3 - Business Services Performance Report
Renfrewshire Council · 14 September 2023
Back to Finance, Resources and Customer Services Policy Board — 14 September 2023 and its agenda
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_________________________________________________________________ To: Finance, Resources and Customer Services Policy Board On: 14 September 2023 ___________________________________________________________________ Report by: Director of Finance and Resources ___________________________________________________________________ Heading: Business Services Performance Report ___________________________________________________________________ 1. Summary 1.1 This report details performance across key Business Services functions including revenue collection and benefit administration for the period ending 28 July 2023 (including an update on the funding and expenditure position in relation to Discretionary Housing Payments (DHP) and the Scottish Welfare Fund). _______________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: Note the contents of the report. _______________________________________________________________ 3. Revenue Collection 3.1 Council Tax 3.1.1 This section details the collection performance as at 28 July 2023 for Council Tax. It also provides details of the total sums collected for the previous financial year. 3.1.2 The billable sum for 2023/24 is £100,957,204.
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3.1.3 The sums collected to date for 2023/24 are £41,612,334 which is 41.22% of the billable sum (45.02% last year). This represents a decrease of 3.80% in cash collection as a proportion of net charges billed compared with the same position for 2022/23. 3.1.4 The lower comparable position is due to Scottish Government funded Cost of Living Awards being credited to Council Tax accounts in 2022/23, but no such provision has been made for 2023/24. These awards totalled £9,432,000 by 28 April 22. It is anticipated that the percentage decrease will lessen over the remaining months of the year similarly to the pattern of increases last year which lessened as the year developed. 3.1.5 It is expected that the ongoing cost of living crisis is likely to have an impact on the level of collection this year. 3.1.6 The Council Tax Reduction (CTR) awarded is £13,805,110, amounting to 12.03% of the billable sum, which is 0.24% less than at the same point last year. 3.1.7 The Service has reduced the outstanding volume of CTR applications by over 20% since the last reporting cycle and continues to encourage the take-up of CTR. Take-up activities have commenced including tracking of potential applications, data matching and analysis to maximise CTR awards and support customers, where possible. 3.2 Non-Domestic Rates 3.2.1 This section details the collection performance as at 28th July 2023 for Non- Domestic Rates (NDR). It also provides details of the total sums collected for the last financial year. 3.2.2 Non-Domestic Rates (NDR) bills were raised in two phases for 2023/24 due to complex legislative changes to the Small Business Bonus Scheme (SBBS) and the Transitional Relief which will apply to some ratepayers following revaluation. 3.2.3 Revaluation, reviewing the value of all 9834 business properties in Renfrewshire, was carried out by Renfrewshire Valuation Joint Board and effective from 1 April 2023. 3.2.4 In relation to the SBBS, under the previous regulations, all properties received fixed percentage SBBS awards. Those with rateable values (RVs) of up to £15,000 were eligible for 100% relief. Those over £15,000, but not exceeding £18,000, received 25% relief. From 1st April 2023, the threshold for 100% relief has been reduced to £12,000. The complexity lies with properties with RVs between £12,000 and £20,000, which will now receive relief on a sliding scale between 100% and 0%. Different rules apply where a customer is liable for rates on multiple properties within Scotland.
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3.2.5 The Service has been interpreting and implementing these complex changes both for the Council and also on behalf of East Renfrewshire Council as part of our long-term arrangement to process Non Domestic rates on their behalf. 3.2.6 Cash receipts to date amount to £35,561,189 which is 29.85% of the sum billed. This is an increase in cash collection as a proportion of net charges billed of 1.03% compared with the same position for 2022/23. 4. Benefit administration This section details the processing performance in relation to Housing Benefit and the Scottish Welfare Fund, as at the end of July 2023. Also provided is an update on the funding and expenditure position in relation to Discretionary Housing Payments (DHP) and the Scottish Welfare Fund. 4.1 Workload and Performance 4.1.1 The Service aims to balance the varied and changing workload resulting from the impacts of the ongoing Cost of Living Crisis and any post-pandemic effects. 4.1.2 The Service has started the new financial year in a improved position with a progressing trend, this is reflected in the performance data below showing most indicators within target. 4.1.3 Additional temporary resources continue to be deployed to the service; this is having a positive impact and is providing critical support. 4.1.4 Training and support remains in place for new and less experienced staff members. Training for benefits work is an extensive process, taking several weeks for a new team member to become proficient in a single process, many months to be fully trained in all areas and be fully productive. 4.1.5 The Service maintains a targeted plan aimed at bringing all work items within target and building a platform for sustained improved performance for the year ahead. 4.2 Speed of Processing – Housing/Council Tax Benefit 4.2.1 As detailed in Table 1 below, processing speed for New Claims is well within target for the period, showing a further improved position from 23 days reported at the last cycle 4.2.2 In relation to New Claims processed within 14 days of all information received, this measure is also within target for the period, a much-improved position from 81% at the last cycle. 4.2.3 Processing of Changes in Circumstance (CIC) is within target for the reporting period.
