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					Department for Work and Pensions
Simplification Plan 2008-09
Department for Work and Pensions - Simplification Plan 2008-09



Contact details
Philip Martin
Better Regulation Unit, Strategy Directorate

Email:          Philip.martin1@dwp.gsi.gov.uk
Direct line:    020 7962 8767




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Department for Work and Pensions - Simplification Plan 2008-09



Contents
Foreword from Sir Leigh Lewis KCB, Permanent Secretary

Introduction

Chapter 1: Progress against the Administrative Burdens Reduction target
1.1 Context
1.2 Target
1.3 Burdens introduced since 11 December 2007

Chapter 2: Further simplification
2.1 Pensions
2.2 Statutory Sick Pay

Chapter 3: Service Transformation – Developing a Culture of
Simplification
3.1 A culture of simplification
3.2 Transforming our services
3.3 How the DWP Change Programme is transforming Service Delivery
3.4 Changing the culture of DWP – focusing on the customer and engaging our
people

Chapter 4: Simplification for our customers
4.1 Reducing the burdens on our customers

Chapter 5: Simplification for Service Delivery Partners
5.1 DWP Commissioning Strategy

Chapter 6: Working with the wider public sector
6.1 Working with other Government departments and Local Authorities
6.2 Datastream reductions


Annex A – Delivered Simplification Measures for Business, the Department’s
          customers and the Public Sector

Annex B – Future Simplification Measures for Business, the Department’s
          customers and the Public Sector

Annex C – Regulatory Flow

Annex D - Data Requests Made by DWP to Local Authorities




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Foreword from the DWP’s Permanent
Secretary
                      Almost everybody in the United Kingdom will have
                      some contact with the Department at some point in
                      their lives and so it is only right that we should place a
                      high importance on reducing the burdens we impose
                      on all our customers.

                      DWP develops all its policy and services to ensure that,
                      when we regulate, we do so with a light touch and in a
                      way that ensures we do not create unnecessary
                      burdens on business, our customers or our staff.

Simplification plays an important part in the DWP’s programme of reform.
Building it into the way we develop policy and processes, and engage with
customers, allows us to deliver high quality services and value for money.

This is our third simplification plan. It sets out:

   •   the fact that the Department has exceeded its 25% administrative
       burdens reduction target two years before the target date of 2010;

   •   the work that is being undertaken to identify possible further
       reductions;

   •   how the Departmental Change Programme and Benefit
       Simplification Programme are delivering real efficiency savings;

   •   details of how the Department intends to meet its target of reducing,
       by 30%, the number of data requests it makes to the public sector;
       and

   •   how the Department is taking the lead in Whitehall on simplifying
       access to services through Directgov and the development of Tell
       Us Once.

The simplification measures in this plan have been developed with
considerable help from our stakeholders and our members of staff. Their
contribution has been instrumental to the achievements we have made in
reducing burdens and I would like to thank them for helping us make a
difference.

There is, of course, more to do in this critically important area but our plan
shows that we are making progress and are determined to achieve more.


Leigh Lewis
December 2008


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Introduction
Background

1.   The Department for Work and Pensions exists to:

     •     contribute towards fair, safe and fulfilling lives, free from poverty
           – for children, people in work and retirement, disabled people
           and carers;

     •     reduce welfare dependency and increase economic
           competitiveness by helping people to work wherever they can
           and employers to secure the skills and employees they need;
           and,

     •     provide greater choice and personalisation and higher quality of
           service for customers where it is in their interests and those of
           the taxpayer.

2.   The Department directly delivers a range of services to over 20
     million customers. Just about everyone in the United Kingdom will
     deal with the Department or one of its businesses at some point in
     their lifetime.

3.   In order to deliver these objectives we need to ensure that we
     minimise the administrative burdens we place on those we interact
     with. Lifting the load placed in the delivery of benefits and services
     releases vital resources for the objectives of getting people into work,
     paying benefits and supporting our customers as well as providing a
     better experience for our customers, those that provide services for
     us and those that we work with to achieve our objectives.

4.   The Capability Review for the Department for Work and Pensions
     published in July 2008 reported that DWP, as Whitehall’s largest
     Government Department, is in good shape and delivering a better
     service to its customers. The review shows that, as well as improving
     customer service, we have also increased productivity by 11% since
     2004 and hit efficiency targets saving over £1bn in costs while
     reducing 30,000 posts.

5.   The review also notes that the Department has continued to deliver
     its core business successfully whilst implementing a major change
     programme and playing a leading role in the cross-government
     shared services agenda. The overall Department ratings show
     improvements in every key area being measured since 2006.




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Administrative Burdens

6.     This simplification plan will set out how DWP has exceeded the target
       all Government Departments set themselves in 2005, of reducing by
       25% the administrative burdens 1 placed on business by 2010. The
       Department has, to December 2008, delivered an overall reduction in
       administrative burdens of 29%. This total has been achieved through
       changes to regulations covering pensions, housing benefit, social
       security, Employers’ Liability Compulsory Insurance and Statutory
       Sick Pay. The figure also takes account of any new regulations
       introduced.

7.     Achieving our administrative burden reduction target is just part of a
       larger body of work on Better Regulation. We will continue to look for
       ways to make our existing regulations simpler and less burdensome
       to comply with. We will also continue to ensure that the Better
       Regulation principles are embedded in the way the Department
       makes policy, ensuring that full consideration is being given to the
       potential burden from any new regulations introduced since 2005.

Policy Burdens on Business

8.     Whilst our target is concerned with reducing administrative burdens
       on business, the Department is also committed to reducing policy
       burdens to the minimum necessary to achieve our social policy aims.

9.     To take one example, we have sought over the last 12 months to
       design a low cost system of retirement savings, through a personal
       accounts scheme that will significantly increase the proportion of
       people making adequate provision for their retirement.

10. The Government has worked hard to build a broad-based consensus
    to ensure these reforms can stand the test of time. DWP has carried
    out comprehensive consultation to help build and maintain this
    consensus. We have engaged extensively with stakeholders and the
    public through seminars; debates; online forums; and regular
    meetings with stakeholder organisations.

Reducing Burdens on Customers, the Third Sector and our Front
    Line

11. As we look at the burden of our policy and regulation across our
    processes we will look further at the impact on customers, the third
    sector and our front line.

12. Benefit Simplification Unit: The Department’s Benefit Simplification
    Unit’s remit is to reduce complexity in the current benefits system

1
  Administrative burdens refer to the administrative activities required by regulation such as the cost
to business of requiring the display of insurance certificates on the wall at each place of business
rather than allowing the electronic display via a company intranet site.



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Department for Work and Pensions - Simplification Plan 2008-09


        (both regulatory and operational) to ensure a greater understanding
        of how the system works for the Department’s customers, their
        advocates, other service users and the staff who administer benefits.
        The Benefit Simplification Unit has provided an internal challenge
        function to ensure that efforts to remove complexity, for both staff and
        customers, are integrated into Departmental decision making.

13. Change Programme: The DWP Change Programme has embarked
    on a major programme of change to transform the way we deliver our
    services. We are focusing service delivery on the customer’s whole
    needs whilst at the same time increasing efficiency. This means
    putting the customer at the heart of everything we do: joining up
    services, bringing together some common functions, and supporting
    these changes with improved IT systems.

14. Customer Insight: The Customer Insight team are generating a
    deep knowledge and understanding of our customers, with their help,
    to inform the design and delivery of future services. This will ensure
    that future policies and services are more successful and more cost-
    effective in meeting the needs of both customers and the
    Department.

15. Private sector and the Third Sector bidding for contracts: In
    March 2008, we published the DWP Commissioning Strategy 2 which
    sets out the principles for engaging with external organisations in
    delivering Welfare to Work services. This document brings clarity to
    the commissioning and commercial process for DWP Welfare to
    Work activity. It also contains a 'code of conduct' setting out how we
    expect prime contractors and sub-contractors to work together to
    deliver high quality services. The principles in this code of conduct
    were further expanded as part of the Flexible New Deal procurement.

16. Tell Us Once: Tell Us Once is a major programme being led by the
    Department on behalf of Government as a whole. It aims to transform
    the way in which people tell central and local Government about
    changes to their circumstances. It is examining whether it is feasible
    for people to tell Government only once about a birth, death or
    change of address, and for this information to be passed on their
    behalf to other relevant departments.

17. This plan has been published on the Better Regulation page of the
    Department’s website 3 . We would welcome any suggestions for
    further simplification and these can be submitted through the Better
    Regulation Website at http://www.betterregulation.gov.uk/ . The site
    allows you to track your suggestion and you will receive a response
    within 90 days.


2
    http://www.dwp.gov.uk/publications/dwp/2008/com-strategy/cs-rep-08.pdf
3
    DWP website – Better Regulation http://dwp.gov.uk/aboutus/better_regulation/


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Chapter 1: Progress against the
Administrative Burdens target

1.1 Context

18. The 2005 Administrative Burdens Measurement Exercise estimated
    the costs of the administrative burdens placed by Government on
    businesses, charities and the voluntary sector by regulation. The
    Standard Cost Model, used in the exercise, provided an assessment
    of the administrative cost of compliance with a regulation.

19. This pragmatic approach to measurement provides indicative data on
    the size of burdens to allow reduction targets to be set and areas to
    focus on to be identified. By providing the Department with a clear
    picture of what our major administrative burdens were, we were able
    to target resources to simplify the most appropriate areas.

20. The administrative burden on business was calculated to be £471
    million per year as at 31 May 2005. This was the baseline from which
    our 25% reduction target was set. This target reduction was to be net
    of any new burdens introduced since 2005.

1.2 Target

21. The Department’s current target for reducing the administrative
    burden is £118 million, net of new burdens. In the last three years the
    Department has achieved net reductions totalling £136 million against
    a target of £118 million per year. This means that the Department has
    exceeded its 25% admin burden reduction target two years ahead of
    schedule. Work is ongoing in the areas of Statutory Sick Pay and
    Private Pensions to identify further reforms which we hope will push
    the total reductions past 30%.

Table 1: Progress against Administrative Burden target to December
         2008

Regulation                                                          Reduction (£m)
Personal Pension Schemes (Payments by Employers) Regulations 2000        24
Occupational Pension Schemes (Member-nominated Trustees and
                                                                         16
Directors) Regulations 1996
Housing Benefit (General) Regulations 1987                               11
Social Security (Recovery of Benefits) Act 1997                          1
Pensions Act 2004 – The Pension Regulator                                1
Total for Simplification Plan 2006                                       53




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Regulation                                                                     Reduction (£m)
The Occupational Pension Schemes (Minimum Funding Requirement and
                                                                                      40
Actuarial Valuations) Regulations 1996
Sections 56 – 61 of the Pensions Act 1995 - Minimum Funding
                                                                                      24
Requirement
Parts of Section 111a of the Pensions Schemes Act 1993                                1
Total for Simplification Plan 2007                                                    65


Regulation                                                                     Reduction (£m)
Occupational Pension Schemes (Member-nominated Trustees and
                            4                                                         7
Directors) Regulations 1996
The Employers' Liability (Compulsory Insurance) Regulations 1998                      58
Statutory Sick Pay (General) Regulations 1982                                         4
Total for Simplification Plan 2008                                                    69


Total gross administrative burdens reduction as at December 2008                     187



22. The major administrative burden reductions delivered in 2008 arise
    from changes to the Employers' Liability (Compulsory Insurance)
    Regulations 1998 and to record keeping requirements relating to
    Statutory Sick Pay.

