www.letshelpyou.co.uk

West Yorkshire LHA Project - A New Way of Working: Summary Report

Reduce footfall, waiting lists, homelessness, costs...

Gather data: see landlord listing - median rents…

Over 60% of rents fall within benefit entitlement

Promote self-service and channel shift

The West Yorkshire LHA Project funded by the Department of Work and Pensions and delivered from August 2011 – September 2012, is a proof of concept and at its core resulted in a new web-based digital service – www.letshelpyou.co.uk – bringing together two distinct audiences; landlords and tenants.

As local housing allowance (LHA) changes began to take effect from January 2012 reductions in Housing Benefit payments were estimated to affect over 41,000 claimants across West Yorkshire with a large majority facing shortfalls and searching for more affordable accommodations. As a consequence the Private Rented Sector has become increasingly important in the affordable housing strategy across the region.

The Project aimed to significantly improve communication between the two key audiences (landlords and tenants) without incurring additional resource provision by local authorities.

This summary report captures the main findings from a comprehensive final report submitted to all five West Yorkshire local authority partners and the DWP.

Here we present outcomes of the work undertaken, demonstrating the need and effectiveness of a service that provides a destination for people when searching for affordable property in the private rented sector.

Post-project updates are included in this summary report following re-investment from all five West Yorkshire local authority partners from September 2012 – August 2013, and beyond.

West Yorkshire LHA Project – A New Way of Working

Organisations that embrace digital self service options, and offer these to their communities as part of the new welfare reforms ahead of October 2017, are more likely to be prepared for Universal Credit placing them in a much stronger position to manage that transition and avoid financial loss, service failure and community backlash.

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INTRODUCTION 3

The Case for Universal Credit 4

Further Changes in Benefit Entitlement 5

Governance & Resourcing 6

Project Aims and Objectives 7

Channel Shift/Technical Development 8

Community Engagement 9

Marketing 12

Service Benefits 13

LIFE FOR LetsHelpYou BEYOND A DWP PROJECT 16

App Development 17

Market Research 18

USAGE, DRIVERS & BUSINESS CASE 19

West Yorkshire Registrations 20

West Yorkshire Property Activations 21

Economic Impact 22

Data Tables 24

REPORT CONTENT

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ALLOWANCE

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INTRODUCTIONIn June 2010 the new Coalition Government announced its plans to eliminate the budget deficit over the next parliament, largely through a series of public expenditure reductions.

With social security accounting for the largest part of public expenditure, and within that housing benefit accruing the second biggest component, it follows that it is a prime target for review and reductions.

In 2010 the Chancellor reported that spending on housing benefit had risen by around 50% in ten years from £14 billion to £21 billion.

New measures implemented between April 2011 and April 2013 are expected to reduce housing benefit expenditure by £1.8 billion a year with the majority of the new initial measures likely to affect private tenants with effect from January 2012.

Initial welfare changes

Removing the £15 weekly excess provision for all claimants

Setting an overall cap at the four-bedroom rate of LHA

Single adults qualifying for shared accommodation increased from under 25 years, to 35 years

LHA to equate to the bottom 30th percentile of the market (previously the bottom 50th)

These initial changes are simply the forerunner however to the most significant reform the welfare system has seen for a generation – The introduction of Universal Credit.

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The Case for Universal CreditThe current benefits system is considered inefficient and complex often involving an individual or family dealing with several agencies (DWP, HMRC and Local Authorities) at the same time.

The Welfare Reform Act 2010 –12 forms the basis for delivery of the new Universal Credit system.

It combines existing benefits – Income Support (IS), Job Seekers Allowance (JSA), Employment & Support Allowance (ESA), Tax Credits and Housing Benefit (HB) – into one benefit.

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Alongside the implementation of Universal Credit there is a raft of further changes to the benefits system likely to result in families and individuals living in accommodation that will become unaffordable.

Further Changes in Benefit Entitlement

Revision to child maintenance allowance

Over occupancy restrictions for social tenants in receipt of housing benefit

Replacing council tax with a local benefitadministered and set by local authorities

Capping the overall total amount of benefit that can be claimed

Up-rating Local Housing Allowance ratesby the Consumer Price Index

Introducing Personal Independence Payments – replacing current Disability Living Allowance

Contributory Employment and Support Allowance limited to a 12-month period

Further changes include:

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Upon receiving confirmation of the successful bid for the funding from DWP, the core project team quickly moved to establish a Project Board to deliver the objectives set out in the original proposal.

