A NEW online system where Colchester residents can log on to apply for benefits has been hailed as a moneysaver.

Colchester Council’s e-claim system, which allows people to apply for housing and council tax benefit at www.colchester.gov.uk, was unveiled yesterday.

Until now, applicants have had to fill in a time-consuming 24-page form.

The new system will only ask people questions relevant to their claim. Because an e-claim takes less time to input and assess, residents will not have to wait as long for a response, cutting the average time it takes to deal with applications from nine days to four.

Surfers can also use an e-calculator, which estimates if someone is entitled to benefits and how much they would be likely to get.

The council says the system will allow officers to cut time spent on administering the claims by 17 per cent.

Paul Smith, councillor responsible for resources, said: “The benefits service has seen a significant increase in activity since April 2008.

“Many residents are accessing benefits for the first time, either due to a change in their circumstances, or because they were not aware they were eligible.”

A review of the council’s revenue and benefits service estimates there will be savings of £700,000 a year by next year, with about 20 jobs being cut.

Last year, Mr Smith said the recession had caused a 140 per cent increase in the workload of the service, due to rising unemployment and lower incomes.