Delivering digital - why we need a message which resonates

This month I've invited Jamie Angus, he's our Head of Communications to share his thoughts about why we need to be getting more people using the internet...

Jamie Angus

 

Last week saw the publication, probably for the first time, of a detailed state of play of the UK housing sector when it comes to delivering digital services.

 

All-in-all it doesn’t make for great reading in terms of the sector’s success of transforming service delivery in the digital age. Yet if you read the bloggersphere and believe the hype of the Twitteratti you’d think that the Jetsons’ hovercrafts were just weeks away.

The reality, which the self service report draws out, is that clunky IT systems, a lack of credible data on accessibility for tenants and a reluctance to promote a service which is far from Amazon-standard is holding us back.

But what strikes me the most is that as a sector we still haven’t nailed down why we’re doing this. We haven’t constructed the narrative as to why this is so important.
It reminds me of a great blog by Kate Bentham (@katebentham) where she refers to Channel Shove rather than Channel Shift.

We’ve all seen the transactional costs data and in a time where financially, we’re scrambling to strangle the last drop of value from every penny spent, we can see why online is such an attractive proposition. But if you go to any estate in Wolverhampton, or indeed any estate across the country, and tell tenants that going online is great – it’ll save us a fortune, then you can probably guess what most reactions will be. And this feels like the challenge we’re grappling with.

But the truth is, and this is the message which needs to resonate with tenants, they risk getting left behind if they’re not online. With Universal Credit on the horizon it’s never been more important that tenants, especially those of working age, get ready by being online. The stark reality could well be that no internet access equals no Universal Credit payment. I of course over simplify, but when you think about the message of missing out, it fits better with the raison d’etre of social housing. By not being online, tenants are missing out on job opportunities, financial savings, better energy deals, the chance to connect with friends and family. All of a sudden, the digital agenda ticks the moral boxes of financial and social inclusion, fuel poverty and social mobility.

At Wolverhampton Homes we’ve been grappling with the challenges of Channel Shift. It’s been an uncomfortable process but we’re making progress. And, in fact, although we may not have shouted the loudest, our statistics are credible and show we’re up there. The Yorkshire Housing report pretty much states there are no real pioneers yet. Yes, some are better than others at promoting it, but as a sector, we’re still finding our feet – but think of the potential if we all worked together to nail this.

In Wolverhampton, with a tenant-base of 23,000 – nearly 6,000 are signed up to our do-it-online account. Last month, we had nearly 1,000 active users logging-in to either make a payment, change their details or book a repair. Interestingly, our repairs booking system (although it’s far from perfect) is fully automated into our back office systems and allows tenants to pick a time which suits them. No e-forms which go to a customer service advisor to manually input; it’s fully automated self-service.

 

But we know that for most people they’d still pick up the phone. As proud as we are of our website and its mobile-responsive design, booking a repair online isn’t sexy enough to drive thousands of tenants there.

 

But the challenge isn’t so much getting people to report repairs online; that should come later. Just being online is the key. People won’t come to our websites excited by the fact that the internet means they can book repairs or update their personal details. But they will be excited when they’re saving money, switching energy suppliers, helping their kids with their homework and applying for jobs and training. But that’s not a message we can deliver on our own – so we’re looking to work with schools and businesses in the city to promote that message too.

It’s a long digital road ahead, and although the technology will no doubt improve, if we can’t win the hearts and minds of tenants and colleagues then it’s going to be an arduous journey.

But we can and will win the debate, we have to, our tenants have got too much to lose if we don’t.

Universal Credit - a bit like England losing on penalties

Mark Hendeson, Director of Housing at Wolverhampton Homes

Every so often it's nice to get the views and opinions of other people on my blog so I'm handing over the reins today to my Director of Housing, Mark Henderson - and he's already talking about football!

Preparing for Universal Credit over the past eighteen months or so has felt a little bit like England losing on penalties to Germany – it’s an inevitability; it will happen in the future; we’re just not too sure when.

So earlier this week when it was announced that we’ll be part of the final tranche of West Midlands authorities transferring over, there was a strange element of relief that at least we now know.

For some time now we’ve been bombarding our staff and our tenants with the message that Universal Credit is on the horizon - it’s on its way! But it’s a tough sell when you can’t say for definite when. The definition of ‘Coming Soon’ has been stretched somewhat – given that the start for new, single person claimants in Wolverhampton will be sometime between December 2015 and April 2016. 

But despite the frustrations of not knowing exactly when this is happening – what it does do is provide us with an opportunity. We’ve got a little bit more time than most to prepare as best we can. Unlike the under-occupancy charge where we had data and knew 90% of those who were likely to be affected; with Universal Credit it’s much harder. The first claimants of ours may not even be tenants at the moment and could well be in work and not claiming a penny of benefits right now.

What we do know though is that eventually, as claims for other benefits such as Job seekers allowance and tax credits are closed, around 1 in 3 tenants – that’s 8,500 – will end up transferring to Universal Credit; that’s a logistically tough challenge (and a huge business risk).

