Findings
Introduction
2.1 The on-site phase of our inspection of LB Haringey took place in October and November 2000.
2.2 To inspect and report on an LA's performance, it is important to understand the context in which it operates and how it differs from other LAs. These are set out in the areas of:
- authority background
- population, deprivation and housing demand
- management structure and corporate vision
- internal benefits administration.
Background to LB Haringey
2.3 LB Haringey covers 11.4 square miles of North London. It includes the relatively affluent areas of Highgate, Muswell Hill, Crouch End and Alexandra Palace in the west, central areas around Wood Green, and more deprived areas around Tottenham and Lea Valley in the East.
2.4 LB Haringey was formed in 1965 from the old boroughs of Hornsey, Tottenham and Wood Green. The borough is represented by 2 parliamentary constituencies, Tottenham and Hornsey & Wood Green. LB Haringey is part of the London North constituency of the European Parliament.
2.5 Large tracts of LB Haringey are residential, but the borough is rapidly developing as a hi-tech industrial area, notably at the Lea Valley Technopark. Service and cultural industries have replaced the borough’s manufacturing industry, although clothing and textiles are growing sectors.
2.6 Inner city traits and trends characterise parts of the borough. This is recognised by central government and the European Union, who have provided extra funding to regenerate the borough.
Population, deprivation and housing demand
2.7 The 1997 mid-year estimates by the London Research Centre project a total population of LB Haringey of 219,800 people living in 92,565 households. This population is younger than the London average with higher proportions of under 4s and in the 25 to 44 age group. The size of the population is expected to continue to grow fairly rapidly before levelling off in 2006.
2.8 The number of households is projected to continue to increase more rapidly, growing to 98,430 by 2011 as the proportion of single person households increases.
2.9 The population is ethnically diverse, with established communities with African, Caribbean, Cypriot, Asian and Irish origins. This diversity has increased recently with asylum-seekers and refugees including Eritreans, Kurds, Somalis, Tamils and Kosovars.
2.10 The Department of the Environment, Transport and the Regions (DETR) produces an index of social deprivation, based on a wide range of indicators. The 1998 analysis shows LB Haringey’s area as the 13th most deprived LA area in England and the 9th in London. LB Haringey has a high value for most of the factors included in the index, showing a high level of deprivation. This is particularly pronounced for the levels for overcrowded households and households lacking basic amenities.
2.11 Figure 2.1 shows how the housing stock breaks down.
|
Tenure |
Number of dwellings |
Percentage |
|---|---|---|
|
Privately owned or rented |
65,352 |
69.2 |
|
Local authority |
20,298 |
21.5 |
|
Registered Social Landlords |
8,705 |
9.2 |
|
Other |
77 |
< 1 |
|
Total |
94,432 |
|
Source: LB Haringey
2.12 The benefit unit deals with nearly 2,000 private landlords. This represents a considerable challenge for liaison and control.
2.13 The high cost of home ownership and private renting means that access to these tenures is difficult for people on low incomes. In April 1998, full time weekly earnings in LB Haringey’s area were £399.30 compared to a London average of £500.90. High numbers of ‘concealed households’ and homeless people reveal levels of unmet demand for housing.
2.14 The pressures of increasing numbers of people and households, high prices, high levels of deprivation and difficult access to affordable housing will lead to increased housing stress in the borough. An effective and efficient benefits service, sensitive to the constraints it faces, is needed if it is to contribute to achieving LB Haringey’s vision.
Management structure and corporate vision
2.15 LB Haringey’s Vision Statement is set out in its Community Plan 1999-2002. It states:
We want to measurably improve the quality of life for all the people of Haringey by working with residents and partners to create a sustainable borough with opportunities for those who want to live, invest and work here.
2.16 LB Haringey aims to realise this vision by:
- improving education
- helping to create jobs
- making Haringey safer
- creating a better environment and a cleaner borough
- developing better housing for all
- ensuring that Haringey is a healthy place and a caring place to live.
2.17 Benefits administration is expected to play a part in achieving this goal through tackling social exclusion and improving access to decent housing. This theme is developed further in Making sure things work.
2.18 A new Cabinet style committee structure took effect from the 1999. A range of scrutiny and deciding committees supported by sub committees, consultative forums and user forums has replaced the traditional structures. There are 5 service directorates and the Director of Housing and Social Services is responsible for benefits.
2.19 LB Haringey is currently implementing a strategic review of service structures. This will separate the housing and social service functions and create a new finance directorate that will include benefits and Council Tax administration. We consider some of the effects of these changes in Making sure things work.
Internal benefits administration
2.20 The previously separate administration systems for HB and CTB were brought together in 1995. LB Haringey told us that significant periods of computer downtime contributed to a worsening of performance during 1995 and 1996, particularly in processing times. The authority claims that it has achieved significant improvement since.
2.21 In 1998 LB Haringey held a compulsory competitive tendering exercise for providing its benefits service. One external expression of interest was received but no bid made, and the work was given to the in-house team. The submission included a provision for substantially reducing costs over the period covered by the bid.
2.22 As part of its preparations for this exercise, and to improve its service generally, a number of changes has been made since 1996. These include implementing and developing document management technology and re-designing work processes. The work on processes was done with the help of the Lean Enterprise Implementation Group from Cardiff Business School. Further details on this, and its application to achieving Best Value, are in Making sure things work.
The volume of benefit work is significant, in terms of both the number of claims and the value of payments. These are shown below.
|
1997/98 |
1998/99 |
1999/2000 |
|
|---|---|---|---|
|
RA |
20,369 |
16,763 |
14,319 |
|
RR |
9,017 |
8,711 |
9,384 |
|
CTB |
25,909 |
20,482 |
18,326 |
|
Total |
55,295 |
45,956 |
42,029 |
Source: LB Haringey
|
1997/98 |
1998/99 |
1999/2000 |
|
|---|---|---|---|
|
RA |
89,907,383 |
80,071,590 |
77,939,170 |
|
RR |
54,975,117 |
57,950,242 |
56,539,124 |
|
CTB |
27,167,385 |
25,613,407 |
25,479,770 |
|
Total |
172,049,885 |
163,635,239 |
159,958,064 |
2.23 The benefits unit prepared a position statement before our inspection. This included its own analysis of the strengths and weaknesses of the unit’s performance and ties in to the development areas identified in its business plan. The position statement shows a good level of awareness of the service provided and accords with our own findings in many areas.
Conclusions and recommendations
2.24 We set out our findings and conclusions using the 4 elements of the government’s fraud strategy. We examined LB Haringey's performance against these elements by assessing what it is doing, whether it meets statutory obligations and existing ideas of good practice, and whether there is scope to improve existing performance.