PCN Charges and Fees

CHANGES TO STATUTORY FEES FROM 6TH APRIL 2014 WITH REGARD TO PENALTY CHARGE NOTICES

 

The long awaited bailiff reforms are finally here. Having been part of the consultation process we are satisfied that the changes with regard to statutory fees will do away with ambiguity for defendants. For us bailiffs we welcome the simplification and the fact that there can be no accusations against the industry that ‘ghost’ visits have been charged for.

 

New fees for Enforcement of PCNs

 

Fee StageFixed PricePercentage Fees£0 – £1500                > £1500
Compliance Stage (Notice of Enforcement)£75.000%                           0%
Enforcement Stage£235.000%                           7.5%
Sale or Disposal Stage£110.000%                           7.5%

 

 

This means that when a Bailiff writes to advise that a warrant has been issued this commences the compliance stage and the fee of £75.00 plus VAT will be applicable. If this letter is ignored and a visit is made a further fee of £235.00 plus VAT is applicable. This fee is charged only once regardless of the number of times a bailiff has to attend in order to make contact.

 

If goods are removed a further fee of £110.00 plus VAT is applicable. In addition there are further disbursement fees as detailed below. These include storage costs, locksmith fees and auctioneers costs.

 

Stages of enforcement for which fees may be recovered – enforcement other than under High Court Writs

 

5. (1) The relevant stages of enforcement under an enforcement power which is not conferred by a High Court writ are as follows –

 

(a)    the compliance stage, which comprises all activities relating to enforcement from the receipt by the enforcement agent of instructions to use that procedure in relation to a sum to be recovered up to but not including the commencement of the enforcement stage;

(b)   the enforcement stage, which comprises all activities relating to enforcement from the first attendance at the premises in relation to the instructions up to but not including the commencement of the sale or disposal stage;

(c)    the sale or disposal stage, which comprises all activities relating to enforcement from the first attendance at the property for the purpose of transporting goods to the place of sale, or from commencing preparation for sale if the sale is to be held on the premises, until the completion of the sale or disposal (including application of the proceeds and provision of the information required by regulation 14).

 

5. (2) Where the goods against which enforcement is sought are securities, the sale or disposal stage commences with the provision of a notice of disposal in accordance with paragraph 49(2) of Schedule 12.

 

Disbursement recoverable from the debtor

 

8. (1) The enforcement agent may recover disbursements from the debtor only in accordance with this regulation and regulations 9, 10 and 11.

 

8. (2) The following disbursements are recoverable provided that they are reasonably and actually incurred –

 

(a)    the cost of storing goods which have been taken into control and removed from the premises or highway;

(b)   the cost of hiring a locksmith to gain access to premises when using reasonable force to enter them in accordance with Schedule 12, and to secure them thereafter;

(c)    court fees in relation to any applications made by the enforcement agent in relation to the enforcement power which are granted.

 

8. (3) The disbursements referred to in this regulation and regulations 9 and 10 may be recovered out of proceeds.

 

Disbursements recoverable from the debtor in relation to sale of goods by auction or by private sale

 

9. (1) The enforcement agent may recover disbursements related to the sale of the goods from the debtor in accordance with this regulation and regulation 10 and 11.

 

9. (2) Where the sale is held on premises provided by the auctioneer conducting the sale, the enforcement agent may recover from the debtor –

 

(a)    a sum in respect of the auctioneers commission not exceeding 15% of the sum realised by the sale of the goods;

(b)   the auctioneers out of pocket expenses; and

(c)    reasonable disbursements incurred in respect of advertising the sale.  

 

9. (3) Where the sale is held on other premises in accordance with regulations made under paragraph 43 of Schedule 12, the enforcement agent may recover from the debtor the sums and disbursements referred to in paragraph (2), except that the sum referred to in paragraph (2a) may not exceed 7.5% of the sum realised by the sale of the goods.

 

9. (4) Where the goods are –

 

(a)    auctioned by way of an internet auction site; or

(b)   sold other than by auction, the enforcement agent may recover from the debtor 7.5% of the sum realised by the sale of the goods.