So without knowing who our first Universal Credit applicants will be, being focussed and targeted is tricky. What we can do though is set out three clear messages:

1) You need to be online

2) You need a bank or credit union account

3) You need to put a bit aside each month in preparation for Universal Credit being paid monthly.

For how long can you say 'coming soon'?

But what we do have already is buy-in from across the company. Colleagues know how this could impact our customers and our business so we’re drawing Universal Credit champions from tenants, staff members and customers alike to make sure that we’re as ready as we can be. And as part of our preparation, where customers may struggle, we’ll be encouraging them to apply for a short-term benefits advance, to give a buffer, and not allow arrears to build up, in advance of their first Universal Credit payment.

We’re also working with our neighbouring authorities – and that’s key. It’s like a Universal Credit self-help group. But aside from the opportunity to vent frustrations - it’s actually a really useful way of learning, sharing ideas and building effective networks.

We’re also re-focussing our business objectives. More than 5,000 tenants are signed up to our do-it-online account and we’re making a big push to get more and more services accessible through our website. No doubt mobile-apps and so on will follow – the next two or three years will see a revolution in housing terms when it comes to technology, of that I’m sure.

Employability is right at the top of the agenda too. We’re already linking in with local job clubs and utilising our double-award winning LEAP apprenticeship programme to get more tenants ready to get back into work and training.

But to a degree there’s only so much preparation you can do. At some stage you just need to get your head down and get on with it and see what quirks the new system will throw up.

But – with an election on the horizon – maybe there will be some tweaks and changes before our live date. The NFA’s call this week for payments to go directly to landlords for those tenants who’d prefer it to is a sensible suggestion. After all, individual choice is important – and if a direct payment to landlords is the best way for them to make sure their rent is paid and their home is secured, then surely that’s a win-win all round?

Whatever happens in the next 12 months – we’ll be as ready as we can be.

'Bedroom Tax' and 'Poverty Porn'

It’s been twelve months now since the removal of the spare room subsidy – or, as critics and the media dubbed it, the ‘Bedroom Tax’.

If the issue of the welfare system and council housing weren’t really in the public consciousness twelve months ago, they certainly are now.

Not council houses: the now infamous James Turner Street

In recent months we’ve seen the vitriol emanating from the Twittersphere and Fleet Street surrounding White Dee and her neighbours on ‘Benefits Street’ and, most recently, we’ve seen the return to our screens of ‘How to Get a Council House.’ Channel Four’s ‘shock-umentaries’ have, in fairness to them, elevated these issues to the national debate. But they’ve also, rather unhelpfully, reinforced the grossly unfair negative stereotypes which are lauded over council tenants and people who are on benefits.

I have to admit – I couldn’t bring myself to watch ‘Benefits Street’ - but it was impossible to escape the editorial jibes or internet forum debates about work-shy scroungers. Instead of indulging in what some commentators have dubbed ‘poverty porn’, I prefer to focus on making a difference and trying to improve the lives and homes of people who live in our city.

Instead of debating whether White Dee will stand for parliament – perhaps the narrative now needs to switch to how we can fix some of the root causes to these problems; the chronic housing shortage; the need for more jobs and apprenticeships and a sensible, grown-up discussion about mental health.

One of my colleagues met with our local newspaper, the Express & Star, last week to talk to them about the Bedroom Tax, one year on. The subsequent headline read ‘Dozens risk eviction in Wolverhampton over Bedroom Tax’. Sadly, the headline rings true.

 

Around 3,500 tenants were affected by the welfare changes in the city. Just 37 have failed to pay anything – that means nearly 99% of those who had to find extra rent for the first time, have, somehow, made some sort of payment. And we’re grateful for that. I’m amazed that we’ve been able to retain our position as one of the highest rent collecting authorities in the country; collecting more than 98% of the rent we’re owed. That in itself should show that the overwhelming majority of our tenants are paying their way. From talking to lots of the tenants I meet, I know that some of them have had to make some really difficult choices and sacrifices to find that extra cash.

 

We're working to help tenants manage their budgets

Sadly, just a few hundred have been able to, or chosen to, move since last April. There’s a mixture of reasons for that – the two main ones being a shortage of smaller homes and, quite simply, people don’t want to move. To some, council houses are a commodity or asset– but to those who live in them, it’s their home.

Now whether the ‘Bedroom Tax’ stays or goes – what we do know is that financially, things for lots of our tenants are going to get worse before they get better.

We’ve invested a lot of money in offering support and debt advice to tenants – but for some, the cycle of debt feels never-ending. We held a focus group with some tenants and we asked them about debt and where they’d go to for help; and still people were saying that pay day lenders were an easy way to get money. What we’re saying is – yes – but they’re an easy way to get into dire financial trouble too.

My plea to anyone who is struggling with their finances is to please ask someone for advice. If you’re a tenant, then come and see us. Or pop and see your local Citizens Advice Bureau. Or open an account with your local credit union. There is help out there…and it doesn’t cost a billion % APR either.

