North Ayrshire Benefits Service Policy Document

ANNEX A

Services to the Community

Benefit Services

Benefit Strategy

August 2003 1. Introduction

1.1 The Council’s Vision for the Borough states that: “The Council actively works towards the achievement of sustainable and thriving communities for the people who live and work in the Borough, based on the principles of self reliance, personal responsibility and freedom of choice. The Council contributes to the overall sense of wellbeing in the Borough through the provision of high quality, value for money public services, and undertakes projects and initiatives that improve the quality of life.”

1.2 The purpose of this document is to establish the strategic direction of Reigate & Banstead’s Housing Benefit (HB) and Council Tax Benefit (CTB) Service, its aims and its values, with the overall objective of contributing to the achievement of the Council’s Vision.

1.3 All Local Authorities face significant challenges in the administration of HB and CTB given the increasing complexities of the Schemes, the emphasis on preventing fraud and error from entering the system and the importance of paying the correct amount of benefit quickly, but only to people who are properly entitled. The priorities of the Benefits Service therefore seek to balance the sometimes conflicting priorities of accuracy, speed and fraud prevention in each of the service aims expressed in this document.

1.4 Much of the administration and payment of HB and CTB claims is prescribed by a complex body of legislation laid down by the Department for Work and Pensions. However, the Benefits Service is integral to a number of Council objectives, and the manner in which the service is administered is a key component, in targeted areas for improvement, of Reigate & Banstead’s Corporate Plan. 2. Statement of Intent

2.1 The key aim of the Council’s Benefits Service is: “To provide an efficient, customer-focused and secure service that pays the right amount of benefit to people who are entitled to it as quickly as possible.”

2.2 In meeting this aim, the Benefits Service’s presiding principles are to provide a service that:

 Is focussed on and responsive to the needs of Reigate & Banstead’s residents,particularly those elderly users who are the major users of the Benefits Service;  is both quick and accurate in the payment of Housing Benefit and Council Tax Benefit;  protects public funds and maximises the Council’s income;  is continuously seeking to improve through the setting of challenging targets and the development and monitoring of the Service and Action Plans.

2.3 HB and CTB are paid to people on low incomes who cannot afford to pay their rent or Council Tax. The prompt payment of claims is essential to help alleviate poverty and reduce social exclusion. The Benefits Service is committed to providing an accessible customer focussed service through:

 setting challenging, but realistic, targets for the assessment of claims with ongoing improvements year-on-year;  maximising entitlement to HB/CTB;  regular consultation with claimants and key stakeholders;  removing barriers to access caused by language difficulties, age,health (both mental and physical), mobility or disability problems, or any other issues preventing claimants from receiving the benefits to which they are entitled;  working with partners and service providers to maximise and promote services which aid independence and choice in accessing the Benefits Service and other relevant statutory and voluntary services;  ensuring that all customers are dealt with in a sensitive manner without discrimination and adhering to the principles of the Disability Discrimination Act, Data Protection Act, Human Rights Act, Regulation of Investigatory Powers Act, Race Relations Act and Racial Equality Scheme;  helping people back to work through the timely assessment of claims where the claimant is returning to or starting work;  providing forms, notification letters and publicity material to claimants and external agencies that provide clear explanations of the assistance that is available, the action that has to be taken to ensure the payment of HB/CTB, service standards and any additional assistance that is available; and  ensuring that appeals and complaints are dealt with quickly and transparently. 2.4 The prompt and accurate payment of HB/CTB is a fundamental goal of the Benefits Service, but has to be balanced against safeguarding the system against fraud and protecting the Council’s finances. The Benefits Service will therefore provide a secure service that protects public funds by:

 a rigorous approach to both the prevention and detection of fraud through all means available including prosecutions, sanctions and cautions;  ensuring that overpayments recovery is maximised without causing undue hardship;  minimising error through management checks, quality control and training;  reducing rent and Council Tax arrears by ensuring that HB/CTB take- up is maximised;  reducing subsidy loss through ongoing monitoring and control.

2.5 In meeting these aims, the Benefits Service will seek to ensure that the principles of Best Value are considered and that the Service contributes to the Council’s overall strategy for Best Value. The Service will also consider the findings of the Comprehensive Performance Assessment (CPA) and aim to address any recommendations, made in relation to the Service, within the Strategy and associated operational plans. 2.6 The continuous improvement in performance against national and local performance indicators forms a key element of service development. The Council will continue to set challenging, but attainable targets, for the Benefits Service to ensure that continuous improvement is achieved. In addition, the Benefit Service will continue to review its performance against the Performance Standards, issued by the Department of Work and Pensions, with a view to achieving compliance with the full range of Standards. 2.7 The Council is committed to addressing all forms of discrimination and pays specific reference to the requirements of the Race Relations Act. The general requirements of the Act specify that each authority must take active steps to:  eliminate unlawful racial discrimination;  promote equality of opportunity;  specifically promote good relations between persons of different racial groups. 2.8 The Benefit Service will seek to address these duties in all aspects of administration and contribute towards the Council’s overall duty of compliance.

