Let councils keep 100% of assets and cash seized under POCA, urges LGA

Councils have called on ministers to allow them to keep 100% of the assets and money confiscated from criminals under the Proceeds of Crime Act 2002.

The call from the Local Government Association comes as the Serious Crime Bill returns on 14 October to the House of Lords.

The legislation is intended to tighten deadlines for criminals to pay up and increase prison sentences for those who fail to do so. It is also designed to prevent assets being hidden with friends or spouses.

According to the LGA, councils help recover an estimated £40m in cash and assets under POCA every year.

However, less than half of these monies are given to local authorities.
 
Cllr Ann Lucas, chair of the LGA’s Safer and Stronger Communities Board, said: “Councils are successfully using Proceeds of Crime Act powers to recover every penny possible from benefit fraudsters, rogue traders and con-artists trying to thrive off their ill-gotten gains by living in large homes, driving expensive cars or living luxurious lifestyles.

“It is local communities who suffer at the hands of these criminals and they are the only ones who rightly deserve to benefit from the illegal profits being clawed back from criminals targeting their areas.

“That is why it is wrong for the Government to be keeping any of this money and preventing councils from spending it on improving the lives of local people. “

Cllr Lucas added that the extra sums would pay for more victim support and crime prevention schemes, plus help fund further investigations and prosecutions at a time when trading standards budgets have been reduced by 40% since 2010.

Bedford Council recently received some £562,000 after a fraudster involved in a junk mail scam was ordered to pay £3m under POCA. The authority is to spend the money on local apprenticeships and further fraud investigations.