SURREY County Council's adult social care services department is more than £14 million in debt, an internal audit has found.
The six-monthly financial report examining income and debt has highlighted a massive increase in need for the service as a major contributing factor – though the accounts do show the amount of debt has reduced from the previous year.
About 4,400 residents use the service each month and more than 1,400 referrals had been received by the council's financial assessment and benefit advisors by February this year according to the audit – a number described as "unexpected" and 45 per cent higher than a previous report had predicted.
In June last year, responsibility for giving financial information to residents prior to debt collection was transferred to the council's advisors, with a pilot scheme introduced in November.
It is thought the increase may be partly due to the new referral scheme.
Officers are now monitoring the number of new referrals in a bid to try to identify whether this is a long-term trend or a temporary spike.
It is also believed that changes to benefit payments could have contributed to the debt, after 116 people were identified as failing to receive a benefit payment since the introduction of the new process. Council officers are now working with them to support them in making a claim for benefits.
Officers are also considering the possibility of setting up advice centres in hospitals after receiving 100 referrals from hospital teams who have failed to undertake financial assessments on new patients prior to a referral.
According to the report: "A presence in the acute hospitals would allow [the council] to give quality information and advice up-front around charging and the ability to give the person an indication on what they may expect to pay pending a home visit upon discharge."
Council spokeswoman Joy Ridley said most debt is collected quickly.
She added: "However, when [debt] is connected to the death of an elderly person, we give grieving families time to pay out of courtesy. In addition, debt that is secured against property can only be collected on its sale.
"We are constantly looking for ways of improving things to reduce debt."