Under the new laws, bailiffs will be stopped from using any physical contact when dealing with people who owe money and will be banned from entering people's homes at night, or entering properties where children are alone.
They will also be banned from fixing their own fees and will have to follow a set fee scale.
Councillor Bob Sullivan said:
"This is a welcome proposal from the coalition government that can't come soon enough. I've had to deal with residents' problems with over-zealous bailiffs for a long time and I can't understand why the last Labour government let the current situation drag on for 13 years.
"Just because someone is in financial difficulty it shouldn't mean they can be taken advantage of. Bailiffs should be forced to play by the rules and ensure fairer treatment for our most vulnerable residents."