Local Authorities/Government Departments - Bill Collection

All of our work is tailored to individual clients' needs. Our projects however are typically either based around a review/benchmark of arrangements or assistance with a tender process.

Review & Tender of Bill Collection Services:

The Rationale:

Many local authorities have to rely on the services offered by Alliance & Leicester Commercial Bank plc, allpay.net or the Co-operative Bank plc for the collection of Council Tax, Housing Rent and other funds at Post Offices, PayPoint and Payzone outlets.

Historically, Alliance & Leicester Commercial Bank (or Girobank as they were known) were the only organisation able to offer the Post Office network for bill payments although in recent years competition has increased from allpay.net and the Co-operative Bank .

Payment methods have also been automated with the introduction of plastic swipe cards and bar-coded credit slips.

Although, for many authorities, the cost of collecting payments this way is substantially higher than the mainstream banking costs, historically a tender process has been inappropriate with Girobank being the only service provider. With the introduction of competition, substantial savings can be generated at tender.

The Service:

Management of all or part of the tender process
Dealing with European Union Procurement requirements
Preparation of an invitation to tender document to include transaction processing, card production and personalisation/despatch of cards
Review of all internal processes surrounding bill payment collection and inclusion of any improvements in the tender process
Evaluation of tenders and production of a report suitable for internal reporting purposes
Assistance with short listing and clarification process

The Benefits:

Expert assistance obtained in completing the tender process
Professional and thorough documentation ensures keener pricing
Thorough evaluation of tenders
Savings often generated
Minimal strain on internal resources - time saved

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Review and Benchmark of Bill Collection Services:

The Rationale:

Although we often find that the most competitive deals are achieved through a tender process, we can provide a benchmarking service for authorities who consider that tendering is not appropriate. This service can be completed as part of a wider review of all banking arrangements or as a bespoke project.

The Service:

An alternative to placing a contract to tender whilst still demonstrating Best Value
Benchmark of tariffs and services to assist in negotiating extensions to the current contract
Benchmark 'tender' tariffs and settlement timescales supplied together with advice on negotiating improved terms
Negotiation tactics provided

The Benefits:

Best Value demonstrated whilst avoiding a time consuming tender process
Savings often generated
Possible improvements to services identified
Internal processes improved

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Local Authorities/Government Departments - Bill Collection All of our work is tailored to individual clients' needs. Our projects however are typically either based around a review/benchmark of arrangements or assistance with a tender process. Review & Tender of Bill Collection Services: The Rationale: Many local authorities have to rely on the services offered by Alliance & Leicester Commercial Bank plc, allpay.net or the Co-operative Bank plc for the collection of Council Tax, Housing Rent and other funds at Post Offices, PayPoint and Payzone outlets. Historically, Alliance & Leicester Commercial Bank (or Girobank as they were known) were the only organisation able to offer the Post Office network for bill payments although in recent years competition has increased from allpay.net and the Co-operative Bank . Payment methods have also been automated with the introduction of plastic swipe cards and bar-coded credit slips. Although, for many authorities, the cost of collecting payments this way is substantially higher than the mainstream banking costs, historically a tender process has been inappropriate with Girobank being the only service provider. With the introduction of competition, substantial savings can be generated at tender. The Service: Management of all or part of the tender process Dealing with European Union Procurement requirements Preparation of an invitation to tender document to include transaction processing, card production and personalisation/despatch of cards Review of all internal processes surrounding bill payment collection and inclusion of any improvements in the tender process Evaluation of tenders and production of a report suitable for internal reporting purposes Assistance with short listing and clarification process The Benefits: Expert assistance obtained in completing the tender process Professional and thorough documentation ensures keener pricing Thorough evaluation of tenders Savings often generated Minimal strain on internal resources - time saved [go back to top of page] Review and Benchmark of Bill Collection Services: The Rationale: Although we often find that the most competitive deals are achieved through a tender process, we can provide a benchmarking service for authorities who consider that tendering is not appropriate. This service can be completed as part of a wider review of all banking arrangements or as a bespoke project. The Service: An alternative to placing a contract to tender whilst still demonstrating Best Value Benchmark of tariffs and services to assist in negotiating extensions to the current contract Benchmark 'tender' tariffs and settlement timescales supplied together with advice on negotiating improved terms Negotiation tactics provided The Benefits: Best Value demonstrated whilst avoiding a time consuming tender process Savings often generated Possible improvements to services identified Internal processes improved [go back to top of page]	News Banks Increase Pricing For Credit The 'credit crunch' and changes in capital adequacy requirements have seen banks attempt to increase their income from lines of credit extended across our entire client base. We are seeing increases in both fees and margins for short term working capital lines and a tendancy to restrict the use of overdrafts in favour of LIBOR linked facilities. The fees and margins for term debt have also increased. Our experience is, however, that it remains a competitive market place and banks do want to lend to good quality covenants. Whilst working with clients, we have been able to mitigate some of the increased costs and if your bank is attempting to increase its income from lines of credit then it is probably a good time to review the whole relationship to ensure that in overall terms pricing and charges remain competitive. Reducing costs in the Charity sector The economic downturn has hit the charity sector with most UK charities expecting donation income to fall over the next 12 months. This prospect is driving charities to look harder for ways to reduce costs and improve efficiency. Focus on Banking has now worked with 10 major UK charities in the last 18 months and has been able to generate savings in banking and credit/debit card acquiring arrangements of well over £500,000. Joint Procurement for Local Authorities The profile of procurement in local authorities has been raised in the last few years through a number of Government publications and reviews. All local authorities are now considering options for procuring good/services on a joint basis with neighbouring authorities. Whilst undoubtedly for certain types of contracts, authorities will benefit from economies of scale, this does not necessarily apply to banking. In fact banks have tended to show little appetite for complicated joint contracts and will not usually offer discounts or reduced pricing when several authorities collaborate. Law Firms Become Critical Customers For Banks The credit crunch has seen the competition between banks for the client balances that law firms hold increase. At the same time, firms have increasingly become concerned about the safety of the balances. Given that banks are also restricting the use of Base Rate linked facilities and increasing margins and fees for credit lines, the dynamics of firms’ bank relationships are fundamentally changing. Maintaining and increasing client balances held has become a key target for banks and there has never been a better time to review relationships. We have now worked with more than 65 of the UK’s largest professional firms and the number continues to grow. Contact Us Email Us
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