We inspected the interface and liaison arrangements between BA, ES and SABC’s HB and Fraud sections. This appendix summarises the issues affecting the interface arrangements between SABC and ES.
ES sees its main objective as securing job placements for those jobseekers registering as unemployed at the Jobcentre, but ES also acts as the gateway to HB and CTB via claims to JSA(IB).
We looked at the areas of ES work that have a direct effect on SABC’s administration of HB and CTB and the processes used to counter fraud within the benefits system.
The methodology of the inspection followed that used in SABC and primarily consisted of interviews with managers and staff undertaking a range of duties within ES.
The interface covers areas such as:
Shrewsbury Jobcentre is part of the Shropshire District. There are 8 other offices that make up the district, namely:
Shrewsbury Jobcentre is the main office that deals with claimants from SABC’s geographical area. Shrewsbury Jobcentre also deals with some claimants living in the area covered by North Shropshire District Council.
At the time of the inspection the number of jobseekers registered as unemployed at Shrewsbury Jobcentre was 1,651. Figure F.1 shows the number of new claims received between January and March 1999.
| Fig. F.1: New claims received between January and March 1999 | |
|
Month |
Number of new claims |
| January |
446 |
| February |
334 |
| March |
345 |
Source: Shrewsbury Jobcentre
ES has a particularly good relationship with BA, undoubtedly enhanced by their co-location within the Jobcentre. However, ES needs to strengthen its relationship and direct links with SABC and improve the service it provides on HB/CTB matters.
Our inspection identified a number of strengths and good practices:
We also identified a number of concerns and opportunities for improvement:
There is no SLA between ES and SABC. The SLA is the catalyst for working together effectively and cements formal liaison between 2 organisations. During our inspection we were encouraged to learn that ES is to discuss this matter with SABC in the near future. The ES manager had only been in post for 8 weeks but was committed to ensuring working relationships improve between the 2 organisations. We recommend that work starts as soon as possible on implementing a formal SLA. It is also important to put in place the necessary monitoring mechanisms to ensure that the standards set out in the SLA are achieved.
During our inspection we confirmed that ES and SABC do not meet to discuss HB and CTB administration or counter-fraud issues. ES has a very good relationship with BA, which is on site to deal with all benefit-related queries. BA in turn has a good relationship with SABC, but there is very little direct contact between ES and SABC. We recommend that regular liaison meetings are set up between the 2 organisations.
Shrewsbury ES staff aim to interview jobseekers within 3 days of their initial contact. This is important, as longer waiting periods can delay processing of JSA claims and affect the start of any HB/CTB claim. Figures F.2 and F.3 show how Shrewsbury ES staff perform against the 3-day target and the overall effect on JSA clearance times.
| Fig. F.2: New claims interviews performed within 3 days of contact | |
|
Business unit |
Percentage clearance within 3 days |
| Shropshire District |
95.8 |
| Shrewsbury Jobcentre |
97.4 |
Source: ES statistics
| Fig. F.3: JSA clearance target performance 1998/99 | ||
|
JSA new claims |
Target |
Achieved % |
| Primary target |
65% in 10 days |
86.3 |
| Secondary target |
90% in 21 days |
96.2 |
Source: BA statistic
Figures F.2 and F.3 show that ES provides an efficient service to new claimants, allowing BA to subsequently process claims quickly.
The advice ES staff provide on HB and CTB matters is limited to advising that they will forward the claim form to SABC. SABC HB and CTB claim forms are not available at ES. We recommend (with ES agreement) that SABC should give ES a stock of its claim forms to include in the new claims packs.
ES staff are not trained in HB and CTB issues. BA staff deal with all benefit-related claims and enquiries and carry out a full check of the claim forms completed by the jobseeker in line with evidence requirement guidance. This check includes any HB and CTB claim form submitted. This is good practice and contributes to the excellent performance against the national JSA accuracy target shown in Figure F.4.
| Fig. F.4: JSA accuracy for Shropshire District 1998/99 | |
|
JSA accuracy target % |
Achieved % |
|
87 |
90.36 |
Source: BA statistics
BA aims to ensure all information is obtained at the new claim stage to allow the claim to be dealt with at the outset.
