automatically go away over time. Councils can pursue arrears for many years, and Liability Orders can be enforced long after they were issued.
A DRO can clear multiple years of historic council tax arrears in one go, which is why it is one of the most effective routes for people with entrenched council tax problems.