In 2018/19 Rotherham Metropolitan Borough Council (MBC) reduced arrears and bad debt write offs by over £1.6M whilst using RentSense.
Rotherham MBC, located in South Yorkshire, have around 20,000 homes. In 2015 they undertook a root and branch review of their housing income collection service, as they wanted to drive an improvement in performance. To do this they restructured the department and service and invested in RentSense and they were keen to transform the culture within the department.
“We invested £638,000 in our new service, new staff and RentSense and expected a return on investment in three years. However, the investment was paid back twice over in the first twelve months,” highlights Paul Elliott, Business and Commercial Manager at Rotherham.
“In 2018/19 the target set was to achieve a collection rate of 98.25%. At the year-end we achieved 99.67%, which meant we collected over £1.1m more in rent than budgeted. We also reduced our bad debt provision by around £500,000. In terms of corporate objectives, we are a development oriented council and we have a target of delivering 900 new homes, the savings we have delivered, in excess of £1.6m will feed into this for the council.”
The new approach to income collection by the council has helped transform results and the culture within and recently this has meant the council’s most recent collection rate has exceeded 100% for the first time. It is results like this that has meant they have signed a multi-year contract with for RentSense.
“RentSense identifies the cases you need to action and the information and detail it gives you is invaluable, and the reporting identifies where to allocate your time and resources. Before there was a lack of prioritisation and now we are able to focus on P1s, then P2s and so on.” Explains Nicholas Beasley, Income Recovery Team Leader at Rotherham MBC.
“The staff at Rotherham council have done incredible job,” commented Paul Evans, Commercial Director at Mobysoft. “It does demonstrate if you can present your staff with a highly accurate workload at the right time, in the right order in amazing results can be achieved.”