To consider the update from the Counter Fraud and Enforcement Unit. 

35.1          The report of the Head of Service: Counter Fraud and Enforcement Unit, circulated at Pages No. 16-23, provided an update on the work of the Counter Fraud and Enforcement Unit.  Members were asked to consider the report.

35.2           The Head of Service: Counter Fraud and Enforcement Unit drew attention to Page No. 17, Paragraph 2.1 of the report and advised there would be communications going out to residents regarding online shopping and how to avoid scams in the run up to Christmas.  As set out at Page No. 18, Paragraph 2.4 of the report, the National Fraud Initiative data matching exercise had been completed for this year and residents had been contacted regarding their individual circumstances where anomalies had been identified.  The review of the housing waiting list had also been completed to ensure homes were going to the right people.  Paragraphs 2.8-2.10 of the report related to work carried out with Enforcement Officers which included two licensing prosecutions.  The Counter Fraud and Enforcement Unit was also tasked with undertaking the investigation of alleged fraud and abuse in relation to the Council Tax Reduction Scheme.

35.3           With regard to the review of the housing waiting list, a Member asked how people got onto the list and the reasons they may not be entitled to be.  The Head of Service: Counter Fraud and Enforcement Unit gave the example of someone who applied saying they had seven children and their home was overcrowded but when checks were carried out it was found they only had one child.  She stressed there were sometimes genuine errors rather than fraud.  The Counter Fraud and Enforcement Team ensured those who were in emergency, gold and silver bands were in the correct category and any anomalies identified were passed to the Housing Team to check.  In response to a query as to why the figures at Page No. 18, Paragraph 2.5 of the report did not add up, the Head of Service: Counter Fraud and Enforcement Unit explained that, in addition to the emergency, gold and silver bands, there was also a bronze band which the Counter Fraud and Enforcement Unit did not investigate.  The Member noted that 762 applications had been reviewed with 244 being referred to the Housing Team and raised concern this was approximately one third of all cases so he asked whether Officers were satisfied that systems were in place to reduce that level of incorrect applications.  The Head of Service: Counter Fraud and Enforcement Unit advised that this was similar across all Councils within the Unit and could be because applicants did not provide verification information up front – they would be placed on the list but it was not picked up until the Unit carried out its review which was done every two years.  It could also be due to housekeeping as well as income errors etc.  The Member pointed out that the National Fraud Initiative applied a figure of £4,283 for each application removed and whilst it may be that the majority were changing categories rather than being removed, if half were removed that amounted to approximately £500,000; although he felt it was a worthwhile exercise, it did imply there was a considerable amount of poor housekeeping or not enough checks in the system.  The Head of Service: Counter Fraud and Enforcement Unit provided assurance that a final review and check should be carried out on applicants by the Council involved at the point of them being housed; this would vary across each Council in terms of the approach but the Counter Fraud and Enforcement Unit focused on keeping risks down and carried out the same check for everyone to ensure a consistent approach.  The Director: Corporate Services indicated that a specific report in relation to this could be brought to a future meeting of the Committee.  Another Member felt it would also be useful to know the number of people who removed themselves voluntarily because of a change in circumstances, or put their name on the list and forgot about it.

35.4           A Member noted that the Council’s Regulation of Investigatory Powers Act 2000 (RIPA) and Investigatory Powers Act 2016 (IPA) policies were due for review in 2023 and she asked whether this should have been done by now.  In response, the Head of Service: Counter Fraud and Enforcement Unit confirmed these policies had been reviewed and the Investigatory Powers Commissioner’s Office (IPCO) had carried out an inspection of all six district authorities which had included a review of those policies.  She provided assurance this had been completed, albeit the Appendix to the report needed to be amended, and a full update on RIPA and IPA would be included in the annual report considered by the Committee in July.

35.4           It was

RESOLVED          1. That the Counter Fraud and Enforcement Unit report be NOTED.

2. That a detailed report on the review of housing waiting list applications be brought to a future meeting of the Committee to address concerns regarding the amount of cases potentially being removed or recategorised.