1.3 Burdens introduced since 11 December 2007

23. In the year to December 2008 the Department has not introduced any
    regulations that have a significant effect on business. Those
    regulations that have been introduced have only had a negligible
    impact on the private sector.

24. The Department announced in the 2007 plan that we had introduced
    6 new regulations that imposed a combined administrative burden of
    £51m per year. These are reproduced in the table below.

Regulation                                                                  New Burdens (£m)
The Occupational Pension Schemes (Scheme Funding) Regulations 2005                    28
The Occupational Pension Schemes (Administration and Audited Accounts)                16
(Amendment) Regulations 2005
The Occupational Pension Schemes (Consultation by Employers and                       4
Miscellaneous Amendment) Regulations 2006
The Occupational Pension Schemes (Early Leavers) Regulations 2006                     1
The Occupational and Personal Pension Schemes (Miscellaneous                          1
Amendment) Regulations 2006
Total of other regulations placing negligible burden                                  1
Total                                                                                51 5



4
  This adjustment has been made to more accurately reflect the administrative burden estimated in
the 2005 Administrative Burdens Measurement Exercise and was approved by an independent
External Validation Panel, whose members include representatives from the CBI, IoD, BCC, FSB
and TUC.
5
  These values were assessed by PricewaterhouseCoopers who undertook the original
administrative burdens measurement exercise and were validated by a panel of independent
pensions industry representatives.



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Department for Work and Pensions - Simplification Plan 2008-09


25. Impact assessments are prepared for all regulations that have an
    effect on business, the public or third sector and includes an
    assessment of the administrative and policy costs. This allows us to
    constantly review the level of administrative burdens and policy costs
    to ensure that we are fully accounting for any new burdens.

Table 3: Summary of Progress on Administrative Burden Reduction
         Target

Milestones                                                   Net Reduction (£m)
DWP administrative burden baseline                                  471
Admin burden reduction target of 25%                                118

Savings delivered from simplification plan 2006                          53
Savings delivered from simplification plan 2007                          65
Savings delivered from simplification plan 2008                          69

Total burdens introduced since 1 June 2005                               51

Total net administrative burdens savings by 2008                     136 (29%)

Table 4: Administrative Burden Reduction Trajectory

480

460

440

420                                                              Admin Burden Reductions
                                                                 (Actual)
400
                                                                 Admin Burden Reduction
380                                                              Target
                                                                 25% Reduction Level
360

340

320

300
       2005     2006     2007     2008       2009   2010



26. The graph above shows the Department’s progress against the
    administrative burdens reduction target. The pink line shows a steady
    reduction towards the 25% reduction level and the blue line illustrates
    actual trajectory so far.




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Department for Work and Pensions - Simplification Plan 2008-09



Chapter 2: Further Simplification
2.1 Pensions

27. In our 2007 Simplification Plan we reported that we were exploring
    how the existing disclosure regulations could be replaced with a set
    of lighter touch principles. A Working Group has concluded that a
    purely principles based approach would not be appropriate and that
    some degree of prescription would be required.

28. Many pension schemes, particularly small schemes, wanted certainty
    as to whether they were compliant with the law. The group therefore
    suggested that we explore the possibility of a principle that disclosure
    should "reflect members best interests" but combine this with a
    prescribed minimum standard for disclosure set out in regulations.
    The group also accepted that legislation must remain compliant with
    European law. In light of this we are examining how best to strip
    back and amend legislation to significantly reduce scheme disclosure
    costs, and whether inserting a principle into legislation would be
    effective in helping to achieve this.

29. Provisions have been made to abolish defined contribution
    contracting out and measures in the Pensions Act 2008 will remove
    all the rules on past protected rights (contracted out defined
    contribution rights). This is a major simplification measure for pension
    schemes.

30. We are also working to ensure that Department’s rules on trivial
    commutation of contracted out rights continue to remain consistent
    with HMRC requirements to keep burdens on pension providers to a
    minimum.

31. The reduction to the revaluation cap from 5% to 2.5% is included in
    the Pensions Act 2008. This change potentially opens up savings, on
    average, of around £250 million per year in the long term for
    employers. The Act also includes provisions to simplify pension
    sharing on divorce arrangements.

32. The Government is consulting on regulations which will provide a
    statutory override to help schemes with inflexible rules to take
    advantage of the reduction to the revaluation cap and an earlier
    reduction of the cap on limited price indexation. An override in
    respect of the latter is estimated to result in savings of up to £20
    million per year in the longer term.

33. We are also addressing other recommendations from the
    independent Deregulatory Review Report of July 2007. We are
    consulting stakeholders on various options in relation to surplus and
    employer debt with a view to easing the legislative burdens, as long



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Department for Work and Pensions - Simplification Plan 2008-09


        as that can be balanced with maintaining a suitable level of protection
        for members.

34. The Pensions Act 2008 gives effect to the Government’s proposals
    on pension reform, including the introduction of a series of employer
    duties aimed at increasing participation in pension saving and
    proposals to create a new low-cost pension scheme known as
    Personal Accounts. These proposals were developed through
    consultation in the White Papers Security in Retirement: towards a
    new pension system 6 published in May 2006; and Personal accounts:
    a new way to save 7 published in December 2006.

35. The responses to the White Papers highlighted the consensus behind
    the proposal to introduce the personal accounts reform. Stakeholders
    across the spectrum support the need for reform and the
    Department’s approach to its delivery.

36. Minimising burdens on employers and complementing rather than
    undermining the existing pensions market are guiding principles in
    the development of the pension reforms. Ministers and officials have
    worked hard with stakeholders from the business community to
    achieve this through formal consultation and regular informal
    dialogue. Impact assessments are published at all stages of the
    implementation and can be found on the Department’s website at:
    www.dwp.gov.uk/pensionsreform/new_way_ria.asp .

2.2 Statutory Sick Pay:

37. The Department is continuing to work with HMRC to assess whether
    further reductions in the requirement for employers to maintain and
    furnish records relating to Statutory Sick Pay are feasible.




6
    http://www.dwp.gov.uk/pensionsreform/whitepaper.asp
7
    http://www.dwp.gov.uk/pensionsreform/new_way.asp



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Chapter 3: Service Transformation –
Developing a Culture of Simplification

3.1 A culture of simplification

38. Our ambition is to become an exemplar of service delivery. To
    support this we have developed a strategic vision through our
    Business Strategy which is supported by wider policy simplification.
    This brings together, for the first time, our strategy for customer
    outcomes and how we, as an organisation, will deliver them.

3.2 Transforming our services

39. In 2007, the Department set up the DWP Change Programme to
    deliver our vision for customers - “Work, Welfare, Well-being, Well
    delivered”. The Change Programme is focused on:

     •     improving our internal processes across end-to-end customer
           journeys to focus on things that add value to our customers
           and/or eliminating processes that do not;

     •     building the capability of our online services to allow customers
           to access information, view entitlement and receive services
           online;

     •     transforming our telephony to enable staff to quickly answer a
           range of customer enquiries in a single call;

     •     improving the customer experience of those customers who, at
           present, have to deal with more than one DWP business; and

     •     improving handling of information so that we do not ask
           customers again for information that we already hold.

3.3 How the DWP Change Programme is transforming Service
    Delivery

40. Research is enabling us to understand our customers and their
    overall views and experience of the service they receive, rather than
    just understand the service we give them. We are building that
    understanding into the design and delivery of better services.

41. We aim to improve the quality of our customer service when
    customers contact us so that we reduce duplication and redirection
    for them and, in turn, increase our efficiency. We will make it easier
    for customers to understand how to contact us through a variety of
    channels to meet their overall needs.


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42. Early priorities include:

     •    building continuous improvement into everything we do;

     •    delivering joined up processes for customers without the customer
          having to repeat information:

           i. by using fewer contact telephone numbers and making it
              clearer to customers which number they can call to meet
              their main need;

           ii. by then aiming to answer their query in that single call or
               through a single transfer to another person in the
               Department; and

           iii. by standardised 0800 numbers for customer contact about
                new claims and 0845 for other contacts. Recognising that
                this will not ensure that all calls are free to the customer, we
                will be consistent in offering to call back customers using
                mobile phones or non-BT landlines.

     •    better management of customer information across benefits and
          services rather than benefit by benefit or within a single DWP
          business; and

     •    providing a wider self service capability for our key customer
          groups.

43. IT capabilities are being developed across the Department in order to
    support this improved service delivery.

3.4 Changing the culture of DWP – focusing on the customer and
    engaging our people

44. The Change Programme is responsible for leading the introduction of
    continuous improvement using Lean techniques across DWP to
    ensure that we:

      •    focus on what we deliver, and how we deliver it, on what really
           adds value to our customers;

     •     deliver the very highest standards of customer service;

     •     continue to develop the capability of our staff and their
           understanding if our customers;

     •     deliver value for money - live within our means; and

      •    develop solutions collaboratively by using customer insight and
           frontline staff expertise.


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45. We reported on our first three Lean pathfinder initiatives in our 2007
    Simplification Plan. Since then, we have completed a first tranche of
    initiatives which has realised real benefits for customers, such as:

     •     significant eradication of waste from the customer perspective;
           and

     •     where we have carried out lean work, we have dramatically
           reduced processing times – up to 50% quicker in some cases.

46. Our second tranche of initiatives are now underway and include:

     •     developing the International Pension Centre, Newcastle as the
           centre for Lean learning in the North East; and

     •     improving the quality and speed of response we offer working
           age and sick or disabled customers who write to our DWP
           Ministers or their local Member of Parliament.

47. Over the next 18 months we fully expect to see further customer
    service improvements through greater staff engagement and
    realisation of efficiency gains as our Lean capability continues to
    grow across the Department. Already more than 10,000 staff (some
    10%) have attended Lean awareness and leadership training.

48. The detail of some of the Change Programme initiatives is found
    below at Chapter 4 - Simplification for our customers.




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 Chapter 4: Simplification for our customers

4.1 Reducing the burdens on our customers

49. The Department has some level of contact with almost every citizen
    in the country at some point in their lives. It is only right, therefore,
    that we should place high importance on reducing the burdens we
    impose on our customers.

50. In addition to those measures that have a subsidiary impact on our
    customers such as those targeted at staff, noted in Chapter 3, the
    Department is taking forward a number of work streams that focus
    specifically on what can be done to reduce burdens on the customer
    and improve the customer experience more generally.

