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8 March 2005 - Benefit Fraud Inspectorate (BFI) Good Practice Review: Rotherham Metropolitan Borough Council

The Secretary of State for Work and Pensions, Alan Johnson, has today published a Good Practice Review by the BFI on the administration of Housing Benefit and Council Tax Benefit and counter-fraud activity undertaken by Rotherham Metropolitan Borough Council.

In 2003/04, Rotherham Metropolitan Borough Council administered some £60 million in housing benefits, 15 per cent of its gross revenue expenditure.

BFI found that a partnership between the Council and British Telecom has provided the benefits service with a clear strategic and modern IT conducive to a more effective service to customers.

Rotherham is in the top quartile of all councils for the speed of processing new claims and changes of circumstances.

This performance was maintained during the implementation of the Verification Framework. Proactive case management, using accurate management information, has enabled managers and team leaders to identify potential processing delays and take appropriate action.

On top of this, considerable improvements have been made to prevent, deter and detect fraud by introducing comprehensive counter-fraud policies and using the full range of sanctions. Other Councils may well be able to learn from Rotherham’s approach.

BFI is an independent unit within the Department for Work and Pensions that reports directly to the Secretary of State for Work and Pensions on the standard of benefit administration and counter-fraud activity.

Notes for editors

  1. The Good Practice Review at Rotherham Metropolitan Borough Council included an initial fact finding stage, an on-site visit, and production and clearance of the Review. The on-site visit took place during October and November 2004.
  2. One of the Benefit Fraud Inspectorate helps improve the effectiveness and security of benefits administration by disseminating good practice. Good Practice Reviews identify practices and procedures that can help other local authorities.
  3. In its response to the Housing Green Paper of November 2000, the Department for Work and Pensions developed a performance framework for housing benefits. The Housing Benefit and Council Tax Benefit Performance Standards, published in April 2002, enable local authorities to make a comprehensive self-assessment of whether they deliver benefit effectively and securely. These are the standards that the Department for Work and Pensions expects local authorities to aspire to and achieve in time.
  4. The Department for Work and Pensions has not set a timescale for when the standards need to be met by local authorities.
  5. BFI inspects against the seven functional areas of the Performance Standards:
    • Strategic management – clearly stated aims and action, resources and monitoring, with effective training and IT
    • Customer services – providing an efficient and prompt service that meets the needs of all customers and persons with a legitimate interest in a claim
    • Processing of claims – speedy and accurate claims processing with effective verification
    • Working with landlords – to give private landlords the confidence to let to customers and to support delivery of social housing
    • Internal security – preventing internal fraud
    • Counter-fraud – deterring, preventing, detecting and pursuing fraud
    • Overpayments – preventing, identifying and recovering overpayments.
  6. The HB/CTB Performance Standards can be downloaded from: www.dwp.gov.uk/housingbenefit/publications/2003.
  7. Media copies of the BFI Good Practice Review can be obtained from the Department for Work and Pensions Press Office on 020 7238 0866.
  8. All BFI inspection reports can be found on the BFI website – www.bfi.gov.uk.

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