MPs urge ministers to get tough on bailiffs with new watchdog
3 min read
A cross-party group of MPs have urged ministers to introduce a new watchdog to crack down on debt enforcement firms.
The latest report from the justice committee has called on the Government to implement tougher regulations on debt enforcement firms after a surge in reported complaints about the industry.
According to charity Citizens Advice, 2.2 million people have been contacted by bailiffs in the previous two years, with 39% - 850,000 people – claiming they had witnessed bailiffs breaking the rules.
But the committee warned there was a “massive discrepancy” between the numbers of complaints logged with debt advice agencies and those recorded by bailiff companies and industry associations.
They added: “This is especially problematic given that debtors are more likely to be vulnerable and dealing with multiple difficulties in their lives, such as ill health or unemployment.”
The report said the gap proved the complaints system was “fragmented and hard to navigate” as they called for a new independent process to handle cases.
Committee chair Bob Neill said: “We held our inquiry to investigate the complaints about bailiffs recorded by debt advice charities and our report sits alongside the call for evidence conducted by the Ministry of Justice.
He added: “While there are strong differences of opinion of the effectiveness of 2014 reforms to the enforcement industry, there is consensus that there is room for improvement in the way that complaints are handled.
"The system is confusing, particularly for the most vulnerable people in society. Complaints are important and must be investigated properly.”
MPs also called for the Government to introduce a new regulatory body to oversee certification for new enforcement agents, after they found the current system treated the licensing procedure as a “rubber-stamping exercise.”
“We are surprised that bailiffs are apparently so under-regulated compared with other sectors, especially given that they deal with some of the most vulnerable people in society," they added.
"It does not make sense for enforcement to be regulated only through the rubber-stamping of individuals through a court certification process.”
The report also recommended debt enforcement officers be made to wear body-worn cameras for all visits to homes or businesses in a bid to improve safety and transparency of debt collection practices.
Mr Neill added: “We’re calling on the Government to consult on whether new powers should sit with an existing body or a new one, and how it should be funded.
“Debt enforcement can have a real impact on people’s lives so it is vital to ensure that the processes in place are fair and proportionate to all parties concerned.”
Labour's Shadow Justice Secretary Richard Burgon said: "People in vulnerable situations clearly need better protection from aggressive bailiffs whose unscrupulous behaviour far too often causes significant stress and anxiety.
"The Tories should act on this report and commit to an independent regulator to crackdown on rogue bailiffs who are often pushing the law to its limits - or even going beyond it."
A Ministry of Justice spokesperson said: “There is absolutely no excuse for the aggressive tactics deployed by some bailiffs and our recent call for evidence considered how they operate and whether there is a need for an independent regulator.
“We will carefully consider this report and respond to it, along with the call for evidence, in due course.”
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