51. The DWP Change Programme will deliver the Department’s vision for
    customers (described in Chapter 3 - Service Transformation –
    Developing a Culture of Simplification). The intention is to design
    services around what really adds value to customers so that they are
    easy to access and understand. As part of this programme we have
    already put in place a number of improvements such as:

     •     Self Service: an increasing number of customers want to
           engage with DWP over the Internet through Directgov. To
           respond to this we are improving and increasing the number of
           services that we offer. DWP self service went live in April 2008
           and already more than 175,000 visitors have accessed the site.
           The services can be accessed through Directgov. October 2008
           saw the launch of an enhanced Benefit Adviser Service where
           customers can now get advice on entitlement for up to 28
           benefits, pensions and credits and how to claim them; and

     •     DWP Signposting Directory: this enables frontline staff to
           direct customers to the right person quickly - regardless of
           where they access the Department and hence gives customers
           easier access to our services.

52. By the end of 2009 we will deliver the following customer service
    improvements:

     •     for customers moving from working age to pension age benefits,
           we will re-use the information we already hold and share this
           within the Department. So for many customers, they will simply
           have to confirm that the information is correct to claim their
           pension benefits;

     •     customers will be able to claim State Pension online using
           information we already hold;



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     •     customers – or their representatives – of more than one DWP
           product or service will be able to report a change of address,
           method of payment or date of death once to a single point; and

     •     staff will be able to access customer information on a single
           screen on their desktop and this will enable a wider range of
           customer queries to be answered at the first point of contact.

53. We plan to go further in delivering a first class service for customers
    and by 2011, customers will have a wider choice of fast secure
    methods for communicating with DWP:

      •    all customers will be able to have a personal online account with
           DWP;

      •    be able to submit claims on line and track progress; and

      •    Citizens Advice Bureau will, with the customer’s permission,
           have access to customer data – this will enable them to instantly
           address benefit queries for their clients.

54. Customer Insight. In his response to the 2006 Capability Review
    report, the Permanent Secretary made a commitment to “put in
    place…a specific capability, spanning the Department as a whole and
    reporting directly to the Executive Team, dedicated to better
    understanding our customers and their needs so that we can respond
    to them seamlessly across the Department”.

55. By mid 2007, the new DWP Corporate Customer Insight function was
    up and running, providing a centre of expertise for the Department
    and delivering a number of collaborative projects to ensure our
    customers have a say in the running of our businesses.

56. The Customer Insight function is enabling the design and delivery of
    future services that are more successful and more cost-effective in
    meeting the needs of both customers and the Department. The
    objectives of the function are to:

     •     generate a deep knowledge and understanding of, and with, our
           customers to inform the design, development and delivery of
           policies and services;

     •     build organisational capability across the Department to
           generate and apply customer insight; and




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        •     challenge and influence attitudes and behaviours - promoting a
              culture that puts our customers at the centre of everything we
              do.

57. Independent Case Examiner. The Independent Case Examiner
    service provides more than just a service for resolving complaints.
    Knowing customer expectations and the extent to which they are
    being met is essential to improving services. This customer insight
    tells us where the service might be improved to the benefit of
    customers and to make it more efficient and effective.

58. Benefit Simplification continues to play a crucial part in our
    ambitious programme of welfare reform: for example, the roll-out of
    the Local Housing Allowance in April 2008 makes the system simpler
    and helps speed up the administration of housing payments. The
    introduction of Employment Support Allowance on 27 October
    replaced two benefits - Incapacity Benefit and Income Support for
    those with an illness or disability - with a single allowance for new
    claimants.

59. On 21 July the Department published a Green Paper ‘No one written
    off: reforming welfare to reward responsibility’ 8 which sets out the
    Government’s plans to offer increased support to benefit recipients in
    return for increased responsibility.

60. The proposals include simplifying the benefits system by moving
    towards a system based on just two working age benefits; the
    Employment and Support Allowance for those who are for a period
    unable to work due to a medical condition and Jobseeker’s Allowance
    for everyone who can work. Closing date for responses to the Green
    Paper was 22 October 2008 to be followed by a White Paper in
    December and a Bill next year.

61. Benefit Complexity study. Our findings are that there is neither a
    single metric nor a suitable collection of data from existing sources
    that could provide a reliable measure of complexity. We now believe
    that a better approach may be to focus on measuring complexity from
    the customer’s point of view and to look at the burdens that
    customers may face when interacting with the benefit system.

62. The Department has commissioned some research to measure
    potential burdens. The work focuses on better understanding the
    particular obstacles that citizens face when making a claim. This will
    allow the Department to review the claiming process, as appropriate,
    in order to determine ways to make it more customer-friendly. This is
    in line with the Department’s objective to become an exemplar of
    service delivery.


8
    http://www.dwp.gov.uk/welfarereform/noonewrittenoff/


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Department for Work and Pensions - Simplification Plan 2008-09


63. Work has started with a qualitative study of Jobseekers Allowance
    claimants. The results of this study will be reported alongside the
    results of a larger quantitative survey, in order to provide in-depth
    analysis on certain aspects of the claiming process. Results of the
    quantitative study are expected towards the end of 2008. A report of
    the findings will then be prepared.

64. Customer transitions. Work is progressing which will enable us to
    manage customer information across benefits and services rather
    than benefit by benefit or within a single agency. A new change of
    circumstance process and supporting IT has been piloted at the
    Wrexham Benefit Delivery Centre. Evaluation of the pilot will inform a
    decision on roll out of this initiative before end of 2008.

65. We have identified where DWP processes caused the most
    inconvenience for the 180,000 customers who make the transition
    from working age benefits to pension age every year. We have
    identified what needs to change in order to provide better service,
    generate less confusion and drive out inefficiency for these
    customers and for DWP. The solutions are now being implemented
    through the Change Programme.

66. Customer benefit impact assessment. We are working to ensure
    that project management and corporate governance decision-making
    across the Department have a customer-led approach. This includes
    the development and testing of a customer benefit impact
    assessment in order to provide a more robust assessment of the
    customer benefits to be delivered by our projects.

67. Research on identifying people not claiming their full benefit
    entitlement: The Pension, Disability and Carers Service has a
    computer model aimed at identifying pensioners who are entitled to
    Council Tax Benefit but not getting it. Four volunteer Local Authorities
    are involved. This research started in October 2008 and will run for
    three months.

68. Reform of the child maintenance system. The wide-ranging
    changes introduced by the Child Maintenance and Other Payments
    Act 2008 address the constraints and weaknesses of the current
    system by delivering a simpler, more transparent and cost-effective
    service, and includes:

     •     extending the same options for arranging child maintenance to
           all parents, enabling them to choose the arrangements which
           best suit their circumstances;

     •     ensuring more money is delivered to lower income families, by
           extending and increasing the amount of child maintenance paid
           that parents can keep until it affects their benefits;



                                         19
Department for Work and Pensions - Simplification Plan 2008-09


     •     providing an information and support service, to enable parents
           to make an informed choice about the arrangements that best
           suit their circumstances;

     •     tackling non-compliance and debt collection, through an
           enhanced enforcement regime and improvements in debt
           management; and

     •     simplifying and streamlining assessments and improving the
           collection process for the statutory maintenance service.

69. The Child Maintenance and Enforcement Commission took
    responsibility for the Child Support Agency from 1 November 2008.
    The Child Support Agency will continue to manage the current child
    maintenance schemes on behalf of the Commission until the new
    statutory maintenance scheme, based on gross income details
    supplied by HM Revenue and Customs, comes in. The Agency will
    also complete the third and final year of its Operational Improvement
    Plan which is delivering significant improvements for clients. In the
    year to September 2008 the Agency collected almost £1.1 billion in
    maintenance. More children than ever are now benefiting from
    maintenance, the number of uncleared applications has decreased to
    and new applications are being cleared more quickly.




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Department for Work and Pensions - Simplification Plan 2008-09



Chapter 5: Simplification for Service Delivery
Partners

5.1 DWP Commissioning Strategy

70. Tendering arrangements. We have made it easier and simpler for
    organisations to tender with DWP by introducing a range of measures
    as part of the Flexible New Deal procurement (launched in March
    2008). These have included:

     •     running a large number of pre- and post-procurement
           information events across England, Scotland and Wales to
           make potential prime contractors and sub-contractors aware of
           our requirements and how they can engage with us;

     •     publishing details of potential prime contractors and sub-
           contractors on our internet site to facilitate networking
           opportunities;

     •     enabling bidders to complete one pre-qualification questionnaire
           regardless of the number of contracts they are bidding for;

     •     simplifying our terms and conditions, including making it clearer
           which elements of the DWP terms and conditions also apply to
           sub-contractors; and

     •     working with a provider consultation group to fund 'commercial
           awareness' training for smaller organisations to place them in a
           better position to act as sub-contractors; required prime
           contractors to include 'letters of intent' from all their sub-
           contractors in their tenders to DWP; put in place escalation
           procedures directly to DWP for sub-contractors who feel they
           have been badly treated by prime contractors; and published
           good practice for prime contractors and sub-contractors on how
           their relationships should be set up and managed.

71. Harmonisation of service contract terms. The Commercial Policy
    & Process team are currently undertaking a review of the standard
    terms and conditions used in service contracts. This review will
    harmonise service contract terms across Government departments,
    in line with the Office for Government Commerce standard.

72. Implementation of the full revised terms and supporting guidance
    across DWP service contracts will be by January 2009.

73. Measuring the burdens imposed on Third Sector organisations.
    The Department is working with New Philanthropy Capital, a charity
    that advises donors and funders on how to ensure their money has


                                         21
Department for Work and Pensions - Simplification Plan 2008-09


     high impact. The aim is to provide case study evidence of the burden
     from monitoring and reporting requirements experienced by the Third
     Sector when engaging with the Department’s contracts. New
     Philanthropy Capital identified representative Third Sector
     organisations with whom a suitable measurement approach could be
     developed. The report was issued in September and we are currently
     considering the implications of this.




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Department for Work and Pensions - Simplification Plan 2008-09



Chapter 6: Working with the wider public
sector
6.1 Working with other government departments and Local
    Authorities

74. Her Majesty’s Revenue and Customs and Local Authorities.
    Many of the Department’s customers are also customers of other
    Government departments. This is particularly true of benefit
    claimants, who are likely to have contact with HMRC as well as their
    Local Authorities. The Department has a strong interest in working
    jointly with these organisations to simplify processes and improve
    efficiency.

75. A joint steering group, chaired by the Permanent Secretaries of
    HMRC and DWP, is overseeing a major programme of joint working.
    Amongst the areas where work is underway are:

     •     fraud - new processes and procedures which will allow future
           joint operations to be more efficient are being explored;

     •     joint Debt Recovery - work has started to look at people who
           owe money to both HMRC and DWP, and consideration is being
           given to where joint working would be most effective to recover
           the debt;

     •     contact centres- the first initiative to share work started in
           November 2007 when Jobcentre Plus Contact Centres started
           to handle Tax Evasion calls on behalf of HMRC. This service is
           now well established and operating effectively, enabling citizens
           to report potential fraud to a single number;

     •     customer insight - establishing a Customer Insight function
           that draws from best practice in both Departments focusing on
           the most customer centric experience; and

     •     face to face - a pilot to house HMRC Enquiry Centres in three
           Jobcentre Plus buildings began in September 2007. Jobcentre
           Plus is continuing to work with HMRC to identify opportunities
           for further co-location.

