Transforming Revenues and Benefits into a Strategic Asset for Council Finances

Revenues and benefits teams are undergoing a transformation from transactional administrators to strategic leaders within local government. Once viewed as back-office functions, these teams are now central to shaping financial resilience, driving innovation, and improving citizen outcomes. As Lee Perkins, CEO of Civica, puts it:

“Revenues and benefits teams are no longer just about administrative efficiency; they are about people. This is a once-in-a-generation opportunity to modernise governance and reshape how public services work for communities.”

Civica’s Future of Local Government Report 2025 reveals that 51% of councils have prioritised modernising outdated systems, while 49% are focused on improving the digital experience for citizens. However, 57% cite financial constraints as the biggest barrier to transformation, and 40% report limited digital literacy among staff. These figures underscore the urgency of investing in digital capability and strategic leadership within revenues and benefits teams.

A Defining Moment for Revenues and Benefits in Local Government

Local government is at a crossroads. The convergence of welfare reform, rising citizen expectations, and structural changes from devolution and local government reorganisation (LGR) is reshaping how councils operate. In this shifting landscape, revenues and benefits teams are no longer peripheral they are essential to ensuring councils remain financially stable and responsive to community needs.

The sector faces a complex mix of challenges: the continued rollout of Universal Credit, adjustments to Housing Benefit thresholds, the creation of the Local Audit Office, and the push toward unitarisation. These reforms, while demanding, offer a rare opportunity to reposition revenues and benefits as strategic, citizen-facing services that deliver both operational efficiency and social value. Lee Perkins emphasises the importance of digital transformation in navigating these changes:

“By leveraging smart technologies, councils can improve operational efficiency, enhance citizen engagement and ensure long-term financial resilience. At Civica, we are committed to being a trusted partner, equipping local authorities with the digital tools needed to succeed in this new era.”

The report also highlights that only 39% of councils currently have a dedicated budget for digital transformation, despite the growing demand for online services. This gap must be addressed if revenues and benefits teams are to fulfil their potential as strategic enablers of reform.

Five Strategic Priorities for Financial Resilience

To shift from reactive service delivery to proactive financial leadership, revenues and benefits teams should focus on five interconnected strategies:

1. Enhance Data and Reporting

Robust data infrastructure is the foundation of effective decision-making. Councils must prioritise data governance, ensuring that systems are interoperable, accurate, and secure. Real-time insights such as payment behaviours, benefit uptake, and fraud indicators can help councils respond quickly to emerging risks and opportunities.

“Data is no longer just a compliance tool it’s a strategic asset,” says Lee Perkins, CEO of Civica. “Councils that invest in clean, connected data will be better equipped to deliver services that are both efficient and equitable.”

2. Coordinate Services Across Boundaries

As local government reorganisation (LGR) and devolution reshape the sector, many councils are merging systems, policies, and teams. Harmonising Council Tax Support schemes, Housing Benefit rules, and IT infrastructure is a complex task but one that can unlock consistency and improve citizen experience. Revenues and benefits teams should lead this integration, ensuring that service delivery remains seamless and that residents receive consistent support regardless of administrative boundaries.

3. Build Digital Capability

Digital transformation is no longer optional. Civica’s 2025 report found that 40% of councils cite limited digital literacy among staff as a major barrier to reform. Upskilling teams in data analytics, automation, and digital communication is essential. Automation can reduce manual workloads, improve accuracy, and free up staff to focus on complex cases and citizen engagement. As Universal Credit continues to evolve and Local Housing Allowance rates shift annually, councils need agile, tech-savvy teams to keep pace.

4. Restore Public Confidence

Financial resilience isn’t just about balancing budgets it’s about building trust. Citizens must feel confident that their council is managing public funds responsibly and distributing support fairly. Designing services that are inclusive, transparent, and responsive to local needs is key. Involving residents in co-designing systems and feedback loops can help ensure reforms reflect community priorities and foster greater public buy-in.

5. Champion Reform and Innovation

Revenues and benefits teams should not wait passively for policy changes. Instead, they should actively engage with national bodies, contribute to consultations, and advocate for funding models that support long-term sustainability. By sharing best practices and collaborating across authorities, councils can shape the future of local government finance rather than simply reacting to it.

Technology as a Catalyst for Transformation

Digital transformation is no longer a future ambition it’s a present-day necessity for local government. Revenues and benefits teams, in particular, are at the forefront of this shift. As councils face mounting financial pressures and rising citizen expectations, technology offers a powerful lever to modernise services, improve efficiency, and build resilience.

According to Civica’s research, 51% of councils have prioritised modernising legacy systems, while 49% are focused on improving the digital experience for citizens . Yet, 57% cite budget constraints as the biggest barrier to achieving their digital goals . Despite these challenges, there is growing momentum around collaboration, shared learning, and strategic investment in purpose-built platforms.

“Digital transformation is not just about replacing old system  it’s about reimagining how services are delivered,”

Phil Ward, Business Manager for Revenues & Benefits at Newark & Sherwood District Council. “Civica’s platform has helped us streamline operations and improve citizen engagement. I wouldn’t hesitate to recommend them to colleagues in other councils.”

Examples of Technological Innovation in Revenues and Benefits

Several councils are already demonstrating how digital tools can revolutionise revenues and benefits delivery:

• Oxford City Council partnered with Civica to implement the OPENRevenues platform, enabling faster processing of claims, improved automation, and better integration with Universal Credit systems. This has led to more efficient service delivery and reduced administrative overhead.

• Cheltenham Borough Council used Civica’s cloud-based solution to give residents more choice in how they interact with services including online self-service portals and mobile-friendly applications. This not only improved accessibility but also reduced call volumes and manual processing .

• East Staffordshire Borough Council adopted Civica’s cloud platform to unify data sources and streamline claims handling. The result was greater transparency, faster turnaround times, and improved outcomes for citizens .

These innovations are powered by cloud-based platforms that support remote working, secure data sharing, and cross-departmental collaboration. Civica’s Revenues & Benefits software, for example, enables councils to:

• Automate routine tasks such as claim validation and payment processing.

• Provide real-time updates and alerts to citizens.

• Integrate data from multiple systems to improve accuracy and reduce duplication.

• Support mobile working for inspectors and caseworkers.

• Deliver consistent user experiences across devices  from desktops to tablets .

“We’re not just implementing software we’re embarking on a journey of organisational transformation,” says a Civica spokesperson. “Our goal is to empower councils to work smarter, not harder, and to deliver services that are both efficient and citizen-centric.”

Building the Future of Local Government

Revenues and benefits professionals already bring decades of experience in managing operational change. With the right investment in people, technology, and strategy, they can lead the next phase of transformation one that is not only financially resilient but also fair, transparent, and future-ready. Digital platforms are no longer just tools they are enablers of strategic decision-making, citizen empowerment, and cross-sector collaboration. By embracing innovation, councils can unlock new efficiencies, rebuild public trust, and deliver services that truly meet the needs of their communities.