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 and an update be presented at the next meeting of this Committee on 31 May 2022.

Alternative Options Considered and Rejected

None.

Reason for Decision

The report provided information on revenues performance for Quarter 3 2021/22 for (a) council tax for the City of Lincoln Council and North Kesteven District Council; and (b) business rates for the City of Lincoln Council, North Kesteven District Council and West Lindsey District Council.  Comparisons to the national and local position in terms of performance was provided, where possible.

Performance continued to be impacted by Covid-19.  Actions in response to the impact of Covid-19 had included:

-       Deferrals of Council Tax and Business Rates payments being permitted where applicable and appropriate.

-        Processing a significant increase in Housing Benefit and Council Tax Support claims, and Universal Credit related documents.

-       Assessment and award of new government reliefs and payments (such as Test and Trace Support payments and Household Support Fund).

The revenues and benefits shared service had now been in operation since 1 June 2011, and performance had been maintained and improved whilst continuing to provide value for money.  Continual improvement and success were being achieved in both statistical and financial performance, as well as positive outcomes for customers of the partner local authorities. However, the Covid-19 pandemic had understandably impacted on some areas of performance and these impacts were likely to continue for many more months.

In respect of council tax up to the end of quarter 3 2021/22, in-year collection was down the City of Lincoln by 0.36% and up for North Kesteven by 0.01% respectively. The latest figures were reported in year collection for City of Lincoln Council was down by 3.21% and North Kesteven was down by 1.23%.  Due to the financial impacts of Covid-19 on residents' incomes, it was anticipated that the recovery of monies would remain a real challenge throughout 2021/22.  Net collectable debit for 2021/22 (compared to 2020/21) had increased by £2.4m for Lincoln and £3.7m for North Kesteven.

In respect of business rates, for Quarter 3 2021/22, compared to the same point in 2020/21, in-year collection was down  6.31% for Lincoln, 6.31% , 0.75% up for North Kesteven and 2.51% down for West Lindsey . However, these figures were significantly affected by the new reliefs available in 2020/21 (namely expanded retail discount) and into 2021/22, so comparing 2021/22 to 2020/21 and to 2019/20, was not appropriate.

As detailed at paragraph 4.10 of the report, there had been key movements in the business rates bases in the third quarter.

At the end of quarter 3 2021/22, outstanding revenues customer cases stood at a total of 2,174, of which 1,506 were from the City of Lincoln and 668 were from North Kesteven. This was a significant decrease from 5,133 items (split Lincoln 3,454, North Kesteven 1,679) at the end of Quarter 2 2021/22. This reduction had been achieved largely through implementing additional temporary resources, including sifting and actioning items in the outstanding documents queue.

It was vital that the outstanding customers number was as low as possible before annual billing for the new financial year, therefore additional temporary resources remained in place until end of February 2022. However, due to turnover in staff on the Council Tax Administration Team, there were also vacancies being recruited to.

The table at paragraph 5.2 of the report indicated that City of Lincoln was processing benefit claims in 16.45 days, compared to North Kesteven at 16.54 during quarter three. 

Provision of welfare and benefit continued to be key with a team of dedicated and knowledgeable officers providing invaluable support to residents of Lincoln, as set out in further detail within the table at Paragraph 6.1 of the officer’s report.