76. In and Out of Work Project. The In and Out of Work Project is part
    of the Transformational Government work, focusing on improving
    service to the customer by streamlining cross-Government services.
    The aim is to offer more effective access to benefits and services for
    customers who move in and out of work.

77. The In and Out of Work Project team consists of staff from DWP,
    HMRC and Local Authorities. The project responded to customer


                                         23
Department for Work and Pensions - Simplification Plan 2008-09


     insight that identified that customers moving into and out of work
     have to make multiple contacts to three organisations (Jobcentre
     Plus, local authorities and the Tax Credit Office) for their respective
     claims – adding delays to processing times. The process was
     onerous for customers and repetitive with the same information and
     evidence required by the different organisations. This acted as a
     barrier to work with customers reluctant to take up offers of
     employment. New processes were tested and evaluated in 6 diverse
     pilot areas from September 2007.

78. Evaluation of the pilot processes, including customer and staff
    research, has demonstrated an improved customer experience with
    Jobcentre Plus gathering customer information and evidence at the
    first point of contact and sharing it with the Tax Credit Office and local
    authorities. Making changes to benefits more quickly and effectively
    will help encourage customers to take the first step into the labour
    market, particularly to take up short term work. Validated
    performance data revealed better processing times (on average 15%
    faster), reduced overpayments, and significant improvements in the
    completing and processing customer claims.

79. Ministers have approved the phased national implementation of the In
    and Out of Work processes. Rollout is dependent on local authorities
    having a Government Connect link to securely share data. The
    project aim is to complete national implementation by the end of
    2009.

80. Tell Us Once. This is a cross-Government programme looking into
    the feasibility of people being able to inform Government just once of
    a birth or a bereavement. It will later include change of address.
    These changes can directly impact on the amount and type of benefit
    people may receive from local or central Government. Examples are
    Child Tax Credit, Housing Benefit and State Pensions.

81. Our main stakeholders are HM Revenue & Customs and Local
    Authorities. We are also working with the Cabinet Office, HM
    Treasury, Driver and Vehicle Licensing Agency and Department for
    Transport, Identity and Passport Service, Communities and Local
    Government, Improvement and Development Agency, Local
    Government Association and Information Commissioner’s Office.

82. Our research found that nearly half of UK citizens would value such a
    service; and the other half would appreciate the Government making
    it easier for them to find services.

83. Tell Us Once will fit in with existing processes, although some will
    become naturally more efficient as a result of joined up working. We
    will:

     •     re-use established infrastructure, such as IS/IT systems;


                                         24
Department for Work and Pensions - Simplification Plan 2008-09




     •     recognise that staff skills already exist to deliver such a service
           and provide additional development and support; and,

     •     go where customers go and offer a choice of channels.

84. Initial trials were run in Rotherham, Tameside/Walsall,
    Wolverhampton and Southwark, to test different elements of a
    potential service from the early part of 2008. We have now used the
    findings from these to design a full service which began to be tested
    on a larger scale from 6th October. Our Pathfinder service is now
    available to a population of two million people in the North and South
    East and offers a face-to-face and telephone service which will allow
    them to notify central and local government of a birth or death. In
    addition we will provide a secure online service for customers to
    report a death and these will be located as standalone machines in
    local authority premises. Now that testing for birth and death
    reporting is underway, Tell Us Once has begun to consider a change
    of address service.

85. Improving Information Flows between DWP and Local
    Authorities. By providing Local Authority Housing Benefit processing
    staff with direct access to DWP benefit data on the Customer
    Information System we have been able to significantly improve the
    efficiency with which claims for Housing Benefit and Council Tax
    Benefit are handled. For customers this means fewer delays in
    processing claims and greater assurance that they will get the right
    benefit at the right time.

86. For DWP this has meant a reduction in under and overpayments
    associated with processing delays (leading to an estimated saving of
    £1.4 million per year). From July 2008 Local Authority Housing
    Benefit processing staff also have direct access to tax credit data,
    further improving the efficiency of the system (and leading to
    estimated savings of a further £8 million per year previously lost to
    fraud and error). Additional administration savings of £740k per year
    are also estimated due to speedier processing.

87. Council Tax Benefit Take Up. People claiming Pension Credit can
    access Council Tax Benefit (and Housing Benefit) at the same time
    via the Pension, Disability and Carers Service using a shortened
    claim form which is filled in over the phone, which the customer has
    only to sign and send to the local authority.

88. Improving the current process: From October 2008, this process
    has been improved and claims for Council Tax Benefit and Housing
    Benefit claim can be made over the phone, with no need for a claim
    form.




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Department for Work and Pensions - Simplification Plan 2008-09


6.2 Datastream reductions

89. The Government’s Public Services Strategy 9 published in June 2007
    required departments to reduce the number of data requests made to
    frontline public sector staff. Along with other Government
    departments we have agreed to reduce the number of data requests
    that we make to Local Authorities by 30 per cent by 31 May 2010.

90. The Department originally identified 22 different data returns that it
    requests from local authorities in respect of Housing Benefit and
    Council Tax Benefit. These data returns range from management
    information returns which allow the Department to monitor the
    performance of local authorities and help inform policy making to
    financial returns that allow the Department to reimburse local
    authorities for administering Housing Benefit and Council Tax Benefit
    on its behalf.

91. However, 5 of the 22 data requests had already ceased prior to the
    Department setting its 30% reduction target. Therefore we have set
    our target to reduce the number of data requests by 30% by 2010
    against the remaining 17 datastreams.

92. Annex D provides a detailed table of the key Local Authority/DWP
    datastreams on Housing and Council Tax Benefit and shows that out
    of these 17 datastreams, 5 have been switched off since April 2007
    and a further 4 will be switched off by 2010. Therefore, we have
    already almost met our 30% reduction target and are expecting to
    exceed this by May 2010.




9
    Available at: http://www.berr.gov.uk/files/file45149.pdf



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Department for Work and Pensions - Simplification Plan 2008-09




                                                                                                                                                                Annex A
                                      DELIVERED SIMPLIFICATION MEASURES - BUSINESSES
Title                           Type of     Description of measure and Outcome    Cost saving                                               Milestones/
                                Burden                                                                                                      Deadlines
1.1                             Administrative   The Minimum Funding Requirement regulations required                 Annual reduction      December 2005
Replace minimum funding         burden           pension scheme trustees to obtain an actuarial valuation and a       £64m
requirement legislation                          Minimum Funding Requirement valuation. The new regulations
                                                 removed the requirement to obtain a Minimum Funding
                                                 Requirement valuation.
1.2                             Administrative   Amends provision that requires businesses to display the liability   £58m                  Regulations came into
Employers’ Liability            Burden           insurance certificate in a specified way at all business premises                          force from 1 October
Compulsory Insurance                             and abolishes requirement to keep certificates for 40 years                                2008
certificates
                                                 Will give businesses freedom to display certificates in a way
                                                 which best suits staff and structure
1.3                             Administrative   Amend legislation to make less prescriptive, the need for            Annual savings £24m   Implemented April 2006
Improve pension regulations     Burden           pension scheme trustees to make reports to the Pensions
to make payments by                              Regulator. Fewer reports are now filed resulting in benefits for
employers less prescriptive                      both trustees and the Regulator.

1.4                             Administrative   Stakeholders considered that member-nominated trustee                One-off costs £10m    Came into force April
Simplify member-nominated       Burden           requirements had very prescriptive processes and inflexible                                2006
trustee/director requirements                    timetables which made it difficult for schemes to comply with the    Annual savings £23m
                                                 requirement.

                                                 Government policy is for all occupational pension schemes (with
                                                 limited exceptions) to have one third member- nominated
                                                 trustees but how they achieve this is left to schemes to decide.

                                                 The new requirements removed the prescriptive processes and
                                                 timetables. They are simpler, cheaper and more flexible.




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                                      DELIVERED SIMPLIFICATION MEASURES - BUSINESSES
Title                           Type of     Description of measure and Outcome    Cost saving                                                Milestones/
                                Burden                                                                                                       Deadlines
1.5                             Administrative   Landlords no longer required to provide information required by    One-off costs nil        Legislation repealed by
Remove regulation requiring     Burden           Schedule A1 para5 (2) of the Housing Benefit (General)                                      the Asylum and
landlords to provide                             Regulations 1987 to provide information for backdating of          Annual savings £11m      Immigration (Treatment
information for backdating of                    housing benefit claims.                                                                     of Claimants etc) Act
housing benefit claims.                                                                                                                      2004
Backdating provision has                         Customers can now apply for a repayable loan.
been replaced by a repayable                                                                                                                 Implemented
loan.                                                                                                                                        June 2007
1.6                             Administrative   Removal of prescriptive legislation                                Annual savings £1m       April 2006
Simplifies payments by          burden
employers requirements                           Principle-based approach allows trustees/managers to determine
                                                 how to monitor payments
1.7                             Administrative   Following the introduction of Employment and Support               £2.5m                    Regulations in force
Simplify Statutory Sick Pay     Burden           Allowance, reduction in record keeping requirements for                                     from 27 October 2008
Regulations                                      employers and a simplified form for completion which reduces
                                                 the information requirements.
1.8                             Administrative   Remove the requirement to link periods of Statutory Sick Pay       £1.5m                    Regulations in force
Simplify Statutory Sick Pay     Burden           between different employers                                                                 from 1 October 2008
Regulations
                                                 Former employer does not need to collect data or provide
                                                 employees with a form SSP1L.

                                                 Current employer does not have to check a linking provision with
                                                 previous employer or hold this form SSP1L.
1.9                             Administrative   Major business processes are e-enabled meaning that claim          Annual savings           Completed Dec 2005
ICT Solution                    Burden           data can be extracted and sent to Compensation Recovery Unit       £1.5m
Compensation Recovery Unit
(CRU) has created several e                      Allows full end to end Compensation Recovery Unit                  £1m to business
links with Insurers to remove                    process.                                                           £0.5m to public sector
high volume administrative                                                                                          (Department of
tasks                                                                                                               Health)




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                                    DELIVERED SIMPLIFICATION MEASURES - BUSINESSES
Title                         Type of     Description of measure and Outcome    Cost saving                                                   Milestones/
                              Burden                                                                                                          Deadlines
1.10                          Administrative     The Pensions Regulator’s scheme return ensures that the                 One-off costs nil    Implemented May 2006
The Pensions Regulator:       Burden             Regulator has up-to-date information and enables the accurate
                                                 calculation of levies The scheme return is reviewed in line with        Annual savings £1m
Simplify Pension Scheme                          regulation and changes in the industry The current version of
Returns                                          the form is half the length of the original form.