3. Customer access and social inclusion

3.1 The Benefits Service must be accessible and responsive to the residents of Reigate & Banstead who need immediate assistance with paying their rent and/or Council Tax. This approach is based on providing information to claimants and potential claimants on:

 the help that they are entitled to receive;  the action that they need to take to ensure that their claim is paid;  the help that is available if they need assistance in claiming;  consulting with claimants and key stakeholders on the way that services are provided;  the standards they can expect and action they can take if things go wrong.

3.2 Claiming HB/CTB is a complicated and bureaucratic process. The schemes are complex and this is compounded by the need to verify all of the circumstances of a person’s claim in order to ensure that payments are only made to people who are properly entitled. Much of this activity is prescribed by legislation and guidance from the Department for Work and Pensions. It is important for claimants to understand their responsibilities in the claims process. This will help them to respond promptly to requests for information and help the Benefits Service pay their claims quickly. The Service will work towards ensuring that all publicity material and forms clearly state the responsibilities of claimants in satisfying the criteria for receiving HB/CTB.

3.3 The Benefits Service has a significant role to play in meeting the Council’s quality of life objectives. Social exclusion is commonly characterised by a lack of choice. Wherever possible, the Benefits Service is committed to addressing inequalities by:  reducing poverty and homelessness by maximising benefit take-up and paying claims quickly;  increasing choice for affordable housing by working with landlords and Registered Social Landlords (RSLs) to ensure that claimants can exercise the same level of choice as non-claimants in where they live and making sure that unemployed claimants are supported in taking jobs by paying their claims without interruption.  Working with partners and service providers to maximise and promote services which aid independence and choice in accessing the Benefits service and other relevant statutory and voluntary agencies. 3.4 The information required to award HB/CTB gives details of all aspects of a claimant’s income, capital, household details and personal circumstances. A more inclusive approach can often be provided in response to a claimant’s needs by giving advice on:

 other Social Security Benefits that they might be entitled to;  additional assistance available through the HB/CTB Schemes (such as Discretionary Housing Payments); and  other Council Services for people on low incomes.

3.5 Information on benefits is available from the Council’s Help Shops. Assistance with completing forms is also provided. There are a number of additional stakeholders who provide assistance and have an interest in the prompt payment of HB/CTB claims including other Council Departments and outside agencies that advise claimants or receive payments on their behalf. The Benefits Service will aim to formalise key stakeholders relationships via consultation and agreement. We will aim to ensure that claimants receive accurate advice from all sources, that all interested parties understand their rights and responsibilities and that all parties have realistic expectations of the Benefits Service and that these expectations are met. This will be realised through:

 the publication of realistic standards for all key aspects of the Benefits Service;  a mechanism for claimants and advisors to address service delivery issues and to provide continuous feedback on ongoing improvements to the Service;  the establishment of Service Level Agreements with any external agencies whose involvement is required for the payment of claims (such as the Pension Service and the Rent Officer Service);  the development of formalised agreements with other, relevant Council Departments, principally Local Taxation and Homelessness, for the exchange of information;  a forum, or other appropriate mechanisms, for Registered Social Landlords and landlords that will clarify their rights and responsibilities under the relevant legislation; and  working in partnership with Surrey County Council in planning and co- ordinating benefits take-up work. 3.6 There are a number of constraints to meeting the needs of claimants. These include cases where the amount of benefit received is limited by statutory provisions outside the Council’s control or where there is a need to have robust verification procedures in place. The Benefits Service will therefore ensure that these are mitigated to lower any barriers to entitlement and are fully understood by all interested parties who can assist the Council in making the Service as responsive as possible.

4. Speed and accuracy

4.1 The Benefits Service will pay the right amount of benefit for all claims at the earliest opportunity and will tackle the barriers to this as part of the ongoing strategic development of the service. A key indicator of the efficiency of the Service is the time taken to assess claims from the date that they are received to the date that they are paid. The Benefits Service is committed to a policy of getting it right first time because paying the right amount of benefit in accordance with the Regulations and primary legislation is equally important.

