Dear HM Revenue and Customs,
Please could you provide information regarding the use of Debt Collection Agencies and Debt Purchasing Companies to recover debt owed by individuals to the HMRC?
The specific information I would like is as follows:
1) Use of Debt Collection Agencies (DCAs)
(a) The total value of debt owed by individuals which is outsourced to DCAs per year for the past 5 years, broken down by debt type if possible
(b) The total value of debt retrieved via the use of DCAs per year for the past 5 years, broken down by debt type if possible
(c) The total commission paid to DCAs per year for the past 5 years, broken down by debt type if possible
(d) Please outline the method for choosing DCA(s), including the evaluation criteria used to assess different DCAs
2) The sale of impaired/ delinquent debt to Debt Purchasers (DPs)
(a) The total book value of debt owed by individuals which is sold to DPs per year for the past 5 years and the price at which it was sold, broken down by debt type if possible
(b) The total book value of debt sold to each DP and the price at which it was sold; if the list is extensive please provide for the top 5 DPs
(c) Please outline the method for choosing a DP, including the evaluation criteria used to assess offers from different DPs
Thank you for your communication of 9 January 2014 which has been passed
to HMRC's Freedom of Information Team.
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Please find the response to your Freedom of Information request attached.
<<FOI 1026-14 Response.pdf>>
Freedom of Information Team.
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