                                                 It can be completed on- line and after initial return it will be pre-
                                                 populated so that only changes need be entered;

                                                 Trustees can forward parts of the form to third parties (e.g.
                                                 actuaries) for completion of certain sections while retaining
                                                 overall control of the form.
1.11                          Administrative     Employers are now able to consolidate schemes which contain             One –off costs nil   Came into force
Improve pension regulations                      protected rights in the same way that they undertake other                                   November
to allow bulk transfer of                        consolidation                                                           Annual savings £3m   2005
protected rights                                                                                                         for 3 years

1.12                          Administrative     Guaranteed Minimum Pensions ceased to accrue in 1997 but                One-off costs £11m   Amendment included in
Improve pension regulations                      past rights still exist. The Pensions Act 2007 legislated for this                           the Pensions Act 2007.
to allow Guaranteed Minimum                      with enabling regulations to follow in April 2009. The Act and          Annual savings £6m
Pension (GMP) conversion                         regulations will allow schemes to convert Guaranteed Minimum                                 Regulations to follow in
                                                 Pension rights into scheme benefits offering the actuarial                                   April 2009
                                                 equivalent value in exchange. This would allow for easier
                                                 administration and make it easier for a member to move their
                                                 rights into another pension product if they wish.




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                                      DELIVERED SIMPLIFICATION MEASURES - BUSINESSES
Title                           Type of     Description of measure and Outcome    Cost saving                                              Milestones/
                                Burden                                                                                                     Deadlines
1.13                            Administrative   This measure extends the ways in which contracted-out rights         One-off costs £2m    Implemented April 2006
Improve pension regulations                      can be taken as lump sums and allows them to be paid at the
to extend ways in which                          same age as other rights                                             Annual savings £9m
contracted-out rights can be
taken as a lump sum                              This simplifies administration of contracted out benefits and
                                                 provides members of pension schemes with a greater degree of
                                                 choice and flexibility when taking pensions derived from
                                                 contracted-out rights.

                                                 It means that contracted out rights and non contracted- out rights
                                                 are treated in a more consistent way.
1.14                            Administrative   Employers will no longer need to make provision in their payroll     Negligible one-off   Implemented
Simplify process for claiming                    system to exclude Statutory Sick Pay if the employee is over 65.     costs for computer   October 2006
statutory sick pay and                                                                                                software changes
statutory maternity pay by                       This will simplify the process of establishing whether Statutory
removing upper and lower age                     Sick Pay / Statutory Maternity Pay is due.                           Annual savings £4m
limits

1.15                            Administrative   Schemes found it difficult to design changes allowed under the       One-off costs £10m   Came into force April
Improve section 67 of the                        original wording of section 67.                                                           2006
Pensions Act 1995 to allow                                                                                            Annual savings
changes to members’ accrued                      Occupational Pension schemes can make changes to members’            £3.5m
pension rights in certain                        accrued pension rights where the affected member consents to
circumstances                                    the change. If the member does not consent the actuarial value
                                                 of each member’s rights at the point of change is maintained

1.16                            Administrative   Amend legislation relating to private pension internal dispute       Negligible           Amendments included
Improve pensions legislation                     resolution                                                                                in the Pensions Act
to simplify internal disputes                                                                                                              2007 and came into
resolution                                                                                                                                 force in April 2008.




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                                        DELIVERED SIMPLIFICATION MEASURES - BUSINESSES
Title                             Type of     Description of measure and Outcome    Cost saving                                                Milestones/
                                  Burden                                                                                                       Deadlines
1.17                              Administrative   Out-of-date terminology and references have been deleted to          N/A – this clarifies   Implementation
Improve clarity of regulations                     make the legislation clear. This updates arrangements for                                   December 2006
on deeming incapacity in the                       dealing with someone who is not incapable of work but who
case of an infectious disease                      needs to be prevented from working because they have come
                                                   into contact with an infectious disease. This makes it clearer for
                                                   an employer to understand.
1.18                              Administrative   Simplifying legislation by consolidating 5 sets of regulations       One-off costs nil      Regulations
Simplify and consolidate the                       benefits legal practitioners.                                                               progressively
Disability Discrimination Act’s                                                                                         Small savings          brought into force on
five sets of Service Providers                                                                                                                 5 December 2005 and
Regulations                                                                                                                                    4 December 2006

1.19                              Administrative   Organisations now undergo the accreditation process only once        One-off costs £133k    Implemented from
Simplify the national                              for procurement – and only if they are selected as preferred                                August 2005
Jobcentre Plus Accreditation                       bidders.                                                             Annual savings £200k
System

1.20                              Administrative   Jobcentre Plus is moving towards fewer, larger contracts and will    One-off costs nil      Implemented August
Simplify the bidding process                       require the larger providers to enter into direct contracts with                            2005
for contracting with Jobcentre                     smaller organisations on a normal commercial basis with certain      Savings in 2005/06
Plus                                               safeguards. This approach will alleviate the burden and risk for     £4m
                                                   smaller providers by removing the requirement for them to
                                                   submit bids and manage provision in their own right.

1.21                              Administrative   This measure will ease the burden on business by removing the        Annual savings £4m     Took effect from 1st
Disregard all compensation                         need for businesses to supply the Department with information                               October 2007
payments in the final pay                          on final payments to employees. This is expected to mean 1.7m
packet on new claims to                            fewer information requests made by DWP.
benefit.




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                                                    DELIVERED SIMPLIFICATION MEASURES - BUSINESSES
Title/initiative                   Type of          Description of Measure and Outcome    Cost saving                                            Milestones/
                                   Burden                                                                                                        Deadlines
1.22                               Administrative   Most Self-Invested Personal Pension Schemes do not currently         Some initial start up   Regulations came into
Permit contracting-out rights                       satisfy the conditions that would allow them to be granted a         costs associated with   force from 1 October
(protected rights) to be held in                    contracted-out certificate, without which they cannot invest         SIPPs having to set     2008.
Self-invested Personal                              protected rights. The change will remove the current restrictions.   up as an appropriate
Pension Schemes                                                                                                          scheme but these are
                                                                                                                         not expected to be
                                                                                                                         significant.
1.23                               Policy           Amends the Employer Debt Regulations to make them more               £725,000                Regulations came into
Simplify Occupational                               flexible and easier for employers and schemes with changes to                                force from April 2008.
Pension Schemes Employer                            cessation events and withdrawal arrangements. These changes
Debt Regulations                                    are designed to assist all business. Other changes, such as the
                                                    period of grace, are specifically helpful to small businesses and
                                                    charities.
1.24                               Policy           A reduction in the cap which applies to deferred pensions from       Revaluation cap         Changes included in the
Review of private pensions                          5% to 2.5% for future service.                                       approximately £250m     Pensions Act 2008 and
legislation                                                                                                              per year on average     due to come into force
                                                                                                                         in the longer term      early 2009.

                                                    Abolition of safeguarded rights provisions.                          Negligible.             Changes included in the
                                                                                                                                                 Pensions Act 2008 and
                                                                                                                                                 due to come into force
                                                                                                                                                 in April 2009.




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                                     DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative               Type of      Description of Measure and Outcome   Cost saving  Milestones/
                               Burden                                                         Deadlines
2.1                            This is a         This provision removes the need for carers to make two claims        N/A   Implemented April 2006
Simplify the claims process    simplification    to Carer's Allowance; once prior to the award of any qualifying
for Carer’s Allowance          measure for our   benefit in order to preserve their backdating and then again once
                               customers.        the qualifying benefit is awarded. The provision means that
                                                 Carers Allowance claims received within 3 months of the date of
                                                 the Qualifying benefit award can be backdated to the start of the
                                                 Qualifying benefit award providing all entitlement conditions have
                                                 been met throughout that period.

2.2                            This is a         The claims process has been combined and the 26 page                 N/A   New HB/CTB claim form
Simplify the claims process    simplification    Housing Benefit/Council Tax Benefit claim form has been                    introduced from
for pensioners where Pension   measure for our   replaced with a three page claim form completed over the                   December 2005
Credit and Housing Benefit     customers.        telephone. From November 2008, need for a claim form was                   No claim form needed
and Council Tax Benefit are                      removed.                                                                   from November 2008
claimed
                                                 Improved customer service removing the need for the customer
                                                 to provide the same information twice to two organisations.

2.3                            This is a         Housing Benefit/Council Tax Benefit process has been simplified      N/A   November 2005
Simplify the claims process    simplification    so that bereaved partners no longer need to apply for backdating           Housing Benefit/Council
for the surviving partner      measure for our   if they make a claim within a month of bereavement.                        Tax Benefit process
where the claimant dies        customers.                                                                                   simplified




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                                      DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                Type of     Description of Measure and Outcome    Cost saving  Milestones/
                                Burden                                                         Deadlines
2.4                             This is a         The automated adjustment of the surviving partner's State              N/A   Introduction
Simplify the claims process     simplification    Pension. Automated award of the Bereavement Payment for                      incrementally from the
for the surviving partner       measure for our   customers over state pension age, who qualify for such a payment.            autumn of 2007 until
where the claimant dies         customers.        Streamline the Pension Credit process. In addition the surviving             December 2008
                                                  spouse or civil partner, will no longer be required to complete an
                                                  application form to apply for arrears of State Pension and Pension
                                                  Credit outstanding at the time of the customer's death, unless there
                                                  is an executor or administrator to the estate.


2.5                             This is a         Principal Housing Benefit/Council Tax Benefit regulations have         N/A   Completed March 2006
Simplify and consolidate        simplification    been consolidated to produce four sets of regulations and a
Housing Benefit/Council Tax     measure for our   consequential provisions set that lists all the previous savings
Benefit regulations             customers.        provisions in one place.

2.6                             This is a         Allows Housing Benefit to be awarded from the start of the             N/A   Introduced April 2006
Simplify the new Housing        simplification    tenancy.
Benefit claims provisions and   measure for our
end of claims provisions for    customers.        Easier for claimants and landlords to understand, fairer to
hostel dwellers with a daily                      claimants and landlords and easier for local authorities to
rent liability                                    administer.




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Department for Work and Pensions - Simplification Plan 2008-09




                                        DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                  Type of     Description of Measure                Cost saving  Milestones/
                                  Burden      and Outcome                                        Deadlines
2.7                               This is a         Changes of circumstances are effective from the benefit week after   N/A   Introduced April 2006
Simplify the Housing Benefit      simplification    the change occurs;
change of circumstances           measure for our
provisions                        customers.        any change to the rent either for an existing home or move to
                                                    another address is effective on the day of the change;

                                                    any change ending entitlement is effective from the following
                                                    benefit week.

                                                    The changes make the rules easier to understand, fairer and easier
                                                    to administer.

2.8                               This is a         New method is to multiply the monthly rent by 12 and divide by 52.   N/A   Introduced April 2006
Simplify the calculation of the   simplification    The change aligns the calculation with that of rent officers.
weekly equivalent of a            measure for our
calendar monthly rent             customers.

2.9                               This is a         Removal of linking rules for Housing Benefit so each spell in        N/A   Introduced April 2006
Simplify hospital downrating      simplification    hospital starts afresh
rules                             measure for our
                                  customers.