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(Supplementary processing information is attached in Appendix 2 for members’ reference) Table 1 – Performance Summary Performance measure 4 Week Reporting Period 16 June 2023 to 13 July 2023 Year to date position Annual Target New Claims – processing time (no. of days) 21 days 21 days 24 days New Claims - % processed within 14 days of all information received 93% 89% 92% Changes in Circumstance – processing time (no. of days) 10 days 7 days 10 days 4.3 Discretionary Housing Payments 4.3.1 The total budget for Discretionary Housing Payments for 2023/24 is shown in Table 2 below. This includes an additional amount of £241k allocated by the Council during 2022/23, and a top-up of £80.6k, provided by Scottish Government during 2022/23, both of which were carried forward to 2023/24 and reflects the position reported at the last cycle. 4.3.2 The Scottish Government funding amount detailed in table 2 below also now includes a significant amount of £183,220 which had been redistributed to the Council, as part of the normal allocation activities by Scottish Government. This enhanced amount was in recognition of the additional spend made last year from Council top -up funding 4.3.3 The total budget is detailed in Table 2 below and shows the indicative spending spilt provided to the Council. 4.3.4 The DHP budget has been calculated to include the full Scottish Government estimate of the amount of funding required to fully mitigate the effect of both the Benefit Cap and the Bedroom Tax. These estimates include a 20% reserve allocation, which will be paid in May 2024, if required. 4.3.5 In line with DHP Policy and DHP Regulations, the Service makes awards to fully mitigate the effect of the Benefit Cap and the Bedroom Tax and maximise spend within the year. 4.3.6 Table 3 shows the performance information in relation to DHPs. The table shows that the average processing time in relation to DHP is within target.
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Table 2 – DHP Budget Funding – indicative allocations Amount Renfrewshire Council (brought forward from 2022/23) £241,383 Financial Hardship – Scottish Government £441,536 Benefit Cap* – Scottish Government £136,600 Bedroom Tax* – Scottish Government £2,354,497 Total budget for the year £3,278,480 *These figures represent the maximum amount required to cover the estimated shortfall of customers impacted by the Benefit Cap or Bedroom Tax.
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Table 3 – DHP Performance Summary Measure 1 April 2023 to 28 July 2023 Volume of DHP applications received 3,215 applications Volume of DHP decisions made 3,037 decisions Number of DHP awards 2,933 awards Average processing time (target 29 days) 4 days Total amount committed/paid £2,264,613 4.4.0 The Scottish Welfare Fund 4.4.1 The Scottish Welfare Fund (SWF) provides a safety net for vulnerable people on low incomes through the provision of Community Care Grants and Crisis Grants. The Scottish Welfare Fund is a national scheme, underpinned by law and delivered on behalf of the Scottish Government by all local councils. The SWF replaced elements of the Social Fund abolished by the Department for Work and Pensions in 2013. 4.4.2 The Service makes awards in 2023/24 in line with Scottish Government guidance and had spent 37% of its total budget for the Scottish Welfare Fund (SWF) by the end of July 2023. 4.4.3 The total budget for the Scottish Welfare Fund for 2023/24 is shown in Table 4 below. This includes an additional amount of £401,771 allocated by the Council, £201,771 of which was brought forward from 2022/23. 4.4.4 The Service anticipates that the Scottish Welfare fund budget will come under significant pressure this financial year and it will exhaust all funds provided by both Scottish Government and the Council. Last year the Council spent almost £170,000 more than this year’s total budget despite demand not escalating until part way through the year when the Cost-of-Living Crisis really started to take effect. 4.4.5 The performance data relating to the Fund is presented in Table 4 below. The Service processed both Crisis Grants and Community Care Grants within target for the period.
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Table 4 – SWF Performance Summary (Crisis & Community Care Grants) Measure 1 April 2023 to 28 July 2023 Number of Crisis Grant applications received 3,321 Number of Crisis Grant Awards 2,291 Total amount paid for Crisis Grants £286,728.45 Average Processing time year to date (2 working days target) 2 days Average Processing time within July 2 days Number of Community Care Grant applications received 866 Number of Community Care Grant Awards 589 Total amount paid for Community Care Grant £319,117.33 Average processing time year to date (15 working days target) 9 days Average processing time within July 9 days Total amount paid/committed from the fund £605,845.78 Budget from Council brought forward from 2022/23 £201,771 Budget from Council 2023/24 £200,000 Budget provided by Scottish Government £1,252,119 Total Budget £1,653,890 5. Energy Bills Support Scheme Alternative Funding (EBSS AF) and Alternative Fuel Payment Alternative Funding (AFP AF) 5.1 In November it was announced that the UK government were to launch the EBSS AF which would provide an opportunity for households that would not be able to access the main Energy Bills Support Scheme to access £400 of support for energy costs for the winter. The support was to be delivered in partnership with local authorities, who would provide verification and payment functions. 5.2 More recently, the Government has also announced the AFP AF, a £200 support payment for households that use fuels other than gas to heat their homes. Local authorities were also asked to perform a role in providing support with processing applications for the small number of households that will not receive the payment automatically.
