Pensioner Taxback Campaign workshop 14 May 2009

Dave Ensor (DE) – CAR, Taxback Project Manager and Amy Mustoe (AM) – CAM provided background information to the Budget announcement to run a fourth Pensioners Taxback Campaign and outlined suggested marketing plans.

John Andrews (JA) stated that post facto analysis of previous campaigns had shown their success rates to be poor so were we proposing a similar campaign or will the new campaign be a scaled down version of the 2002-3 campaign?

ES responded that due to time constraints and cost many options had been considered but this was viewed to be the best option available.

How could we identify those eligible for taxback?

Identification via Pension Credit applications. However this may exclude those currently outside of the scope of the credit but eligible to taxback.

AP: Linda Francis (LF) from DWP offered to speak to the Home Visits Team at DWP, who make assessments of people’s entitlement to benefits. Taxback would be a natural extension of this. DE to liase offline with LF on this.

Two groups of people, who could identify potential claimants:

  • DWP via Pension Credit applications, mindful that the Exemption Limit will increase in November 2009
  • HMRC and the banks

JA stated that the banks should deliver/and identify customers eligible for taxback on interest. LITRG operate mystery shopper exercises annually on the R85 but in the majority of cases found that the information and literature provided by the banks was not up to date. Building societies did fair better – especially the smaller organisations.

What do you want HMRC to do?

  • Manage expectations.
  • Encourage people to look at their statements. Do people know they are paying tax?
  • Avoid making this another patronising marketing campaign.
  • Make banks tighten up their game.
  • Increased education and awareness - clear simple language, financial capability.
  • Finding the right balance.
  • Make it easier to understand – look at the language barriers.

The sub group had a number of concerns with the draft letter under consideration for distribution to 2.7 million Pension Credit applicants - around the language/ literacy/numeracy levels assumed.

AP: DE invited ongoing dialogue with interested parties who could help extend the reach of the letter.

AP: ICD to review the letter under the clear language strategy.

Other points raised:-

  • To include the designated helpline number on both the factsheet and in the letter as frequently the two become detached.
  • What consideration had been given to people with hearing difficulties and defects, as the campaign is planned to involve a large amount of telephone contact. CAR had not considered this situation, and will take this away to consider.
  • THOP had a large number of queries around the State Pension wording in the fact sheet for the last campaign.
    AP: CAR will liaise with them directly as a non ISF member, to understand the problems encountered.
  • How soon would a draft fact sheet be available for consideration?
    DE replied hopefully by the end of June/mid July.
  • How do you sustain customer engagement with taxback post the current campaign? One suggestion was to include literature additionally with State Pension notification.