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Department for Work and Pensions - Simplification Plan 2008-09




                                        DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                  Type of     Description of Measure and Outcome    Cost saving  Milestones/
                                  Burden                                                         Deadlines
2.10                              This is a         All arrears of tax credits to be treated as capital and disregarded    N/A   Introduced April 2006
Simplify by aligning treatment    simplification    for 52 weeks. Previously only those due to change of
of tax credit arrears disregard   measure for our   circumstances were disregarded.
for Housing Benefit/Council       customers.
Tax benefit

2.11                              This is a         Someone deferring receipt of their State Pension can choose            N/A   Introduced April 2006
Simplify rules for disregard of   simplification    whether to have a lump sum payment or increased State Pension
lump sum on deferral of State     measure for our   at the end of the deferral period. The Housing Benefit/Council Tax
Pension for Housing               customers.        Benefit provisions have been aligned with those of Pension Credit
Benefit/Council Tax Benefit                         so that if the person chooses a lump sum it is fully disregarded in
purposes                                            Housing Benefit/Council Tax Benefit for the claimant’s lifetime.

2.12                              This is a         Regulations amended where a customer who has been overpaid             N/A   Introduced April 2006
Simplify method of recovery       simplification    Housing Benefit for one tenancy moves to another so that
of overpayments of Housing        measure for our   overpayment can be offset (in one lump sum) against Housing
Benefit                           customers.        Benefit due for second property. Cuts administration costs & stress
                                                    for customer.

2.13                              This is a         An individual can return to previous levels of benefit within 104      N/A   Introduced October
Simplify linking rules in         simplification    weeks of leaving benefit for work or training. Process also simpler          2006
Incapacity Benefit                measure for our   and more automatic for customers and is easier for staff to explain.
                                  customers.




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Department for Work and Pensions - Simplification Plan 2008-09




                                       DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                 Type of     Description of Measure and Outcome    Cost saving  Milestones/
                                 Burden                                                         Deadlines
2.14                             These are         Aligning start of the Statutory Maternity Pay and Maternity           N/A   Introduced October
Simplify measures on             simplification    Allowance pay periods with the start of maternity leave.                    2006
Statutory Maternity Pay and      measures to
Maternity Allowance )            improve the       Introduction of “Keeping in Touch” days allowing women to work for
                                 practical         up to 10 days without loss of Statutory Maternity Pay and Maternity
                                 operation of      Allowance or ending their maternity leave.
                                 Statutory
                                 Maternity Pay     Maternity Allowance becomes a seven day benefit in line with all
                                 and Maternity     other social security benefits.
                                 Allowance and
                                 improve our       Employers can “split” the weekly payment of Statutory Maternity
                                 customers’        Pay if this helps them align payments with their own payroll
                                 experience of     systems.
                                 the Department
2.15                             This is a         Change legislation to enable claims for Housing Benefit and           N/A   Came into force
Enabling Housing                 simplification    Council Tax Benefit, and reports of changes of circumstances to be          December 2006
Benefit/Council Tax Benefit      measure to        made by telephone or electronically.
claims and reports of changes    increase
of circumstance to be made       customers’
by telephone or electronically   options for
                                 making and
                                 handling claims
                                 to benefit

                                 See 3.5 below
                                 also




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                                       DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                 Type of     Description of Measure and Outcome    Cost saving  Milestones/
                                 Burden                                                         Deadlines
2.16                             This is a         The number of working age leaflets has been reduced to 86.            N/A   Completed June 2006
Reduction of Working Age         simplification    We have introduced a system of tiered information, designed to
Information Leaflets and         measure for our   deliver the right amount of information at the time when customers
introduction of three-tier       customers.        need it.
approach to information                            We submit all leaflets to the Plain English Campaign and, where
                                                   possible, obtain Plain English accreditation (crystal markings) for
                                                   leaflets.

2.17                             This is a         A simpler claims process, removing the need in most cases to sign     N/A   August 2005 to April
Simplify claims process by       simplification    and return a paper claim form.                                              2007
taking telephone applications    measure for our
for State Pension (SP) and       customers.
Pension Credit (PC)
2.18                             This is a         Notifications have been improved so that underlying entitlement to    N/A   Completed April 2007
Simplification of Underlying     simplification    Carer’s Allowance is explained more clearly
entitlement Notifications        measure for our
                                 customers.
2.19                             This is a         A shortened claim pack was introduced for use by customers in         N/A   Introduced in
Introduction of a shortened      simplification    receipt of State Pension to capture the information relevant to             December 2006
CA claim pack for customers      measure for our   claims from this customer group.
in receipt of State Pension to   customers.
simplify the claims process




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Department for Work and Pensions - Simplification Plan 2008-09




                                        DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                  Type of     Description of Measure and Outcome    Cost saving  Milestones/
                                  Burden                                                         Deadlines
2.20                              This is a         This measure will reduce the amount of evidence customers need         N/A   Took effect from 1st
Disregard all compensation        simplification    to produce when making a new claim. It will speed up new claims              October 2007
payments in the final pay         measure for our   administration and reduce the time taken to process a claim. It will
packet on new claims to           customers.        simplify the new claims process for employers, customers and staff
benefit.                                            and introduce consistent rules across the benefits system.

2.21                              This is a         Easier for customers and staff to understand.                          N/A   Regulations in force
Align treatment of rental         simplification                                                                                 from April 2008
income from sub-tenants by        measure for our   Simplifies and standardises the administration of the benefits
applying a flat rate £20 across   customers.        system for staff and customers.
the benefits system.

2.22                              This is a         Makes it easier for those claiming Attendance Allowance to             N/A   Roll out of the new
Simplify process for adults       simplification    complete the form as the questions are in a structured format with           Attendance Allowance
claiming Attendance               measure for our   simple tick boxes.                                                           claim form took place
Allowance.                        customers.                                                                                     Autumn 2008

2.23                              This is a         Simper notification provides customers with a clearer and fuller       N/A   Notification in use since
Simplify notifications of         simplification    explanation of their individual entitlement.                                 2007.
claims for Disability and         measure for our
Carers’ benefits which explain    customers.
decisions made about
individuals’ benefit
entitlement.
2.24                              This is a         Customers/ representatives will have speedier access to                N/A   -13 benefits & how to
On line advice on entitlement     simplification    information via a Benefits Adviser service on the Directgov website.         claim -implemented
to offer greater choice of self   measure for our                                                                                April 2008
service options to customers      customers.
who wish to use them                                                                                                             -over 20 benefits & how
                                                                                                                                 to claim implemented
                                                                                                                                 October 2008




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Department for Work and Pensions - Simplification Plan 2008-09




                                      DELIVERED SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title/initiative                Type of     Description of Measure and Outcome    Cost saving  Milestones/
                                Burden                                                         Deadlines
2.25                            This is a         The Child Maintenance and Other Payments Act 2008 removed the            N/A    Repeal came into force
Repeal of Section 6 of the      simplification    compulsion for parents with care in receipt of benefit to apply to the          on 27 October 2008.
Child Support Act 1991          measure for our   Child Support Agency for child maintenance. From October 2008,
                                customers.        they will be free to make their own arrangements. The policy is to
                                                  encourage parents to make their own arrangements whilst
                                                  ensuring that they are not financially disadvantaged by their
                                                  decision because of the benefit rules.
2.26                            This is a         To increase take up of Council Tax Benefit among pensioners by           N/A    Started October 2008
Odyssey Live Intelligence       simplification    actively identifying pensioners who are entitled to Council Tax                 Finished December
Verification Exercise (OLIVE)   measure for our   Benefit but not receiving it                                                    2008
                                customers.
2.27                            This is a         Each year approximately circa 180,000 customers retire and move          N/A    Customer Transitions
Customer Transitions            simplification    from Jobcentre Plus to Pension Service products. Customer insight               Gate 1 approval -
                                measure for our   identified that a significant number of these could be managed                  September 2008
                                customers.        “automatically” with minimum risk to accuracy or erroneous
                                                  payments.
2.28                            This is a         392 extra DWP customers had their complaint addressed by the             N/A.   From April 2007
Extended remit for the          simplification    Independent Case Examiner in 2007/08 who would previously had
Independent Case Examiner       measure for our   to seek a referral from a Member of Parliament to the Ombudsman.
(ICE)                           customers.        Nearly four out of five of these were resolved quickly by brokering
                                                  an agreement between the parties.

                                                  In addition:
                                                  (a) Reduced cost to Ombudsman and to agencies in responding to
                                                  the Ombudsman offset by cost of responding to the Ombudsman
                                                  (b) improved public service
                                                  (c) greater opportunity to brigade lessons learned from complaints
                                                  and use them to feed customer insight.




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                                                DELIVERED SIMPLIFICATION MEASURES – PUBLIC SECTOR
Title/initiative               Type of           Description of Measure and Outcome    Cost saving                                         Milestones/
                               Burden                                                                                                      Deadlines
3.1                            Administrative   Department has replaced the current DWP/Local Authority               Annual savings       May to November 2006
ICT solution:                                   information flows via the remote access terminals and electronic      £12.87m
Improve Information flows                       transfer of data reports, with a web based browser system
between Government and                          accessing Customer Information System.
Local Authorities
                                                Improved and more widespread access to information between the
                                                department and local authorities has enabled more efficient
                                                Housing and Council Tax Benefit administration

3.2                            Administrative   Simplifies the administrative process for customers undertaking       N/A                  Introduced April 2006
Simplify Incapacity Benefits                    Permitted Work. A customer can now undertake an initial period of
Permitted Work and Test                         Permitted Work for 52 weeks as opposed to 26 weeks followed by
trading Rules                                   a further 26 weeks upon further application and approval of a
                                                Support officer.

                                                The new Test Trading rules allow customers to be treated as being
                                                in training as with other “work-based leaning for adults” provision
                                                and brings them more in line with the arrangements for
                                                Jobseeker’s Allowance/Income Support customers. Reduces
                                                administrative complexities.

3.3                            Administrative   This will provide a single national database of fraud/compliance      One-off costs £32m   June 2007 to February
ICT solution:                                   cases.                                                                                     2008
Introduction of a Fraud                                                                                               Annual savings £6m
Referral and Intervention
Management System




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Department for Work and Pensions - Simplification Plan 2008-09




                                                  DELIVERED SIMPLIFICATION MEASURES – PUBLIC SECTOR
Title/initiative                 Type of           Description of Measure and Outcome    Cost saving                                               Milestones/
                                 Burden                                                                                                            Deadlines
3.4                              Administrative   The network of Contact Centres in Jobcentre Plus will be linked         One-off costs £8.5m      September 2007 to
ICT solution:                                     into a single virtual network providing more efficient call answering                            June 2008
Improve efficiencies through a                    services and a common telephone number nationally for each              Annual savings
strategic virtual contact                         business line handled by those contact centres.                         £5.5m
centre network for Jobcentre
Plus                                                                                                                      Net savings in
                                                                                                                          2010/11 (break even
                                                                                                                          year) £2.9m


3.5                              Administrative   To give Local Authorities/DWP the option of streamlining                Some one-of costs for    Came into force
Remove the requirement for                        processes by accepting claims for Housing Benefit/Council Tax           Local Authorities        December 2006
Housing Benefit/Council Tax                       Benefit, or reports of changes of circumstances, by telephone or        which opt to make
Benefit claims and reports of                     electronically.                                                         use of this
changes of circumstance to       See 2.15 above
be made in writing               also                                                                                     Modest longer- term
                                                                                                                          net savings for Local
                                                                                                                          Authorities.

