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HOUSING BENEFIT - REPORT WARNS OF CONTRACTING DANGER

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Contracting out is not a panacea for housing benefit administration problems, the non-statutory sector has warned....
Contracting out is not a panacea for housing benefit administration problems, the non-statutory sector has warned.

A report by the London Housing Federation warns ministers that unless they simplify the government revised system most councils will struggle to meet performance targets.

Federation head Sue Ellenby said: 'Over the past year there have been over 85 changes to the housing benefit system. It is therefore not surprising that local authorities are struggling to keep up with this ever changing and complex system.'

Ministers should look to solutions other than contracting out, Ms Ellenby said.

Several IT firms have run into problems with council revenues and benefits contracts.
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