Update on our Putting bailiffs on the spot campaign

2:53pm Friday 14th September 2007

The Tribunals, Courts and Enforcement (TCE) 2007 Bill received Royal Assent on 19 July 2007 and now becomes the Tribunals, Courts and Enforcement Act 2007. This legislation contained a whole raft of measures relating to the enforcement of debt and remedies providing relief from indebtedness. While Citizens Advice welcomed the parts on debt relief (debt relief orders, enforcement restriction orders, reform of administration orders and debt management schemes) we had serious concerns over some of the proposals relating to debt enforcement. In particular, we were concerned about parts of the reforms to bailiff law and also to proposals that would make it easier for creditors to obtain a charging order to secure their debt against the borrower's property. These concerns were such that we decided to lobby on the bailiffs law reforms in particular throughout the passage of the Bill.

Shortly after the publication of the Bill the Ministry of Justice (then the Department for Constitutional Affairs) published a policy statement including a commitment that domestic pets will be classed as exempt goods. So, we hope to see no cases of bailiffs threatening to seize kittens, puppies or indeed defenceless guinea pigs in future; The Ministry Of Justice has restated its commitment to bring bailiffs under independent statutory regulation which was set out in the previous white paper but dropped from the Bill. Although bailiff regulation did not make it into the Act (as we would have liked), the government has launched a parallel consultation exercise and has also committed not to introduce extended powers of forcible entry until a system licensing is in place. The powers and nature of the bailiff regulator are still uncertain but it looks like there will be a framework of independent regulation in the near future; and The Ministry Of Justice also announced that the courts will be required to consider the circumstances of debtors before granting permission for forcible entry by bailiffs - a significantly stronger safe guard than set out in the governments original policy statement.

Each of these changes followed concerns raised by Citizens Advice and others. Evidence from bureaux including Citizens Advice Trafford proved to be particularly powerful in raising the problems we have seen with bailiff practices that highlighted the need for the government to work better safeguards into the legislation and reconsider the time table on bailiff regulation. Indeed, in the key parliamentary debates on the Bill, bureaux evidence was cited by both Lords and MPs time and again.

We were less successful in arguing for better safeguards on the granting of charging orders but we are to keep a look out for any increase in the use of charging orders by creditors in the future.

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