BA staff on site are responsible for collating all forms and system prints which need to be referred to the LAs covered by Shrewsbury ES office. ES staff dispatch relevant post to SABC on a daily basis by Royal Mail.
Claimants’ changes of circumstances must be notified to LAs quickly. Failure to do so can result in incorrect benefit payments and HB/CTB overpayments.
Figure F.5 sets out Shrewsbury’s performance against national BA targets.
| Fig. F.5: Changes of circumstances performance 1998/99 | ||
|
Change of circumstances |
Target |
Achieved % |
| Primary target |
65% in 2 days |
95.5 |
| Secondary target |
95% in 6 days |
97.7 |
Source: BA statistics
ES reminds jobseekers to report changes of circumstances at the new claims stage, at intervention interviews and each time they register. This includes changes that may affect HB/CTB. Use is made of form ES40, which lists the changes jobseekers are required to report. This is good practice, but could be enhanced by improved knowledge of HB/CTB.
ES staff use a range of ES forms to report changes of circumstances. They pass copies of the forms to BA staff on site for appropriate action on the claim. If the change is complicated, ES staff discuss the matter with BA staff, who consider interviewing the jobseeker. A member of BA staff is dedicated to taking action on changes of circumstances.
EPs were introduced in October 1996. They are designed to help long-term unemployed people who are returning to work with their rent and council tax during the transition from benefits to wages. It is therefore important that BA, ES and LAs have systems in place to ensure these claims are processed quickly.
ES staff give all jobseekers information on the EP scheme at the intervention interviews. When a jobseeker is sent notification of the intervention interview, an EP claim form is also included.
ES staff accept and annotate EP claims from jobseekers. They immediately pass the forms to BA staff on site, who complete the necessary information on the form before referring it to SABC. Both ES and BA staff aim to ensure claims are dealt with on the day of receipt.
There are no posters advertising HB and CTB in the ES reception. There were posters advertising in-work benefits, but no specific reference to HB or CTB, including the EP scheme. The ES corporate framework precludes the use of non-ES posters, but there is some provision for local posters to be used in a designated area of the office. We recommend that the EP scheme should be advertised in this designated area of the office.
During the inspection we examined 10 cases where claims for an EP had been made and found that:
We examined the post received at SABC
from BA and ES on 15 April 1999.
Figure F.6 shows details of NHB/CTB claim forms received.
| Fig. F.6: Post received at SABC 15 April 1999 | ||||
|
Type of post |
Target |
Received within target |
Received outside target |
Not date stamped |
| NHB/CTB claim forms |
2 working days |
1 |
3 |
2 |
Source: BFI analysis
Figure F.6 shows that SABC receives some NHB claim forms outside the prescribed timescales and that BA and ES do not date stamp all forms. Regulation 72(5) of the Housing Benefit (General) Regulations 1987 and regulation 62(5) of the Council Tax Benefit (General) Regulations 1992 state that for people claiming either IS or JSA(IB) the effective start date of a claim is the date the claim form was received at the DSS or DfEE offices, or the benefit was awarded. It is therefore essential that BA and ES date stamp all NHB1/CTB1s on receipt.
ES staff do not receive HB and CTB training. With the exception of the EP scheme, there was little understanding of the main issues affecting HB and CTB. The absence of structured liaison between the 2 organisations appears to be the main factor contributing to this lack of awareness.
It is important that both organisations are kept informed of any major developments involving their respective benefits. We recommend that awareness training is provided to ES staff, covering the main elements of HB and CTB and supplemented by a programme of exchange visits to improve liaison.
ES benefit fraud investigation teams merged with BA benefit fraud investigation teams in April 1996 to form BFIS.
ES staff are well placed to identify suspected abuse of the benefit system as they have regular contact with jobseekers. ES staff have received fraud awareness training from BFIS and are aware of the need to refer suspicious cases using form QB21. There is little contact with SABC fraud investigators and there are no referrals made direct to SABC.
We recommend that ES staff receive LA fraud awareness training to equip them to recognise potential HB/CTB fraud in order to make appropriate referrals to SABC.