Every family loses out by £90 because nearly £750m in council tax is uncollected

Local authorities across Britain have failed to collect more than £745million in council taxes, according to new research today.

A study of more than 400 councils by the GMB Union showed the figure for the past year was slightly down on the previous year's total of £760m.

Glasgow topped the league table with almost £22m of uncollected council taxes followed by Birmingham (£16m), Edinburgh (£13m), and Manchester (£12m).

Brian Strutton, national officer of the GMB, said: "While showing some improvement, the amount of council tax uncollected remains stubbornly high.

"Well over £700m remains permanently owed to local authorities in England, Wales and Scotland.

"This money is urgently needed by councils to provide necessary services, particularly to the elderly and vulnerable."

A Communities and Local Government Department spokesman said: "Data on collection rates was published by DCLG three months ago. It showed that collection rates in England are the highest ever.

"To criticise these improvements is insulting to hard working council staff who, over the last 10 years, have driven up the in-year collection rate from 95.5% in 1997-98 to 97.1% in 2007-08, and as the GMB also notes, better collection rates since last year.

"Because councils continue to pursue unpaid bills beyond the end of the financial year the actual collection rate is higher still.

"While councils are doing better and better at collecting council tax we do want to see further improvements and fully support local governments' commitment to do just that."

A Local Government Association spokesman said: "The GMB's annual survey gives a more distorted picture every year.

"The fact is that council tax is the best collected tax bar none, with around 97% collected in the same year. Almost all of this money will be collected in the coming months. This is not money that councils are chalking off.

"At a time when people are really feeling the pinch and the effects of the economic downturn, it is common sense that councils should give local people a little more leeway in collecting council tax.

"Councils are also committed to raising the take-up of council tax benefit to help some of the country's most needy people. The LGA has recently set out ways that this can be done effectively."