4.2 The Council will achieve this goal by:

 ensuring that work is up-to-date to enable the stabilisation of the Service and the delivery of improved targets on an ongoing basis;  developing ways to improve the time it takes claimants to provide information in support of their claims;  tackling the increasing complexities of the HB/CTB Schemes, in terms of legislation and systems, through the maintenance of appropriate staffing levels, performance management and the provision of comprehensive training for all staff that will balance the priorities of accuracy, speed and service delivery;  implementing new Information Technology and internal procedures to maintain a high level of efficiency; and  seeking additional funding and resources to provide for continued development and improvement of the Service. 4.3 The Benefits Service provides assistance to claimants in verifying their circumstances through liaison with third parties and the verification of information directly with the Department for Work and Pensions. Where claimants are renting from private landlords and unable to provide the information that has been requested, the Benefits Service will ensure that interim payments are made (payments-on-account) where it is lawful to do so in order to avoid any risk of hardship or eviction.

4.4 Some claimants are not entitled to HB/CTB either because they are excluded by the Regulations, or because they submit fraudulent claims or because they do not provide the requisite supporting evidence. It is incumbent on the Benefits Service to provide unsuccessful claimants with a clear and timely explanation of why payment will not be made with details of the avenues of redress that may be available to them. The targets for advising the claimants of the outcome of the claim will therefore apply to all claims.

5. Security and fraud

5.1 The needs of the majority of honest claimants have to be balanced against protecting the public funds from fraudsters who claim benefit to which they are not entitled. The Benefits Service is committed to protecting the public purse by ensuring that fraudulent claims for HB and CTB are both prevented and detected.

5.2 The prevention of fraud involves protecting the gateway to the HB/CTB Schemes through robust verification criteria, application forms that seek all the necessary information and procedures for cross-checking the information that is provided. Reigate & Banstead BC already sets high standards for the verification of claims and supporting proof through implementation of the Department for Work and Pensions’ Verification Framework.

5.3 The Benefits Service will therefore support the provision of a clear anti- fraud strategy and prosecution policy for dealing with HB/CTB through:

 publicity highlighting the Council’s commitment to eradicate fraud;  ensuring that all cases are referred for investigation where fraud is suspected;  regular fraud awareness training for staff and feedback on investigations;  a fraud hotline for suspected fraud to be reported;  publishing details of successful prosecutions in the local press as a deterrent; and  pursuing alternatives to prosecution where appropriate (i.e. administrative penalties and sanctions).

5.4 The Benefits Service therefore will adopt a Prosecution Policy that recognises the seriousness of fraud, but weighs this against the alternative measures available to the Council through cautions and administrative penalties depending on the circumstances of the case. 5.5 The anti-fraud strategy is predicated on the core aims of the service which reflect the proprieties of the Benefit Fraud Inspectorate, namely:  getting it right by paying the correct amount of benefit to claimants who are properly entitled  keeping it right by making sure that changes of circumstance are priorities and HB/CTB reassessed accordingly  putting it right by detecting when fraud or error enters the system and taking the appropriate remedial action  making sure things work by monitoring the work of the Benefits Service and proactively planning for continuous improvement.

5.6 The level of undetected fraud is, of course, unknown. Whilst the elimination of fraud remains a core aim of the Benefits Service, it should be recognised that this should not be at the expense of avoidable delays to the majority of legitimately entitled claimants.

6. Helping people back to work

6.1 Reigate and Banstead generally has a prosperous local economy but there are pockets of deprivation and poverty. The efficiency of the Benefits Service underpins a number of Government and Council aims, not least the alleviation of poverty and social inclusion. The Benefits Service supports these goals and will ensure that the Council’s priorities are understood and fairly reflected in procedures and working practices in helping people back to work.Helping people back to work and filling job vacancies will also assist in maintaining a prosperous local economy. The Benefits Service will support people returning to work by:

 ensuring that, where possible, there is no break in the paying claims when claimants start work and their circumstances change;  ensuring that claims from people who are already working are dealt with quickly so people know how much HB/CTB they will receive and can manage their finances accordingly. 6.2 In many instances the decision whether to accept a job or not will depend on the amount of the HB/CTB that a claimant will receive and the Benefits Service will therefore provide advice to claimants considering taking up employment. For claimants who are self-employed or who are thinking of starting their own business, the assistance provided by HB and CTB can an essential part of their income and therefore the viability of their employment. The Benefits Service will therefore provide the necessary support and advice to claimants who are already working or starting work.

7. Supporting the provision of affordable housing

7.1 The prompt payment of claims and the maximisation of entitlement to benefit support the priorities of the Council’s Housing and Homelessness strategies. These priorities include the provision of affordable housing, making the best use of existing housing and the prevention of homelessness.

