Sussex magistrates were forced to write off £2.5 million in unpaid court fines last year.

A report by a Westminster committee said only 62 per cent of fines, or £4.1 million, handed down to offenders were collected in the year ending March 2002.

Courts in the county were forced to cancel fines worth £2.5 million, because they were considered "unenforceable."

The Commons' Public Accounts Committee (PAC) said in many cases offenders had simply "disappeared".

The report, published today, said there were wide differences in collection rates and they had become almost voluntary in some parts of the country.

Sussex was ranked 26 out of 42 in England and Wales, but managed to stay above the average collection rate of 59 per cent.

PAC Chairman Edward Leigh said: "Fines are a punishment and should deter offenders but a haphazard approach to their collection is far from a deterrent and must be addressed."

To improve the situation, the committee recommended several measures, including widening sentencing options available for dealing with defaulters.

These include seizing the assets of non-payers, such as cars. They could also be barred from borrowing money.

Courts Minister Yvette Cooper said: "We welcome proposals that courts should be able to introduce discounts for early payment, or penalties for late payment including higher fines, preventing defaulters from getting credit.

"We intend to introduce these new powers and pilot their effect."

The report was ordered after a damming report by the National Audit Office, published in March this year.

This found 37 per cent of criminal fines handed out in Sussex in the year ending in March 2001 were not paid.