Agenda item

Purpose of the item: To update the Adults and Health Select Committee on Surrey County Council’s Adult Social Care Debt position as at the end of December 2020.

Witnesses:

Toni Carney, Head of Resources, Adult Social Care

Pamela Hassett, Lead Manager (Financial Assessment and Income Collection), Adult Social Care

Sinead Mooney, Cabinet Member for Adult Social Care, Public Health and Domestic Abuse

Key points raised during the discussion:

1.    The Head of Resources gave an overview of the report. Income from collection of care charges from clients represented a significant section of the Adult Social Care (ASC) budget. There had been a reduction on income collected in this area this year compared to last year, which was largely due to the impact of the Covid-19 pandemic and the new discharge to assess model. It was important to note that the majority of people paid their care charges promptly. Direct Debit was the service’s preferred method of collection, which was more popular with people whose charges were regular and consistent, and less popular with those whose charges fluctuated. The rate of Direct Debit use to pay care charges had remained static at 64%. The actual amount of debt overdue currently stood at circa £17m, but a large proportion of that amount was secured against property.

2.    The Head of Resources continued to explain that the ASC income collection team had good working relationships with the Legal services, with whom they worked to recover debts. The Council had started using Money Claims Online, a service provided by HM Courts and Tribunals for claimants and defendants to make or respond to a money claim, and had had good results so far. This service would continue to be used for debts under £10,000. Also, the Council had employed Judge and Priestley Solicitors to work on 10 cases. The firm’s specialist skills would help the Council with probate work, and the early indications were that the work with Judge and Priestley was going well.

3.    A Member requested that officers report back on the work with Judge and Priestley Solicitors once this had progressed.

4.    A Member asked what could be done to increase the proportion of people who paid by Direct Debit above the 64% figure. The Head of Resources stated that, when conducting a financial assessment with a resident at the beginning of the care charges process, the officer conducting the assessment would always mention the Direct Debit option to the resident. Often people did not actually sign up to a Direct Debit at that stage, as they did not yet know the charges they would pay, but it was mentioned then and continued to be mentioned at every stage in the process. There were understandable reasons why someone might not want to pay by Direct Debit; for instance, if someone’s care charges fluctuated, they may not want to use Direct Debit, and for some people having to pay a Direct Debit every month could be a financial worry. Residents could now pay care charges over the telephone, and the Council was looking at this and other ways to encourage payment in instances when residents preferred not to use Direct Debit to pay care charges. At a later date, the Council would also conduct a campaign encouraging use of Direct Debit.

5.    A Member asked what benefits would arise out of the replacement of SAP with a new enterprise resource planning (ERP) system. The Head of Resources replied that the service was hoping to achieve better age debt reporting through the new ERP system, which would be available from December 2021 onwards. It was also hoped that the new system would improve the understanding of age debt. The Member asked whether the new ERP system would allow for the identification of patterns and pre-empting of problems in payment. The Head of Resources said that it was possible that this would be the case, but the real problem at the moment was age debt; clear analysis on age debt using the new ERP system would be useful. The Council would have to see what the new system could offer and then work using this.

6.    A Member enquired whether the Council knew if the discharge to assess model, introduced during the Covid-19 pandemic, would be extended. The Head of Resources responded that a decision had not been made on this yet. It was hoped that the model would be extended, but as it stood it was due to end on 31 March 2021. However, the principles of discharge to assess would be extended and it might become the norm in future, as it ensured that adequate assessment on discharge from hospital was in place. The Council was working with NHS organisations to mitigate any negative impact of the cessation of discharge to assess funding.

7.    The Head of Resources clarified that the 64% of clients who paid by Direct Debit roughly reflected the proportion of clients whose charges remained stable from payment to payment. Apart from this information, it had not been possible to analyse a profile of people who paid by Direct Debit, but it was hoped that the new ERP system would allow officers to do this.

Actions/further information to be provided:

1.    The Head of Resources (Adult Social Care) is to provide the Select Committee with an update on the work being undertaken with Judge and Priestley Solicitors when it has progressed.