Each of the five West Yorkshire Local Authorities contributed members to the Project Board. Collectively, this group represented Senior Users from both Housing Services and Revenues & Benefits.

While engagement with Landlords was a key element of the project, it was decided that the Project Board also needed a voice for Landlords. This was provided by the regional representative for the National Land-lords Association (NLA) who took on the role of expert project advisor.

Governance & Resourcing

The key partners involved in the creation of LetsHelpYou were:

Looking Local (owned and managed by Kirklees Council)

Responsible for providing functional specification, development, and project co-ordination

• Bradford Metropolitan District Council• Calderdale Council• Kirklees Council• Leeds City Council• Wakefield Metropolitan District Council

Responsible for Local Authority representation on project board

National Landlords Association Responsible for Landlord representation on project board

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Advertising

Project Aims and Objectives

To provide a model for wider dissemination across the UK

Develop a digital service where Landlords can advertise property vacancies at LHA rates; and where prospective tenants can register their housing need

To make the granting of tenancies to LHA recipients more attractive to Landlords

Design the system to ensure users need minimal advice/instructions on use

Manage the “introduction” between Tenant and Landlord

To assist in making tenancies more afford-able and available to those in receipt of LHA

Deliver the digital service on a wide range of channels

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Channel Shift – A Multi Channel SolutionChannel shift to ‘online self-service’ is a key part of cutting costs. Encouragingly 78% of working age benefit claimants say they use the internet already.

Development of the LetsHelpYou service has not just been confined to that of the website. In line with one of the key objectives of the project, LetsHelpYou aims to be a multi-channel solution to ensure the widest possible reach.

In June 2012 the LetsHelpYou service was launched on TV (Sky and Virgin Media), mobile phones, smartphones, social media and games consoles. This development enables people without internet access to search for available properties on alternative channels to the web.

Technical DevelopmentThe technical team took a pragmatic approach to building the solution, phasing development to launch a basic, functional site by February 2012, followed by regular iterations improving usability/ adding new features as the project progressed. Timely and accurate functional specification work was crucial to ensuring LetsHelpYou could go live in a timely fashion.

Following an intense period of testing the first release of the website www.letshelpyou.co.uk

went live on 17 February 2012

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Community Engagement

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Critical to the success of LetsHelpYou is the communication, engagement and marketing activity with both the landlord and tenant communities.

This needed to be carefully planned, managed and undertaken in a number of phases, from introducing the concept to landlords as a new way of working, to launching the service to tenants, and lots more in between.

LetsHelpYou offers a wholly new way for both communities to engage, taking it much more to a self-service approach rather than one traditionally managed entirely by the local authority. Few local authorities have changed the way they manage their relationships with housing tenants or landlords over the past decade(s) and even fewer have had the resources to introduce any element of online/technology to the process.

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Tenant EngagementHousing benefit advisors across all five West Yorkshire local authorities have been instrumental in directing tenants to register with the LetsHelpYou website to search for available properties.

Each authority has been supported in this activity via a series of marketing collateral that has included leaflets, posters, and plasma screen slides for use in council buildings across their district.

Other stakeholder groups and agencies – CAB, tenant associations, housing wardens, and homelessness forums – were also encouraged to direct tenants to LetsHelpYou. In addition, LA partners have added links to LetsHelpYou from their respective council websites.

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Landlord EngagementEngagement with landlords was crucial – the primary routes used are:

ALLOWANCE

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LettersEach West Yorkshire partners sent pre-launch letters to their database of landlords encouraging them to pre-register and upload property details prior to a tenant launch

PostcardsA follow-up postcard mailer prompted landlords to register and upload their property details

Speaker Opportunities

At landlord events and further afield introducing the concept and objectives of LetsHelpYou. Events were facilitated by LA and/or landlord associations

Helpdesk

A dedicated telephone advice line and email is operational and manned during normal office hours for landlord (and tenant) enquiries

e-Newsletters Ongoing communication with landlords and tenants registered with LetsHelpYou is conducted through regular monthly e-Newsletters

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Marketing

Collaborating with each local authority ensured that best use was made of council channels through distribution networks, council publications, websites, inter-department engagement, and information sharing. Evaluation and review took place at each stage of delivery.