                                                                                                                          Opportunity for faster
                                                                                                                          administration
3.6                              Administrative   The changes clarify and strengthen the legislation making it easier     N/A                      Came into force October
Improve and strengthen                            to understand and less susceptible to judicial challenge or                                      2007
legislation governing the                         attempted circumvention.
payment of Attendance
Allowance/Disability Living
Allowance to care home
residents




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Department for Work and Pensions - Simplification Plan 2008-09




                                               DELIVERED SIMPLIFICATION MEASURES – PUBLIC SECTOR
Title/initiative              Type of           Description of Measure and Outcome    Cost saving                                    Milestones/
                              Burden                                                                                                 Deadlines
3.7                           Administrative   Annual review forms not sent out to those in receipt of Carer’s      N/A              Implemented April 2008.
Improvements to the Carers’                    Allowance.
Allowance Reviews Process
                                               Review forms have been replaced with an annual message about
                                               reporting changes of circumstance. Those people with underlying
                                               entitlement to CA are no longer required to return their review
                                               forms if their circumstances have not changed.
3.8                           Administrative   Provides a central repository of customer data for the Department,   Annual savings   September 2007
Improve data sharing within                    other Government Departments and local authorities.                  2009/10 £60m     Planned Release 3a
Government through
Customer Information System                    This will contribute to interdepartmental sharing of information –                    March 2008
                                               information need not be gathered from the individual.                                 Planned Release 3b




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Department for Work and Pensions - Simplification Plan 2008-09




                                                                                                                                             Annex B
                                         FUTURE SIMPLIFICATION MEASURES – BUSINESS
Title               Type of         Description of measure and Outcome                                                   Estimated            Implementation
                    Burden          outcome                                                                              cost saving          timeline
1.1                 Policy          A statutory override to enable all        Reduction in the revaluation cap and       Statutory            Public consultation on
Review of private                   schemes to implement the reduction in     the introduction of a statutory override   override             regulations ongoing.
pensions                            indexation cap which applies from April   for Limited Price Indexation (LPI)         approximately        Implementation expected
legislation                         2005 for future service and the           change will reduce the costs of            £20 million for      from April 2009.
                                    reduction to the revaluation cap          providing pensions going forward.          LPI change in the
                                    included in the Pensions Act 2008                                                    longer term.

                                    Review of employer debt provisions as     Will make provision for when the                                Consultation on amending
                                    they apply in certain corporate           requirement for an employer to pay a                            regulations expected in
                                    reorganisations.                          debt to their under funded pension                              February 2009.
                                                                              scheme following their business
                                                                              reorganisation is inappropriate. Will
                                                                              ensure however that the reorganised
                                                                              entity maintains a strong covenant and
                                                                              that there is no detriment to members'
                                                                              pension benefits.

                                    Consideration of a principles-based       To provide a less onerous legislative                           Consultation on way
                                    approach to the disclosure of             regime.                                                         forward expected in the
                                    information requirements.                                                                                 first half of 2009.




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                                           FUTURE SIMPLIFICATION MEASURES – BUSINESS
Title                Type of          Description of measure   Outcome                                                      Estimated             Implementation
                     Burden                                                                                                 cost saving           timeline
1.2                  Administrative   Increase the number of tenders sent         All major tenders to commercial sector    Savings to            All major tenders to
Electronic                            and received by electronic means. The       will be carried out electronically.       prospective           commercial sector will be
Sourcing.                             concept of electronic tenders has been                                                suppliers in          carried out electronically
                                      tested within DWP in both the full end to                                             reduction of use      by April 2010.
                                      end process and using eAuctions for                                                   of paper based
                                      part of the process.                                                                  documentation         50% of major contracts by
                                                                                                                            typically £1,400.     April 2009.
                                                                                                                            (Office of
                                                                                                                            Government
                                                                                                                            Commerce bid
                                                                                                                            documentation)
                                                                                                                            Potential bidders
                                                                                                                            in commercial
                                                                                                                            and third sector
                                                                                                                            in excess of
                                                                                                                            £5,000.
1.3                                   To increase the number of electronic        100% of all commercial transactions       Savings are           By April 2010
Electronic Trading                    orders placed by the Department on          made by electronic purchases or           dependant upon
                                      commercial suppliers and encourage          Government Procurement Card               supplier ability to
                                      electronic invoices replacing paper         enabling suppliers to reduce the use of   integrate
                                      based transactions.                         paper and give them an opportunity to     systems.
                                                                                  link with their in house systems to
                                                                                  produce a seamless transaction
                                                                                  process.




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                                         FUTURE SIMPLIFICATION MEASURES – BUSINESS
Title                Type of        Description of measure   Outcome                                                       Estimated     Implementation
                     Burden                                                                                                cost saving   timeline
1.4                                 Piloting the use of single contracts to   Major rationalisation of the core            N/A           Procurement for pilots will
Multi-client group                  deliver employment support to             employment programmes for                                  need to begin in Sept
contracting pilots                  Jobseeker’s and Employment and            Employment and Support Allowance                           2009
                                    Support Allowance customers               and Jobseeker’s Allowance customers
                                                                              (Pathways to Work and Flexible New
                                                                              Deal) into single contracts – potential to
                                                                              include other programmes. Economies
                                                                              of scale for employment support
                                                                              providers. Greater latitude of support for
                                                                              customers, and allows seamless
                                                                              transition between providers when
                                                                              changing benefits.




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                            FUTURE SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title               Type of    Description of measure  Outcome                Estimated                                          Implementation
                    Burden                                                    cost saving                                        timeline
2.1                 N/A             To improve customer access to the right   Customers are signposted accurately          N/A   Implementation of new
Improved                            service first time.                       and quickly to other services, within and          telephony across
signposting using                                                             beyond DWP                                         Disability and Carers
new telephony                                                                                                                    Service & Jobcentre Plus
systems.                                                                      Customers requiring specialist support             completed July 2008. Full
                                                                              or information will be transferred without         implementation DWP wide
                                                                              the need to re-dial a second number                during 2009

2.2                 N/A             To allow customers access to their        Will enable customers to track progress      N/A   From October 2009 - Job
More Enquires                       benefit information at a time of their    of claims on line and check payments               Seekers Allowance,
Dealt with more                     choosing.                                 for Job Seekers Allowance,                         Employment and Support
securely in one                                                               Employment and Support Allowance,                  Allowance, Income
contact                                                                       Income Support, Disability Living                  Support, Disability Living
                                                                              Allowance, Invalidity Benefit and Carers           Allowance
                                                                              Allowance.
                                                                                                                                 From Jan 2010
                                                                                                                                 Invalidity Benefit and
                                                                                                                                 Carers Allowance

2.3                 N/A             To make better use of the information     Customers will not have to provide           N/A   Evaluation of pilot by end
Some Change of                      we already hold on customers, reducing    information about some change of                   December 2008
Circumstances                       the need for duplicating requests.        circumstances more than once.
handled and
actioned once                                                                 Many customers moving from working
                                                                              age benefits to pension age benefits will
                                                                              not have to provide information already
                                                                              held.




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                               FUTURE SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title                  Type of    Description of measure  Outcome                Estimated                                          Implementation
                       Burden                                                    cost saving                                        timeline
2.4                    N/A          Flexible New Deal will replace New            A simplified and individually-focused       N/A   Invitation to Tender now
Rationalisation of                  Deal for Young People, New Deal 25+           employment programme for all                      published, contracts to go
existing                            and Employment Zones; giving                  Jobseeker’s Allowance customers,                  live in October 2009.
employment                          providers more flexibility in supporting      whatever their age, skills or barriers to
support for                         job seekers.                                  work.                                             Invitation to Tender to be
Jobseeker’s                                                                                                                         published next year,
Allowance                                                                                                                           contracts to go live in
customers.                                                                                                                          October 2010.
2.5                    N/A          Currently customers who fail to attend a      This will simplify the process for an       N/A   This proposal is to be
Customers will no                   Jobcentre Plus appointment without            approximately 12,000 customers each               included in next session’s
longer have to                      good cause have their claim closed            month and will be an administrative               Welfare Reform Bill.
make a new claim                    because entitlement to Jobseeker’s            easement for staff.
to benefit following                Allowance has ended, which
a sanction for                      necessitates a new claim to benefit.
‘failure to attend’.                Under the new process, customers will
                                    retain underlying entitlement thereby
                                    negating the need to go through the
                                    new claims process.
2.6                    N/A          The introduction of the full disregard will   More money will flow to low income          N/A   October 2008: increase
Increased                           see benefit treatment aligned with the        families. Parents with day to day care            current disregard to £20
Disregard for                       treatment of tax credits.                     on low incomes will not have to inform            per week
parents in receipt                                                                Jobcentre Plus if their maintenance               April 2010: introduction of
of maintenance and                                                                arrangements change. Child                        full disregard.
benefit                                                                           maintenance will be fully disregarded
                                                                                  when calculating Housing Benefit and
                                                                                  Council Tax benefit claims.




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                             FUTURE SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title                Type of    Description of measure  Outcome                Estimated                                                        Implementation
                     Burden                                                    cost saving                                                      timeline
2.7                  N/A            Introduction of new process for             Using HMRC information and                 N/A                  From 2011
Child Maintenance                   calculating child maintenance liabilities   introducing fixed-term maintenance
Redesign                            based on gross, rather than net,            calculations will save staff time as we
                                    income, using information from HM           will not be pursuing parents for
                                    Revenue and Customs. The latest             information they do not want to provide,
                                    available tax year information will be      nor will maintenance assessments need
                                    used as the basis for the calculation,      to be changed in the light of small
                                    which will be fixed for a year, unless      changes in income.
                                    income varies by more than 25%. The         The plans will also speed up the
                                    new proposals are intended to come in       process of calculating maintenance
                                    from 2011. They build on the simplified     assessments, benefiting all parties
                                    2003 maintenance reforms.                   involved.

2.8                  N/A            Examine all customer information            All DWP customers should see               Estimated            18 months duration from
Public Information                  channels, to ensure that we are             improved targeting, clarity and            savings £1.5-2       July 2008
Review                              producing information efficiently,          accessibility of information, including    million in year
                                    making it available in the right formats,   signposting (orientation) before and       one
                                    when our customers need it, and that        during contact with DWP and its
                                    they can understand it in order to make     Businesses
                                    important personal decisions.
2.9                  N/A            Better data sharing between Jobcentre       Simplify claims processes for people       Potential for        National roll out planned
In and out of work                  Plus, HMRC and local authorities            who move in and out of work thereby        small savings in     to be completed by
processes                           reducing customer contacts and              removing a key barrier to work             local authorities    December 2009
                                    improving average processing times
2.10                 N/A            Replace postal and clerical processes       Quicker processing of Housing              Savings in postal    Pilot November 2008, roll-
E-Transfer Project                  with electronic transfer of claim           Benefit/Council Tax Benefit claims.        costs £300k per      out December 08 to
                                    information.                                Improved customer service.                 year.                March 09
                                                                                                                           Estimate
                                                                                                                           efficiency saving,
                                                                                                                           around £3 million
                                                                                                                           per year.