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5.3 The Service has made arrangements, in line with the guidance issued by the UK government, to support these additional functions to ensure that Renfrewshire residents eligible for this support receive their payments. Both schemes are now closed, with only isolated appeal cases being submitted to the Service for processing, with any final payments to be made by 15 September 2023. Table 5 – Energy Bills Support Scheme Alternative Funding (EBSS AF) and Alternative Fuel Payment Alternative Funding (AFP AF) Measure 26 February 2023 to 16 August 2023 Applications received to date EBSS 125 Applications AFP 44 Applications Total 170 Applications Payments Made EBSS 121 Payments £48,400 AFP 39 Payments £7,800 Total 160 Payments £56,200 Applications Rejected 10 Applications
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______________________________________________________________ Implications of the Report 1. Financial - The level of collection of Local Taxation continues to provide funding for the delivery of Council services throughout Renfrewshire. 2. HR & Organisational Development – None. 3. Community/Council Planning – Our Renfrewshire is fair - An effective Benefits service is vital to the quality of life of many of our citizens as it provides vital support for low income households to sustain tenancies and meet their rent obligations. Working together to improve outcomes - An efficient and effective billing and administrative process for the collection of local taxes is vital for ensuring the recovery of income to the Council to support the provision of local services. This is supported by a range of payment opportunities for the public, including electronic and digital payments (e.g. Direct Debit, Website and Telephone). Working together to improve outcomes – Efficient and effective customer service is vital to ensuring that citizens have equality of access to Council services, whether this is digitally, by telephone or face to face. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology – None. 7. Equality & Human Rights - The recommendations contained within this report in relation to performance updates has been considered in relation to its impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report because it is for consideration of performance only. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact – None. 12. Cosla Policy Position – None. 13. Climate Risk – None. _________________________________________________________
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List of Background Papers None ___________________________________________________________________ Author: Emma Shields, Strategic Service Delivery Manager
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Appendix 1 RENFREWSHIRE COUNCIL REVENUES COLLECTION STATEMENT AS AT 28 JULY 2023 COUNCIL TAX 2022/23 2023/24 £m £m Projected Yield 100.788 108.473 Gross Charges 107.262 114.762 Less rebates 13.137 13.805 Net Charges Billed 94.125 100.957 Cash Collected 89.634 41.612 Rebate Grant 13.137 13.805 102.771 55.417 Cash collected as % of Net Charges 95.23% 41.22% Income as % of Projected Yield 101.97% 51.09% NON DOMESTIC RATES 2022/23 202324 £m £m Projected Yield 122.162 116.743 Gross Charges 147.735 142.771 Less reliefs 23.080 23.645 Net Charges Billed 124.655 119.126 Cash Collected 121.034 35.561 Cash collected as % of Net Charges 97.10% 29.85% Cash collected as % of Projected Yield 99.08% 30.46%
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Appendix 2 Business Services Performance Report Supplementary KPIs – Finance & Resources Policy Board APPEALS Where a claimant disputes a Benefits decision and also disputes a revision decision, they can formally make an Appeal. The Benefits Service will prepare a detailed submission which is then considered by the Independent Tribunals Service. Preparation of a submission is a very involved process and requires significant data gathering. Target processing speed (number of days) 60 Result: last 3 months (days) May: 51 days June: 27 days July: 40 days Average (12 months to date) 100 days Average Appeals Completed 4 Appeals per month Comment:- Appeals volumes are very low, which is expected due to reducing Housing Benefit caseload, now being processed consistently within target. REVISIONS Where a claimant disputes a benefits decision in the first instance, they can request for it to be looked at again. This is known as a Revision. The process involves a Senior Benefit Assessor reviewing the decision thoroughly to decide whether the decision should stand. Target 28 days Result last report February 23: 63 March 23: 43 April 23: 52 Result Last 3 months May 23: 44 June 23: 58 July 23: 36 Comment:- The Service has missed target for revisions processing as a result of balancing workloads. Resources have been focussed on reducing the outstanding volume which has decreased significantly since the start of the financial year. The data above still shows a trending improving position. ACCURACY The Service proactively monitors the accuracy of benefits decisions made through a robust audit checking programme. The Service targets to audit a minimum of 4% of calculations. Target % Actual % Volume of Audits 2023/24 4% 23% Accuracy – July 2023 95% 89% Accuracy – 2023/24 95% 89% Comment:- The Service continues to analyse errors and action trends/patterns by providing additional guidance/training where needed.. Accuracy is below target, but improved from the last report when it was 85%. Targeted training takes place following errors being identified and a detailed training matrix is being developed as more capacity for training activity emerges as the processing times recover.
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Appendix 2 Business Services Performance Report Supplementary KPIs – Finance & Resources Policy Board HOUSING BENEFIT OVERPAYMENTS The service is responsible for raising overpayments where Housing Benefit has been paid in error. If these have resulted from errors made by claimants, the cost is partially funded by the DWP. The service attempts to recover both newly raised and historic debts from claimants or landlords as appropriate. Overpayments raised 2023/24 £331,650 Overpayments raised and recovered in year £117,699 % Recovery 35.49% All recovery in year £403,916 All recovery vs raised in year 122% All recovery vs all debt 5.26% Total debt outstanding at end of reporting period £7,280,284