7.2 The Benefits Service aims to gain the confidence of private landlords by providing a service that pays claims quickly and maximises the amount paid. This may lead to an increase in the number of landlords willing to let their homes to benefit claimants and as a result there may be increased housing choice for households on low incomes and homeless households. For many tenants, the payment of HB is essential to securing and maintaining a tenancy. For the providers of social housing in Reigate & Banstead it represents an important source of income.

7.3 Close liaison and partnership arrangements with others who provide assistance in securing accommodation are key to the Benefits Service’s aims in relation to openness and accessibility.

7.4 Claims that are made in respect of privately rented accommodation are subject to valuations made by the Rent Officer, this ensures that rents met by rent allowance are reasonable. The Benefits Service will therefore continue to work with claimants and landlords to ensure that claimants can exercise choice in relation to affordable housing by:

 paying claims quickly helping to ensure that that HB claimants are not prejudiced in finding somewhere to live;  using the controls that the Benefits Service has to ensure that rents are not too high and that accommodation is of a satisfactory standard;  working with landlords, claimants and others towards ensuring that tenants are aware of their personal responsibilities for payment of rent. 8. Protecting the Council’s finances

8.1 The Benefits Service will protect public funds in the administration of HB/CTB and ensure that the Council’s financial position is protected and revenue maximised wherever possible. This will be achieved through:

 audit controls around specific areas where subsidy can be lost;  conducting Risk Assessments where appropriate;  maximising overpayment recovery;  reducing Council Tax arrears; and  ensuring that procedures are in place to prioritise areas where subsidy incentives are payable.

8.2 The level of subsidy payable for HB/CTB varies according to the type of case and there are certain areas of the Schemes where reduced subsidy is payable. This therefore represents a direct financial loss to the Council. Specific areas where subsidy loss is incurred are: backdated awards of benefit; overpayments of benefit; and cases where unreasonably high rents are being charged. In many instances, subsidy loss cannot be avoided as it is required by the Regulations. However, the requisite monitoring controls and staff training can reduce the risk of the incorrect amount of subsidy being claimed in areas which are often complex and sometimes ambiguous.

8.3 Reducing the number of overpayments is part of the Benefits Service’s commitment to accuracy. However, there are many instances where these cannot be avoided (where the Council is notified of changes late) or where they actively need to be sought out (where fraudulent claims are identified). Overpayments are an area where significant loss can be incurred due to the reduced level of subsidy payable. This can be substantially mitigated by the recovery of overpaid benefit which therefore represents a source of revenue to the Council.

8.4 The recovery of overpayments has to be mitigated by the need to avoid causing claimants undue hardship, but the Benefits Service will adopt an overpayment recovery policy that:  recognises the need to consider individual cases on their merits;  seeks recovery by the most cost effective and appropriate means;  seeks recovery from the most appropriate source;  supports the Council’s priorities in relation to the prevention of fraud;  ensures that all recovery procedures are lawful and transparent; and  has a clear write-off procedure for debts that cannot be recovered.

8.5 Whilst the recovery of overpaid benefit represents a source of revenue for the Council, it should also be noted that the payment of Council Tax Benefit has a direct impact on the Council’s collection figures in this area. Delays in the payment of HB/CTB can lead to claimants being pursued for debts that they do not owe or confusion as to the contribution they have to make. The prompt and accurate payment of HB/CTB is, of course, a cornerstone of providing joined-up services that reduce poverty and meet the needs of claimants across service areas. 9. Resources 9.1 The Council recognises that the appropriate resources are required to achieve the aims of this strategy and will aim to provide these as necessary. The resources required include appropriate levels of staffing, IT provision, staff training, project management and health and safety considerations. 9.2 The Council will aim to provide the necessary budgets in order to meet the current and future resource requirements of the Benefits Service. 9.3 To facilitate this process, the Head of Support to the Community will ensure that the appropriate review of the Service’s requirements, and risk assessment where appropriate, is undertaken prior to any request for additional funding and/or resource. 9.4 Requests for additional funding and/or resource will be made via the appropriate Council procedures. 9.5 In order to ensure that staff realise their development potential and maximum performance, the Head of Support to the Community will ensure that all staff receive the necessary training to carry out their duties. The review of training needs will be incorporated into individual plans via the appraisal process and into corporate plans via analysis of overall requirements.

10. Document Review 10.1 The aims of the Service expressed in this document will require close monitoring and review to ensure that the objectives remain realistic and that progress is being made towards achievement. 10.2 The ownership of the Strategy will be the responsibility of the Head of Support to the Community who will ensure that all elements of the document are incorporated into the existing programme of monitoring. Review of the document as a whole will take place on, at least, an annual basis with ad hoc amendments made as deemed required by the Head of Support to the Community. 10.3 All monitoring and review activity will be fully documented for future reference.