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                                  FUTURE SIMPLIFICATION MEASURES – DEPARTMENT’S CUSTOMERS
Title                 Type of        Description of measure  Outcome                Estimated                                 Implementation
                      Burden                                                        cost saving                               timeline
2.11                  N/A              DWP Change Programme Self Service           The provision of services that             Oct 2008 Benefit Adviser
Self Service                           Project. A phased approach to               customers can access without staff         Oct 2009 Benefit Enquiry
Delivery                               delivering on-line internet services for    intervention.                              Service phase 2.1
                                       customers.                                                                             Nov 2009 State Pension
                                                                                                                              on-line
                                                                                                                              Jan 2010 Benefit Enquiry
                                                                                                                              Service phase 2.2
                                                                                                                              Apr 2010 Changes of
                                                                                                                              circumstances
                                                                                                                              Jan 2011 Job Seekers
                                                                                                                              Allowance claims
2.12                  N/A              Tell Us Once is a cross government          We have run four pilots with local         October 2008 – start of
Tell Us Once                           programme looking into the feasibility of   authorities, DWP and HMRC. We have         pathfinder
Programme                              people being able to inform government      developed Pathfinders that started in      August 2009 Business
                                       just once of a life-changing event such     October 2008 which will offer a service    Case to be signed off
                                       as birth and bereavement. It will later     in wider geographical areas using all
                                       include change of address.                  three channels: face to face, telephone
                                                                                   and e channel.
2.13                  Administrative   Common pay days will be assigned to         This will remove the current mix of        New claims from April
Pay the majority of                    individuals based on the last two digits    different pay periods (which currently     2009, with a phased
Jobcentre Plus                         of their National Insurance number          includes advance, arrears, weekly and      conversion of existing
working age                                                                        fortnightly payments), and the confusion   cases from then until
benefits a minimum                                                                 caused when customers change from          March 2011.
of two weekly in                                                                   one benefit to another.
arrears on a
common pay day.




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Department for Work and Pensions - Simplification Plan 2008-09




                                          FUTURE SIMPLIFICATION MEASURES – PUBLIC SECTOR
Title                  Type of          Description of measure  Outcome                Estimated                                                 Implementation
                       Burden                                                          cost saving                                               timeline
3.1                    Policy and       The scope for combining the functions        Improved customer access; more          No significant      The government
Review of Pensions     administrative   of the Pensions Ombudsman and the            streamlined processes and greater       costs. Benefits     announced in June 2007
Institutions                            Financial Ombudsman Service as               operational resilience to cope with     predominantly       that it would implement
                                        recommended by the Thornton review           peaks and troughs of work.              non-financial       recommendations made
                                        has been examined. Government has                                                    through improved    by Paul Thornton following
                                        decided to pursue a closer working                                                   customer            his review of Pensions
                                        initiative including improvements to                                                 service.            Institutions.
                                        signposting, simplification of the
                                        Pensions Ombudsman’s procedures                                                                          Primary legislation
                                        and rules and, where practical, sharing                                                                  necessary
                                        of resources with the Financial
                                        Ombudsman Service.
3.2                    Administrative   Local Authorities and other alternative      Improved customer experience and        Awaiting results    Pilots commenced in
Extend existing                         offices can receive record and forward       choice of method of contact and         of Pilots           October 2008 and will run
provisions for                          information and evidence in respect of       enhancement of the service offered by                       for approximately 6
people to claim                         claims for specified benefits and all        the partner organisation and the                            months
Disability Living                       claims for Disability Living Allowance       Department
Allowance and                           and Carer’s Allowance in addition to
Carer’s Allowance                       existing specified benefits.
at alternative
offices

3.3                    Administrative   Providing DWP and HMRC benefit data          Better service to customers. Reduced    Initially £1.4 M.   Evaluation March 2009
Customer                                to Local Authority staff to assist process   error. Better data sharing between
Information System                      of Housing Benefit/Council Tax Benefit       Jobcentre Plus, HMRC and local          Addition of
to Local Authorities                    claim administration.                        authorities                             HMRC data
                                                                                                                             should yield
                                                                                                                             further £8.75 M
                                                                                                                             per year.




                                                                                         51
Department for Work and Pensions - Simplification Plan 2008-09




                                                                                                                                            Annex C
                                                           REGULATORY FLOW
Title                         Nature of Burden         Description of the Outcomes incl                 Estimated cost   Implementation
                                                       measure            sector impacted                                timeline
The Occupational Pension      Administrative Burden    Pensions scheme funding         Private sector   £28m             30 December 2005
Schemes (Scheme Funding)                               regulations
Regulations 2005
The Occupational Pension      Administrative Burden    Issue of statements of          Private sector   £16m             6 April 2006
Schemes (Administration and                            contributions to pension
Audited Accounts)                                      scheme members
(Amendment) Regulations
2005
The Occupational Pension      Administrative Burden    Report results of               Private sector   £4m              6 April 2006
Schemes (Consultation by                               consultation
Employers and Miscellaneous
Amendment) Regulations
2006
The Occupational Pension      Administrative Burden    Calculate and Verify early      Private sector   £1m              6 April 2006
Schemes (Early Leavers)                                leavers cash transfer sums
Regulations 2006
The Occupational and          Administrative Burden    Relating to the issue of        Private sector   £1m              6 April 2006
Personal Pension Schemes                               statements of contributions
(Miscellaneous Amendment)                              to pension scheme
Regulations 2006                                       members




                                                                                  52
Department for Work and Pensions - Simplification Plan 2008-09




                                                                                                                                                                  Annex D
                                                 DATA REQUESTS MADE BY DWP TO LOCAL AUTHORITIES
 Name of data                  Purpose                                                    Frequency Status
 return                                                                                   of return
 Housing Benefit /Council      Information used by DWP to reimburse Local Authorities for the Housing and Council Tax          Annual      Remains
 Tax Benefit Subsidy Initial   Benefit they pay out each year. Initial estimate used to set up payments for the forthcoming
 Estimate                      financial year.
 Housing Benefit /Council      Information used by DWP to reimburse Local Authorities for the Housing Benefit /Council Tax     Annual      Remains
 Tax Benefit Subsidy Mid       Benefit they pay out each year. Mid year estimate provided based on some current year
 Year Estimate (MPF714A)       payment information and is used to adjust monthly payments to the Local Authority
                               accordingly.
 Housing Benefit /Council      Information used by DWP to reimburse Local Authorities for the Housing Benefit /Council Tax     Annual      Remains
 Tax Benefit Subsidy Final     Benefit they pay out each year. Final year estimate provided based on all current year
 Claim                         payment information.
 Discretionary Housing         Information on these returns is used to reimburse Local Authorities for expenditure on          Annual      Remains
 Payments Initial Estimate     Discretionary Housing Payments.
 Discretionary Housing         Information on these returns is used to reimburse Local Authorities for expenditure on          Annual      Remains
 Payments Mid Year             Discretionary Housing Payments. Mid year estimate provided based on some current year
 Estimate                      payment information and is used to adjust monthly payments to the Local Authority
                               accordingly.
 Discretionary Housing         Information on these returns is used to reimburse Local Authorities for expenditure on          Annual      Remains
 Payments Final claim          Discretionary Housing Payments. Final year estimate provided based on all current year
                               payment information.
 Single Housing Benefit        From April 2008 this is the main data source for policy analysis, answering of Parliamentary    Monthly     Remains
 Extract (formally known as    Questions, production of Housing Benefit /Council Tax Benefit National Statistics, monitoring
 the HBSD-IAD scan)            of Local Authority performance and for assisting in informing the Departments Housing Benefit
                               /Council Tax Benefit caseload and expenditure forecasts.
 Workstep payment claim        Payment claim which provides details of Workstep participants required from all Workstep        Monthly     Remains
                               providers, of which some Local Authorities are.
 Stats 121 – Caseload          To inform policy analysis and the Departments Housing Benefit /Council Tax Benefit caseload     Quarterly   Ceased, information now collected
 Stock Count (IS)              and expenditure forecasts.                                                                                  via the Single Housing Benefit
                                                                                                                                           Extract. Last returned in March
                                                                                                                                           2008.




                                                                                         53
Department for Work and Pensions - Simplification Plan 2008-09




                                               DATA REQUESTS MADE BY DWP TO LOCAL AUTHORITIES
 Name of data               Purpose                                                     Frequency Status
 return                                                                                 of return
 Stats 122 – Caseload       To inform policy analysis and the Departments Housing Benefit /Council Tax Benefit caseload         Quarterly   Ceased, information now collected
 Stock Count (Non IS)       and expenditure forecasts.                                                                                      via the Single Housing Benefit
                                                                                                                                            Extract. Last returned in March
                                                                                                                                            2008.
 Stats 124                  Prior to April 2008 this was the main data source for measuring and monitoring performance          Quarterly   Ceased, some information now
                            of Local Authorities and for publishing performance statistics on HoBOD (an interactive                         collected via Single Housing Benefit
                            website tool used by Local Authorities for benchmarking their performance against other Local                   Extract and HBRF return. Last
                            Authorities and the national average)                                                                           returned in April 2008.
 WIB 1 and 2 (now one       Prior to April 2008 this was one of the main data sources for monitoring overpayments on            Quarterly   Ceased, some information now
 form) SAFE scheme          Housing Benefit /Council Tax Benefit and informing fraud and error policy analysis.                             collected via the Single Housing
                                                                                                                                            Benefit Extract. Last returned in
                                                                                                                                            April 2008.
 WIB4b SAFE scheme          Prior to April 2008 this was used to monitor levels of fraud and error data in Local Authorities.   Quarterly   Ceased. Last returned in April 2008.
 Housing Benefit            From April 2008 this is used to monitor overpayment, fraud and recovery information and             Quarterly   Remains [To start from April 2008]
 Recoveries and Fraud       inform policy analysis/development in this area.                                                                but expected to cease as a separate
                                                                                                                                            return by May 2010.
 Housing Benefit Matching   Sent to DWP to carry out matching on this scan with other benefit datasets to identify possible     Monthly     Remains, but expected to cease by
 Service                    cases for the Local Authority to investigate. This information is then feed back to the Local                   April 2009 (most information will be
                            Authorities to help them identify fraud and error in their Housing Benefit /Council Tax Benefit                 collected via the Single Housing
                            caseload.                                                                                                       Benefit Extract)
 Housing Benefit Matching   Sent to DWP who are then able to see how effective the matching process has been in                 Monthly     Remains, but expected to cease by
 Service results sheet      identifying fraud and error in the Local Authority caseload.                                                    April 2009
 WIB4a SAFE scheme          Prior to April 2008 this was used to monitor levels of fraud and error data in Local Authorities.   Quarterly   Remains, but expected to cease by
                                                                                                                                            May 2010




                                                                                         54

				
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