Housing benefit debate

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Questions have been asked recently concerning Test Valley’s Housing Benefit payments. The matter was discussed at this evening’s Overview and Scrutiny Committee where I am the Economic Portfolio lead member. Debate centred around the report to OSCOM on the economic portfolio review.

Particular points of concern were the level of Housing Benefit overpayment (£773,000), the time taken to process claims (29 days), and a number of cases where large amounts of money had been paid to residents with substantial amounts of cash in the bank. The level of overpayment is worrying but is small compared to the total amount paid out (£17,500,000).

Every effort is being made to reclaim that money. Delays in action are a result of staff shortages. I was assured staffing problems have now been resolved and the problem is being addressed. Staff shortages also meant the time taken in dealing with cases, currently 29 days, is worse than the council’s target of less than 22 days. Again the performance is improving.

Every effort is being made to recover money and take action against fraudsters and money has been recovered in several high profile cases.

I am concerned that where claimants with large amounts of money in the bank defraud the council of thousands of pounds they appear to get away with paying a fine whereas those claimants with no resources face legal action for relatively small over-claims. I have been assured by officers that every case is considered in detail and action taken is the most appropriate and effective in each case.

I and my colleagues will continue to monitor the performance of the revenues service.

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