I read a lovely letter last week from a tenant who was thanking our Money SmartTeam for all the work they’d done with her to help turn her financial woes around. If only more people would do what she did and asked us for help.

So, we can talk about ‘Benefits Street’ or ‘How to Get a Council House’. We can take to Twitter to condemn those who are unfortunate enough to be unemployed, or who have mental health problems. We can talk about whether the Bedroom Tax should or shouldn’t be scrapped. But what I’d rather we talk about are the real reasons and problems behind this smokescreen of a so-called welfare system debate. Let’s talk sensibly about how we build more social and council homes, how we treat and support vulnerable people and families in our communities and how we help people break that vicious cycle of debt so they can rebuild for themselves and their families, a brighter future.

Anyway - I'd much rather here about the tenants who have got inspiring stories to tell...like Michelle...

Let's Do It Online

You can’t go anywhere right now without being reminded about how much money you can save by doing things online. For some it’s a double-edged sword. We’ve seen this week that in some circles they’re predicting that one fifth of high street shops could disappear in the next five years – and analysts are putting that down, largely, to the impact of online shopping.

Whether it’s cuddly meerkats or opera singing Welshmen offering to save you money on your car insurance or downloading music –it seems cheaper and far less hassle when you do things online. They say that doing more and more via the internet could save a household more than £500 a year which, in this financial climate, and in the wake of welfare reform, is a really significant sum.

I guess the reality is that people’s habits and customer service expectations are changing. Of course, it’s not for everyone, but we know there’s a sizeable number of out tenants who have, for want of a better phrase, gone digital. For example, our figures show that around 6,500 people visit our website every month whilst more and more people have got access to the internet through smart phones and tablets and are contacting and engaging with us through Twitter and Facebook.



Our Web Wizards are helping to get tenants online



So as our customers’ habits change, we need to change too. Long gone are the days when people have to call us during working hours on Monday-Friday – or, dare I say, write us a letter! We’re investing in online technologies so tenants can report repairs, pay their rent and check their accounts whenever, and wherever they want. It also frees up our phone lines so we can help those who can’t use, or who don’t have access to, the internet. It’s better customer service, simples!



But it’s not just about offering better customer service. With the introduction of Universal Credit on the horizon, the stark reality is people are going to have to get online because for most people, the Universal Credit will mean having to apply online and manage their claim through an online account.

That’s why we’ve got a team of dedicated ‘Web Wizards’ who are working with tenants to help get them online. They’re in our one-stop shops across the city showing people who are queuing up to pay their bills that there’s another way to pay and it doesn’t involve standing in queues!

If you’re reading this already then the chances are you’re already part of the digital revolution. In which case, don’t forget to sign up and register for your ‘Do-it-Online’ account. But if you know someone who’s a tenant or leaseholder of ours and you think they need help to get online then ask them to get in touch with our Web Wizards who’d be more than happy to help.

The times they-are a-changin’ – we need to make sure we do too.

What will be the impact of welfare reform?

I’ve been talking to tenants, community groups and councillors about the likely impact of welfare reform in Wolverhampton. 

We all appear to be thinking along the same lines – that Wolverhampton is likely to be particularly hard hit.

Why? Well, we have nearly double the national average unemployment and 70% of Wolverhampton Homes tenants are on housing benefit. In fact 36% of working age tenants are on full housing benefit – compared to just 20% nationally. And a significant proportion of our tenants have a disability or are vulnerable in one or more ways.

We estimate that an extra £3.95m extra “cash” will need to be paid by tenants – either as a result of benefit cuts or because the benefit will go direct to them rather than paid on their behalf direct to their rent account.   This includes £2.4m as a result of under-occupation of family homes. 

Although last year was our best ever year for rent collection and the average debt per tenants is among the best nationally (and we have worked hard with tenants to have a really good payment culture) – what will happen when we have nearly £4m more to collect?

Everyone involved in supporting tenants locally feels there is a real risk of serious arrears. It could be as high as 20-25% of the £4m. That’s £lm less income for the Council –  fewer new homes, reduced services or delayed improvements and major repairs. Although thank goodness the decent homes programme is quite safe. And that’s not including the cost to Wolverhampton Homes of employing more staff to support tenants,  to deal with arrears or the cost of all the additional transactions.  

Of course work has already begun to raise tenants’ awareness, pass on budgeting skills and encouraging moves to different sized homes – although with the mismatch of the stock size to peoples’ needs and the overall shortage of housing, this sadly isn’t a realistic option for many.

We can go a long way to encourage tenants to be more resourceful, move to monthly budgeting and become internet savvy – with rent always being the priority, but everyone I have spoken to shares the view that dealing with this financially and practically will be a step too far for many folk.

I'll write another post soon about the steps we are taking, but in the meantime it would be interesting to hear other peoples’ views while we continue to develop new approaches to help mitigate this difficult situation.