Agenda item

Jim Marsh – Transformation Manager, Rachel Mason – Capita Account Manager, and Andy Davies – Capita Product Director, provided the Committee with information to support the review into Payment Modernisation across Key Resident Services. Key points highlighted included:

The Council’s website was due for a refresh, to better enable residents to easily make payments in confidence. The refreshed website would be designed to reduce the number of ‘clicks’ required to make a payment, and would include payment guidance and confirmation of a successful transaction. The new website’s payment options would be designed to mitigate residents’ current issues with online payments, which included a lack of signposting towards payments upon logging onto the site, uncertainty over whether their payment had been successful, as well as a lack of confidence in using microsites or third party sites which did not display Hillingdon branding.

Currently, contact from Hillingdon residents to the Council was approximately 70% via the telephone. Email, website and face-to-face contact accounted for the remaining 30%. The aim was to have these figures reversed, with 70% of contact via the website moving forward. It was understood that a subset of Hillingdon residents were either unwilling or unable to use online tools, and so telephone contact options would remain for those residents, alongside the ability to talk to an officer should an issues be complicated and unable to be addressed online.

Only 47% of the current webforms on the website had payment functionality. 15% of webforms provided an online payment option. 6.4% of current transactions resulted in a payment.

Market challenges to the adoption of technology for payments with local authorities included GDPR, PSD2, and Brexit. Whilst there were strong commercial benefits to increasing online payments, it was accepted that a cash option should remain. It was highlighted that the preference of residents would ultimately inform the payment solutions made available.

It had been noted that there was an increase in the use of tablets for the age 60+ demographic, often to the exclusion of desktop computer use. In comparison, ages 15-17 more often used their mobile telephone handsets to conduct online transactions. Direct Debits were the most cost-effective method of payment for Councils to process, though many residents were choosing to use credit cards, which provided rewards such as cashback, air miles etc.

Mature payment methods included card payments via the web, as well as direct debits. Open Banking was in its formative stages, whilst crypto currency was being discussed but was not likely to be a preference for residents.

In the public sector, telephone calls remained the preference of residents overall, However, automated solutions would provide efficiency and cost benefits, and alternatives included web chats, automatic payments, and continuous payments. Online payments reduced risk and overhead, such as postage and paper costs. Web chats had been seen to provide significant efficiencies, allowing a customer service representative to manage up top 7 customers at once through multiple chats, versus a single customer via phone or face to face.

For card payments, integrated solutions offered efficiency and flexibility, while bank terminals were quick to deploy and had a low technical overhead. Payments via smartphone, such as via Apple Pay) were often limited to a maximum £30 transaction, though higher value transactions were now becoming more common.

A proposed MyAccount, with single sign-in, would allow residents to manage multiple payments, including those of relatives and dependants (following application of the appropriate security checks).

Future plans included:

•         Re-designed templates, navigation, and new 'Home Page' for Smartphones

•         Branding on all portals/microsites, with payment functionality

•         Improved page layouts,  e-form structure, and links

•         A consistent style, plain language, and minimal use of PDF attachments

•         3 click navigation based on the highest volume customer journeys

•         Integrated and consolidated microsites

•         Develop a new MyAccount with more services, with a Single Sign On and (potentially) shopping trolley for payments

•         A service access process re-design with integrated webforms for the high demand services (Housing, Waste, Adult Social Care)

The rollout of these changes was subject to approval from Cabinet.

The Committee asked a number of question, including:

Was it the aim that ultimately, all payments to the Council should be though the new website?

The aim was to ensure that any resident who wanted to use the website, was able to do so quickly, easily and intuitively. Although ultimately, the Council was looking to reduce the amount of cash payments to be processed, payment options would be determined by resident behaviour. It was accepted that a subset of Hillingdon residents would be unable or unwilling to use online payment options, and so alternative payment options would remain available.

What was the lowest value digital card payment that could be processed?

Digital card processing charges were applied proportionately to the value of the transaction, so there was no minimum payment value that could be accepted.

Future plans seemed challenging to successfully implement. Were there other local authorities that had carried out similar refreshes that Hillingdon could learn from?

It was important to recognise that many of the options presented within the witness session were not subject to the procurement of new technology. In many cases, Hillingdon had existing technology that could be used. A number of London Boroughs were using the same technology as Hillingdon, had conducted similar exercises, and case studies were available for officers to learn from.

How long would it take for the new payment options available via the website to begin showing a return on investment?

It was expected that initial costs would total £280k in the first year, for a return of £800k. In the second year, expenditure costs would be in the region of £50-100k, with third year expenditure being nil. Returns in the second and third year were expected to be approximately £2.4m.

Members highlighted the importance of including a ‘log off’ button. In addition, Members affirmed the need to provide sufficient payment options for all residents, including vulnerable residents and residents who were unable to read.

RESOLVED:  That the information presented be noted.