Agenda item

Purpose of Report

To provide the Joint Committee with an update on performance in the Revenues and Benefits Shared Service.

Decision

That the report be noted.

Alternative Options Considered and Rejected

None.

Reason for Decision

Updates were noted on the following aspects of the Shared Service:

Council Tax

The table at paragraph 4.2 of the report showed the in-year collection period for the current financial year 2019/20 up to the end of July, compared to the same point in 2018/19, together with outturn for 2018/19.

As at the end of July 2019, Council Tax in-year collection was down by 0.31% and 0.40% for the City of Lincoln and North Kesteven, respectively. For the City of Lincoln the reduced collection rate equated to £140,247, however, the net collectible debit had increased by £2.9 million with the total net receipt having increased by £895,004. With regard to North Kesteven, the reduced collection rate equated to £263,673, however, the net collectable debit had increased by £4.8 million and total net receipt had increased by £1.6 million. There had also been an additional 569 properties added to the taxbase compared to April 2018.

Council Tax support caseload for both authorities was reducing, as outlined in the table at paragraph 4.3 of the report. The declining caseload partially explained the reasons for a drop in in-year collections and officers were currently working on a proactive Council Tax support take-up campaign to ensure taxpayers were receiving what they were entitled to.

Committee were further updated that at the end of August 2019, Council Tax in-year collection was down by 0.01% and 0.49% for the City of Lincoln and North Kesteven, respectively.

Business Rates

The table at paragraph 4.5 of the report showed the Business Rates in-year collection period for the current financial year 2019/20 up to the end of July, compared to the same point in 2018/19, together with whole year outturn figures for 2018/19.

As at the end of July 2019, Business Rates in-year collection was down by 1.98% for the City of Lincoln, however, collection was up by 0.15% and 0.58% for North Kesteven and West Lindsey respectively. For the City of Lincoln the reduced collection rate of 1.98% equated to £893,472 of the net collectable debit, with total net liability having decreased by £362,820 and total net receipt having decreased by £1,055,010. Officers were currently in the process of ascertaining the reasons for these reductions. With regard to North Kesteven the increased collection rate equated to £42,307 of the net collectable debit, with total net liability having increased by £562,585. For West Lindsey the increased collection rate of 0.58% equated to £103,707 of the net collectable debit, with total net liability having increased by £348,288 and total net receipt also increased by £251,938.

Committee were further updated that at the end of August 2019, Business Rates in-year collection was down in the region of 1.5% for the City of Lincoln, and North Kesteven respectively.

Outstanding Revenues Customers

The table at paragraph 4.8 of the report showed how many items of revenues customers’ correspondence was outstanding up to the end of July 2019, compared to the same point in 2018/19 and the final position at the end of 2018/19.

Although outstanding figures had increased by a total of 567 from the end of 2018/19, the position as at the end of July compared to that of the same point in the previous year was only 13 more for Lincoln and 50 more for North Kesteven. Further progress had been made regarding the introduction of e-forms which collected date sooner and in a more efficient manner, meaning that this large influx of work could be dealt with earlier in the financial year.

Committee were further updated that at the end of August 2019, figures were slightly up due to the holiday season and staff leave, however, both authorities were in a strong position moving forward.

Housing Benefit Overpayments

The table at paragraph 4.11 of the report showed outstanding debt for the current financial year 2019/20 up to the end of June, compared to the ‘baseline’ point at which a specific overpayments project commenced in May 2018.

A separate item specifically on this matter was included as a later agenda item at this meeting.

Benefits Performance

The table at paragraph 5.1 of the report showed the number of outstanding benefits customers awaiting assessment up to the end of July 2019, compared to the same point in 2018/19 and the final position at the end of 2018/19.

A dedicated plan to reduce outstanding work levels had been in place which had resulted in a significant reduction of outstanding work in quarter one, with the age of the oldest item of outstanding work generally being maintained at a level of around one week.

In terms of Housing Benefit average processing times, the table at paragraph 5.2 of the report showed figures for new claims and changes in circumstances. Performance for all measures was now looking positive moving forward. Processes had been, and continued to be, reviewed and it was envisaged that new claims performance could improve further as the financial year progressed.

Universal Credit continued to have an impact on processing times due to the number of Universal Credit related documents requiring processing, as well as officers awaiting Universal Credit related decisions before putting Housing Benefit into payment in some cases.

Prompt processing of claims remained vital, but of equal importance was accuracy of processing. The table at paragraph 5.3 of the report set out the outcome of claims checked under the quality checking regime implemented by the Shared Service. The level of performance was improving and being maintained which was particularly pleasing in light of the rollout of Universal Credit making some assessments more complex. There had continued to be a concentration on checking claims more likely to be assessed incorrectly first time. It was reported that even £0.01p was counted as financially incorrect and in addition to these targeted checks, more checks were also carried out as part of the rolling annual subsidy claim checking regime.

Committee were further updated that at the end of August 2019, the number of outstanding benefit customers awaiting assessment was down at 782 for the City of Lincoln and 272 for North Kesteven. The average number of days for processing new claims and changes of circumstances was also down at 25.16 days for City of Lincoln and 21.75 days for North Kesteven. In terms of accuracy, outcome of claims checked under our quality checking regime at the end of August was 93.72% for City of Lincoln and 96.91% for North Kesteven.