Direct MailUtilizing local authority landlord databases

Promotional displaysLAs placed promotional banners for maximum impact

AdvertisingCampaigns placed across regional /local titles and stations

Social MediaFacebook and Twitter presence

e-NewslettersSupporting the ‘keeping in touch’ policy for landlord and tenants

Leaflet productionTo inform and educate the benefits of the new digital service

The LetsHelpYou Marketing Strategy was published in January 2012 supported by a comprehensive marketing action plan, which incorporated collateral and activities as follows:

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Service Benefits...Local Authorities

A valuable tool for housing options (others) move people into the PRS

Access to local intelligence and data on the PRS

A solution when discharging homelessness duties

Encourage closer working with landlords in the PRS

Reduce avoidable contact

Access to the Management Information tool

Encourage self-service, across multiple platforms (channel shift)

Can be used to help support more vulnerable customers

Promote social migration across LA boundaries

Assists “accidental” landlords bring empty properties into circulation

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Service Benefits...Tenants

Quick and easy access to properties and landlord contact details

Property Tracker notifications to registered users

More informed about affordability

Other websites do not concentrate at this end of the market

Free to use (no charge for registration or downloading the app)

Regular e-newsletter and updates

Access via a variety of channels; translated into multiple languages

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FREE

Advertising

Service Benefits...Landlords

Landlords upload property details and photos themselves

Free unlimited online property management tools available

A quick way to benchmark property

Access via a variety of channels (i.e. web, smartphone apps, TV)

Property Tracker (i.e. number of views per week)

Free advertising to a wider tenant community

Easy to use and maintain property details (Tick box feature)

Regular e-newsletter and updates

Reduce time properties are left vacant

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The DWP-funded project officially came to an end on 28th September 2012. At this point Kirklees Council, via Looking Local, took ownership of the management and business development plans for the LetsHelpYou service.

The original proposal submitted to DWP outlined a desire to ensure LetsHelpYou was scalable and could be rolled out across the UK. With this in mind Looking Local was able to swiftly take the service to market operating to a local authority subscription model.

Reinvestment from local authority partners allows Looking Local to build a number of key developments which will enable further exploitation of LetsHelpYou for a variety of other purposes, as well as a number of features which will enable the site/service to reach some of the most vulnerable and digitally excluded in our communities.

As well as the existing development roadmap, new feature and functionality requirements are regularly requested and suggested by other stakeholders and service users.

LIFE FOR LetsHelpYou BEYOND A DWP PROJECT

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App DevelopmentContinuing the multi-channel development beyond the life of LetsHelpYou as a project was a clear requirement set out by the original project board, and was one of the key deliverables set out as part of the West Yorkshire reinvestment proposal.

During late Summer 2012, Looking Local began developing a dedicated LetsHelpYou app for both Android and iOS devices to widen access, the raison d’être being that tenants and

landlords should be able to use the LetsHelpYou service on their device of choice at a place and time that suits them. According to the eDigital Research 2013 report, around 60% of people in the UK own a smartphone and apps are a standard way of accessing services and making certain transactions easier.

(http://www.edigitalresearch.com/news/item/nid/655462669)

The free Android app is available at:http://tinyurl.com/letshelpyou

The free iOS version can be downloaded at: http://tinyurl.com/letshelpyouios

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SEARCH

West Yorkshire partners are keen to understand more about the wider use of LetsHelpYou; following a period of due diligence, Looking Local commissioned Qa Research to undertake a study during May -July 2013.

Online surveys were conducted with registered tenants, and computer-assisted telephone interviews (CATI) were conducted with landlords.

Market Research

TenantsCouncils have been instrumental in promoting the website to tenants but there is scope to advertise to a wider audience.

The service has helped around a quarter of tenants surveyed to find accommodation with evidence it has prevented many from becoming homeless.

Tenants are very positive about the website and would recommend it.

There is scope to increase awareness of the Property Tracker and smartphone app.

There is scope to encourage Landlord users to advertise more of their properties.

Councils have been instrumental in promoting the website, but some believe more could be done to promote the service more widely.

Landlords are very positive about the service and would recommend it.

There is scope to increase awareness of the Property Tracker and smartphone app.

Landlords

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USAGE, DRIVERS & BUSINESS CASE

Based on actual usage levels over a given 12 month period and associated trends we can forecast around 88,000 user sessions on LetsHelpYou in West Yorkshire over the next 12 months. This is based on actual site usage figures (extracted from Google Analytics):

Using SOCITM Insight’s benchmark cost of £2.83 for an equivalent phone call enquiry, this level of usage demonstrates a total of just under £250,000 of avoidable contact for the region. The benchmark cost used here is the next cheapest alternative form of contact (to web) and therefore any savings made via this method would be further outweighed by avoidable face-to-face visits. These figures also ignore the longer term avoidable contact savings that will be generated over the forthcoming years of running the LetsHelpYou service.

