The Government announced that a trial aimed at improving the way customers are helped by local authorities, the Department for Work and Pensions (DWP), and Her Majesty's Revenue and Customs (HMRC) has succeeded in speeding up the processing of benefits and tax credits for customers in North Tyneside, and will now be extended to a further six local authorities.
The trial involved the sharing of customers' information between the DWP, HMRC and North Tyneside Council. During the trial the time taken to get all benefits into payment when someone lost their job was halved. The payment of tax credit was stopped more quickly, reducing the possibility of overpayments. Also, where customers started work and were entitled to tax credits, the information sharing meant claimants were switched over to the tax credit system quicker.
Secretary of State for Work and Pensions, John Hutton, said: "This trial is all about improving our current performance. Our customers don't see the boundaries between the organisations - what they want is a speedy and seamless service to help them when they become unemployed or take on a new job.
"Our customers who experienced the trial have told us that a fast and effective process for getting all of their benefits and credits resolved would encourage them to take up employment. And that is why we will test this way of working in some more areas before we consider introducing it nationally."
Paymaster General, Dawn Primarolo, said: "MRC is always looking at ways to improve the delivery of tax credits and tailoring services and communications to the needs of claimants. This trial represents another example of the work being done to make it as straight forward as possible for people to claim their entitlement."
