To consider the 12 month update on improvements made as a result of the systems thinking review in Revenues and Benefits.

96.1           The report of the Revenues and Benefits Group Manager, circulated at Pages No. 38-42, provided a 12 month update on improvements made as a result of the systems thinking review of the Revenues and Benefits service.  Members were asked to consider the report.

96.2           Members were advised that the transformation project had commenced in the summer of 2014 when Ice Creates consultants had been appointed to facilitate a review of the Revenues and Benefits service.  The main aim was to increase efficiency and cost savings within the service to free up time to focus on outcomes by promoting financial inclusion and poverty reduction.  At its meeting on 7 April 2015, the Overview and Scrutiny Committee had received a presentation on the project and had resolved that a further update be provided to the Committee in 12 months time.  The Revenues and Benefits Group Manager was pleased to report that performance was being successfully sustained.  New claims were now processed in an average of 12.73 days compared to 19.39 days the previous year and processing changes in circumstances took an average of 6.4 days compared to 13.42 days the previous year.  Appendix 1 to the report set out Tewkesbury Borough Council’s performance compared to other district councils in the county and showed that only Cheltenham Borough Council had better processing times.  The improved accuracy and processing times in Benefits had resulted in a better return within the Council’s subsidy claim; Tewkesbury Borough Council was currently eligible for £58,000 in additional subsidy which had never been achieved before.  The additional capacity and improvement in data matching arrangements had meant that a high number of unreported change in circumstances and claimant overpayments had been identified.  The Council received a 40% subsidy for finding the overpayments and was able to recover and keep 100% of the overpayment on top of the subsidy.  Whilst the claims caseload was falling, the numbers were not significant with 4,085 housing benefits claims and 4,650 council tax support claims in December 2015 compared with 4,089 and 4,749 in December 2014.   The Council was still receiving the same number of claims on a weekly basis although ‘failure’ phone calls had dramatically fallen enabling staff to concentrate fully on processing.  Having two members of the Benefits team permanently located in the booth in reception ensured that expert information was being given to customers from the first point of contact.

96.3           With regard to Revenues, council tax collection was at 96.83% compared to 96.11% in 2015 and £1M more had been collected than at the same point last year.  Over the last 12 months there had been significant growth of new properties; the Borough had 38,955 domestic properties as at December 2015 which was an increase of 634 on the previous year, and the Revenues team had been able to absorb the increase and shed half a post.  Business rates collection was now at 96.21% compared to 95.05% the previous year and the Council was gradually recovering from the major impact of the large reduction in rateable value and refund made to a major business rates account.  An objective of the review had been to create additional capacity within the service to carry out important work on financial inclusion and a detailed analysis of housing benefit data and council tax support was being carried out to identify key areas of need within the borough.  The data would help to identify the future impacts of welfare reform and to better assist those households under financial pressure. It was intended to create a framework for the delivery of a joined-up range of services which would build upon the work already achieved through the financial inclusion partnership.

96.4           A Member queried whether the introduction of the living wage would have an impact on the service and was advised that it would affect housing benefit and change in circumstances.  This had been recognised by Officers who had been looking at a range of claims relating to people on low incomes to see how they would be impacted and it was intended to get on top of the situation as soon as possible.  In response to a query regarding overpayments, the Revenues and Benefits Group Manager explained that the Council had to make every effort to recover overpayments, unfortunately, many of the claimants were under financial pressure and arrangements had to be made for them to clear the debt over time.

96.5           A Member indicated that he was very impressed with the improvements which had been made to the service, however, he raised concern as to how performance would be sustained over time.  The Revenues and Benefits Group Manager indicated that he was mindful not to make too many more changes to the structure of the service and reiterated that the current collection rates being achieved were well above the national average.  Staff now met three times per week to discuss performance and how this could be improved and they would endeavour to keep new claims processing times to 13/14 days and change in circumstances to seven days.  The Member went on to query how digital inclusion had impacted on the service and he was informed that the Council had received money from the Department of Work and Pensions to help with this and work was being done with various partners on a project to enable access to services via the computers at the Advice and Information Centres in Churchdown and Brockworth.  In response to a Member query as to whether there was anything else which could potentially impact on the service going forward, the Revenues and Benefits Group Manager advised that Universal Credit had the potential to have a major impact on the Council.  Although the roll-out which had been planned for the current financial year was on hold, it would effectively incorporate housing benefit into Universal Credit and mean that less resources would be required to administer this element of the service.

96.6           The Chair thanked the Revenues and Benefits Group Manager for his report and asked that congratulations be passed on to the team on behalf of the Committee.  It was

RESOLVED          That the 12 month update on improvements made as a result of the systems thinking review of Revenues and Benefits be NOTED.