Trader narrowly avoids jail after racking up rates debts of almost £50k

Teesside Magistrates' Court
-Credit:Evening Gazette


A Middlesbrough businessman has narrowly avoided jail after racking up rates debts of almost £50,000.

And other entrepreneurs are being warned they risk a spell behind bars or a hefty court bill if they fail to pay what they owe. The sole trader's debts of nearly £50,000, landed him before Teesside Magistrates' Court - after attempts by Middlesbrough Council to secure payment went unheeded.

Once before the court, the trader agreed to monthly repayments of hundreds of pounds a month against his debts. In return the bench imposed a three-month prison sentence but suspended this on condition that the agreed payments are maintained.

ADVERTISEMENT

READ MORE: Thug stabbed man with dagger leaving him with perforated bowel in doorstep attack

READ MORE: 'Dangerous’ Teesside paedophile pensioner 'obsessed' with child abuse images locked up

Middlesbrough Council says prosecution and court action is a last resort when debtors either refuse to pay or engage with the authority about either unpaid council tax or business rates.

And, those found guilty can face prison sentences of up to 90 days for each individual liability order obtained by the council, with court costs added to the outstanding sum to be paid. More than £36m in business rates has been billed to 4,600 Middlesbrough businesses in the current financial year, with the vast majority of businesses paying on time and in full.

A Middlesbrough Council spokesperson said: "This case is a timely reminder to those responsible for paying business rates that they risk imprisonment for failing to pay.

ADVERTISEMENT

"Middlesbrough Council has a statutory duty to collect all Council Tax and business rates billed and will take whatever action is appropriate to ensure unpaid amounts are collected and so help to protect council services."

For breaking news in your area direct to your inbox every day, go here to sign up to our free newsletter