Statistical Analysis

Average number of actual user sessions per month 1,884

Average month on month increase in actual user sessions 13%

Total number of predicted user sessions in next 12 months 87,940

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West Yorkshire RegistrationsLetsHelpYou is continuing to develop a community of regular users right across West Yorkshire. The average number of tenant registrations per month is currently 674 – this shows a continued upwards trend. Tenant logins per month stand at a healthy average of 1,390.

Landlord registrations continue to grow at an average of 39 new registrations per month. However, landlords engage with LetsHelpYou beyond their initial registration with an average of 377 logins per month.

It should be pointed out that even though the number of monthly property uploads (overall) has plateaued, the cumulative total has only increase, showing that the LetsHelpYou service is one that West Yorkshire landlords value and continue to engage with almost 2 years after initially launching.

The upward trend of user sessions shows an accurate measure of the number of times properties are being viewed via LetsHelpYou. At its peak (during the data capture period) this reached just short of 30,000 property views in October 2013.

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The chart below shows the total number of cumulative property activations and deactivations for each West Yorkshire local authority area during the 16 month period since August 2012.

There have been a total of 3,123 property deactivations across West Yorkshire between August 2012 and November 2013. The most common reason for landlords deactivating properties is because the property has been let and is no longer available.

West Yorkshire Property Activations

Wakefield

Property Activations/Deactivations

Leeds

Kirklees

Calendar

Bradford

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Deactivations Activations

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581

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Property Activations

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Our market research tells us that around 23% of users have found accommodation using LetsHelpYou. Using this figure as a measure of successful lets it would equate to 718 lets between August 2012 and November 2013 – an average of 45 successful lets per month; this comes with an associated economic saving for the region – particularly compared to the cost of temporary accommodation. Indeed, the market research shows that a third of tenants who had found a property through LetsHelpYou said they would have essentially otherwise have been homeless.

The Audit Commission report* “Protecting the public purse 2011” illustrates that the average cost to place a family in temporary accommodation is approximately £18k per annum, per authority.

Economic Impact

*http://www.audit-commission.gov.uk/sitecollectiondocuments/downloads/ppp2011embargo.pdf

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Economic Impact

Actual Usage Calculation

Estimated successful lets across West Yorkshire 718

Percentage of tenants who would otherwise be homeless

33%

Estimated number of homelessness preventions 237 (= 718 x 0.33)

Estimated number of homelessness preventions/month 15 (= 237/16)

Estimated number of homelessness preventions/year 180 (= 15 x 12)

Estimated saving from homelessness preventions/year £3,240,000

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Data Tables – User Sessions

Period No. of users

% change on previous

monthPeriod No. of

users

*% change on previous

month

2012 Aug 1136 27 2013 Aug 3428 13

Sept 1076 -5 Sept 3874 13

Oct 1325 23 Oct 4378 13

Nov 1413 7 Nov 4947 13

Dec 953 33 Dec 5590 13

2013 Jan 1484 56 2014 Jan 6317 13

Feb 1717 16 Feb 7138 13

Mar 1892 10 Mar 8066 13

Apr 2557 35 Apr 9114 13

May 3072 20 May 10299 13

Jun 2948 -4 Jun 11638 13

Jul 3034 3 Jul 13151 13

Total Sessions

Year 122607

*Average monthly %

change = 13%

Total Sessions

Year 287940

Actual User Sessions Year 1 Predicted User Sessions Year 2

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“There is a wider variety of people. It gets us more applicants.” Landlord

“The properties on offer suited my needs very well and I could find a no deposit flat.” Tenant

“Congratulations. The Council is trying to help Landlords....and it’s free!!! The more cooperation between like-minded Landlords the better for our business and better for tenants” Landlord

“Great to see properties for rent at decent affordable prices, landlord info, benefits allowance etc - keep up the good work.” Tenant

LetsHelpYou is part of the Looking Local product portfolio, owned and managed by Kirklees Council - Delivering access to online services from Councils, Housing, Health and Blue Light organisations beyond their websites - TV, Smartphones, Mobile Web, and Social Media & Games Consoles.

Website: lookinglocal.gov.uk/site.

TV preview: lookinglocal.gov.uk/looking local/