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New clause


Lords amendment: No. 24, after clause 10, to insert the following new clause--Saving for social security regulations--
".--(1) Notwithstanding any enactment or rule of law, regulations may exclude from entitlement to any of the following benefits, namely--
(a) income support, housing benefit and council tax benefit under the Social Security Contributions and Benefits Act 1992;
(b) income support and housing benefit under the Social Security Contributions and Benefits (Northern Ireland) Act 1992; and

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(c) jobseeker's allowance under the Jobseekers Act 1995 or the Jobseekers (Northern Ireland) Order 1995,
any person who has made a claim for asylum other than on his arrival in the United Kingdom or within three working days of that arrival.
(2) Regulations may provide that, where such a person as is mentioned in subsection (1) above is subsequently recorded by the Secretary of State as a refugee within the meaning of the Convention--
(a) that person may, within a prescribed period, claim the whole or any prescribed proportion of any income support, housing benefit or council tax benefit to which he would have been entitled had he been recorded as a refugee immediately after he made the claim for asylum; and
(b) where he makes such a claim as is mentioned in paragraph (a) above in respect of housing benefit or council tax benefit having resided in the areas of two or more local authorities in Great Britain, the claim shall be investigated and determined, and any benefit awarded shall be paid or allowed, by such one of those authorities as may be prescribed.
(3) Regulations making such provision as is mentioned in subsection (2)(b) above may require the other authorities there mentioned to supply the prescribed authority with such information as it may reasonably require in connection with the exercise of its functions under the regulations.
(4) Schedule (Modifications of social security regulations) to this Act--
(a) Part I of which modifies the Social Security (Persons from Abroad) Miscellaneous Amendments Regulations 1996; and
(b) Part II of which modifies the Social Security (Persons from Abroad) (Miscellaneous Amendments) Regulations (Northern Ireland) 1996,
shall have effect.
(5) The Jobseeker's Allowance (Amendment) Regulations 1996 shall have effect as if they had been made on the day on which this Act is passed.
(6) In this section--
"claim for asylum" and "the Convention" have the same meanings as in the 1993 Act;
"prescribed" means prescribed by regulations;
"regulations"--
(a) in relation to income support, housing benefit or council tax benefit under the Social Security Contributions and Benefits Act 1992, means regulations under that Act or the Social Security Administration Act 1992;
(b) in relation to income support or housing benefit under the Social Security Contributions and Benefits (Northern Ireland) Act 1992, means regulations under that Act or the Social Security Administration (Northern Ireland) Act 1992;
(c) in relation to jobseeker's allowance under the Jobseekers Act 1995, means regulations under that Act or the Social Security Administration Act 1992;
(d) in relation to jobseeker's allowance under the Jobseekers (Northern Ireland) Order 1995, means regulations under that Order or the Social Security Administration (Northern Ireland) Act 1992."
7 pm

The Secretary of State for Social Security (Mr. Peter Lilley): I beg to move, That this House doth disagree with the Lords in the said amendment.

Madam Deputy Speaker: I must inform the House that the Lords amendment involves privilege. With this, we may consider the following: Government amendments (a), (b) and (c), and amendments (d), (h), (e) and (f) to the Lords amendment.

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Lords amendments Nos. 27 and 28, and Government amendments (a) and (b) to Lords amendment No. 28.

Mr. Lilley: The procedures for claiming asylum were set up to help the small number of people who escape tyrannous regimes, but the rules have been exploited by more and more economic migrants using them to circumvent immigration controls. That situation has been exacerbated by the benefit system. The easy availability of social security benefits has been exploited by an ever-rising number of asylum seekers--more than 90 per cent. of whom turn out not to be genuine.

The losers are genuine refugees. They come here not for benefit but for sanctuary, but their asylum claims are delayed as the system becomes swamped by an ever-increasing number of bogus claims, and they have to wait longer and longer for a decision. The other losers are the taxpayers. If we had done nothing, the cost would soon have exceeded £400 million a year. We are determined that this country shall remain a sanctuary for genuine refugees.

The changes I introduced in February, with parliamentary approval, ensure that anyone arriving in the UK as a refugee, and persons trapped here by an upheaval in their home country, will receive benefit help until their claim is turned down. That continued help to asylum seekers is expected to cost £140 million a year. Persons who are found to be genuine refugees, and those granted exceptional leave to remain, will continue to qualify for help--which is over and above the sum that I mentioned.

The regulations removed the benefit incentive from illegal immigrants and overstayers who claim asylum when apprehended by the authorities, and from individuals who gained entry to the UK by claiming that they would support themselves without recourse to public funds--and it is surely wrong that they should be able to avoid that requirement by subsequently making an asylum application.

The third change was to end entitlement to benefit if and when a claim to refugee status is found to be invalid. If people choose to appeal against that refusal, the regulations treat them like British citizens, who do not receive benefit while appealing against refusal of a benefit claim.

Those regulations were all agreed by comfortable majorities in both Houses, but, on 21 June, the Court of Appeal decided that the benefit changes required primary legislation. In the light of the court's decision, I moved promptly, and announced the Government's wish to insert a new clause in the Bill to reinstate those successful and much-needed regulations. A new clause and new schedule were agreed in the Upper House and restored the regulations.

I also took the opportunity to meet the concerns that lay behind the Court of Appeal's decision about the tiny minority of asylum seekers--5 per cent. at first decision and 3 per cent. on appeal--who are eventually found to be genuine refugees. Our amendment provided for an individual's benefit to be backdated once he or she is found to be a refugee, which brings treatment of refugees fully into line with that of British citizens who win an appeal against an initial decision to refuse them benefit.

Sir Jim Lester (Broxtowe): My right hon. Friend makes the important point that the regulations treat

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asylum seekers the same as British citizen--but the latter are claiming a means-tested benefit, whereas there is no such test for refugees.

Mr. Lilley: I am not sure why my hon. Friend thinks that is so, because the same means test applies to asylum speakers as to British citizens, and is in that respect analogous. Refugees will be treated the same as British citizens--now fully so, in that, if they are found to be genuine claimants, they will have their means-tested benefits backdated to the beginning of their claim.

Mr. Corbyn : Surely the Secretary of State appreciates that his point is not logical. No one who appeals against a social security decision, who will normally be resident in this country, does so against a background of absolute destitution. Asylum seekers who are denied benefits face the alternative of complete destitution.

Mr. Lilley: The hon. Gentleman may think the arrangement is illogical, but it is the one that he requested in our earliest debate on the matter. I thought that he would welcome the fact that I listened to his points and made the change. People appealing against asylum decisions may have friends and relatives in this country, whereas individuals appealing against benefit decisions may not have any friends and relatives living in this country--so the situation could be the reverse of that which the hon. Gentleman suggests.

Ms Lynne : Does not the right hon. Gentleman realise that benefit claimants are able to work, whereas asylum seekers are denied that ability?

Mr. Lilley: That is only partly true. After six months, any asylum seeker is normally given the right to work. We are withdrawing benefits only from persons who have demonstrated that they have the means to support themselves. Individuals who, at the port of entry, declare themselves to be seeking asylum will be entitled to benefit from the moment that they enter the country.

Mr. Chris Smith (Islington, South and Finsbury): Will the right hon. Gentleman justify his statement that he is only withdrawing benefits from persons who are able to support themselves? That is patently not the case. Is not the answer to the hon. Member for Broxtowe (Sir J. Lester) that, in one case, an individual is appealing against a benefit decision, whereas in the other, the person is appealing against an asylum decision? The two cases are completely different.


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