The Department for Work and Pensions (DWP) is facing significant challenges in delivering satisfactory customer service, according to a new report by the National Audit Office (NAO). The report highlights a combination of staff shortages, outdated IT systems, and the ongoing impact of the Covid-19 pandemic as key factors hindering the department's ability to meet customer expectations.
The NAO found that customer satisfaction levels varied across different benefits, with state pension customers reporting high satisfaction rates (93%) compared to Personal Independence Payment (PIP) claimants (77%). This falls short of the department's target of 85% customer satisfaction. Furthermore, the report revealed that only 52% of PIP claims were processed within the 75-day standard in 2023-24, compared to 96% of state pensions completed within the 10-day timeframe.
The performance of DWP's in-house telephone lines has also declined, with only 76% of calls answered in 2023-24, compared to 86% in 2020-21. In contrast, outsourced call handlers achieved a 94% answer rate last year.
The report attributes the decline in customer service to a "challenging internal operating environment," which includes persistent staff shortages in crucial frontline roles like work coaches and case managers. The NAO acknowledges the time required to train new recruits, further adding to the strain on existing staff.
The report also highlights the impact of a growing number of complaints and changing customer expectations. Additionally, the complexity of the benefits system makes it difficult for the department to deploy staff flexibly, as extensive training is required for each benefit.
Further complicating the situation is the DWP's reliance on outdated and fragmented IT systems. The report states that different benefits operate on separate systems, hindering staff from accessing a complete view of a customer's information. The use of legacy systems, such as those for Employment and Support Allowance, further exacerbates inefficiencies and increases the risk of errors.
The report acknowledges that the ongoing impact of the Covid-19 pandemic, which led to a surge in Universal Credit claims and a shift in priorities and resources, continues to affect DWP's ability to meet customer service demands.
While acknowledging the challenges facing the DWP, the NAO highlights the opportunity for collaboration and learning from other customer-facing government bodies. The report praises the DWP's efforts to share best practices through events and the cross-government centre of expertise.
The NAO emphasizes the importance of the DWP's Service Modernisation Programme, which aims to transform customer services by developing digital capabilities to enable self-service and reduce reliance on telephone contact. The programme also includes the rollout of a "Conversational Platform" designed to ensure customers are directed to the correct point of contact.
However, the report expresses concern over the "amber" confidence rating assigned to the programme by the Infrastructure and Projects Authority, indicating potential risks requiring attention.
In response to the report, a DWP spokesperson stated their commitment to providing efficient and compassionate welfare services. They acknowledged the challenges highlighted and highlighted the modernisation programme's role in improving customer service, including enhancing support for PIP applications and developing a new online application service.
