---

Social Fund

Mrs. Anne Campbell: To ask the Secretary of State for Social Security how many people were in receipt of a social fund grant or loan (a) in the year the social fund was introduced and (b) currently. [36980]

Mr. Roger Evans: In 1988-89, the first full year of the discretionary social fund, 153,000 non-repayable community care grants and 884,000 repayable loans were awarded.

In 1995-96, 275,000 non-repayable community care grants and 1,753,000 repayable loans were awarded.

Records held are based on the number of loans and grants awarded not the number of individuals to whom the awards were made. Some people may have been awarded more than one payment during the year.

Benefits

Mr. Alan Howarth: To ask the Secretary of State for Social Security what is his estimate of the cost of increasing current (a) earnings disregards and (b) capital limits to each benefit by (i) earnings and (ii) prices; and what would have been the cost at 1996 prices had these been uprated every year since their introduction. [34273]

Mr. Roger Evans: The information requested is set out in the tables.

Table 1: Estimated costs of increasing earnings disregards

Change to earnings disregards	Cost 1996-97 (£ millions)
Increasing disregards by prices.	10
Increasing disregards by earnings.	10
Increasing disregards by prices since their introduction.	120
Increasing disregards by earnings since their introduction.	160

1. Estimates are modelled on the 1994 Quarterly Statistical Enquiry and the 1991/1992/1993 Family Expenditure Surveys uprated to 1996-97 levels of prices, benefits and earnings. Costs are rounded to the nearest £10 million.

2. Factors for uprating are based on the ROSSI and earnings indexes of the year prior to the year in question and have been applied to earnings disregard levels at April 1996.

3. Figures for Income Support contain unemployed cases who will be included in Jobseekers Allowance from October 1996. The effect on the Back to Work Bonus has not been estimated as the future behavioural response is very uncertain.

4. It has been assumed that no behavioural effects take place. The estimates which involve larger changes to the earnings disregard should in particular be treated with caution.

23 Jul 1996 : Column: 285

Table 2: Estimated cost of uprating capital limits since their introduction, or at the April 1996 uprating, at 1996-97 prices and benefit levels

Income related benefit	Current year	Since introduction
Uprated by:	Prices or earnings	Prices (ROSSI) £ million	Earnings £ million
Income Support (including Jobseekers Allowance (Income Based))	*	60	70
Housing Benefit	*	50	70
Council Tax Benefit	*	*	*
Family Credit	*	30	40
Total estimated cost	*	140	190

1. Estimates are rounded to the nearest £10 million; * indicates a cost less than £5 million.

2. The lower and upper capital limits (except in residential care and nursing home cases) which apply in the calculation of income-related benefits are currently £3,000 and £8,000 respectively for Income Support and Family Credit, and £3,000 and £16,000 for Housing Benefit, Council Tax Benefit and Disability Working Allowance. The lower £3,000 limit was introduced in 1988. The upper limits of £8,000 for Income Support and £16,000 for Housing Benefit were increased in 1990. The Housing Benefit capital limits were applied to Disability Working Allowance and Council Tax Benefit when these benefits were introduced in 1992 and 1993 respectively.

3. Estimates are based upon data drawn from the 1991, 1992 and 1993 Family Expenditure Surveys, uprated to 1996-97 prices and benefit levels.

4. Estimates exclude cases in residential care and nursing homes.

5. Adjustments to these estimates are made using data drawn from the May 1995 Income Support Quarterly Statistical Enquiry; the Family Credit database at July 1995; and the May 1994 Housing Benefit/Council Tax Benefit Management Information System.

6. It is not possible to give separate costs for Disability Working Allowance as there is insufficient information on likely claimants to effectively model their entitlement.

7. Figures for Income Support include Jobseekers's Allowance (Income-Based) from October 1996.

8. ROSSI is the Retail Prices Index excluding the rent, mortgage interest and local tax components, and is used to uprate income-related benefits.

9. After rounding the capital limits to the nearest £250, uprating by earnings or prices is the same for the one year uprating at April 1996.

10. Totals may not sum due to rounding.

23 Jul 1996 : Column: 286

Asylum Seekers

Mr. Timms: To ask the Secretary of State for Social Security what progress the Benefits Agency in (a) Newham and (b) the United Kingdom has made in (i) identifying, (ii) contacting and (iii) recompensing asylum seekers affected by the Court of Appeal decision of 21 June. [35974]

Mr. Roger Evans: The information is not available in the format requested. Such information as is available is as follows.

Immediately following the Court of Appeal ruling, Benefits Agency offices were advised to accept claims from those who gained entitlement to benefit for the period from 5 February. Given that the Court of Appeal ruling has received widespread media coverage, and this is an area in which advocacy and support groups are very active, it is likely that any action geared towards identifying affected cases would be largely redundant. Therefore, the Government do not believe it is necessary to take any special steps to identify those who may have gained entitlement following the court ruling.

Asylum seekers who would have been entitled during the period 5 February to 21 June will be aware that benefit can be obtained by making claim in respect of that period or seeking a review of a decision to disallow benefit. Arrears of benefit will be payable where appropriate in respect of claims and requests for review covering the period 5 February to 21 June.

Bate Case

Mr. Donohoe: To ask the Secretary of State for Social Security how many cases processed by the Benefits Agency have been affected by the decision of the House of Lords on the Bate case; in how many cases, suspended pending the outcome of the Bate appeal, payments have been made to claimants; if he will indicate the total amounts paid out to claimants affected by the Bate case; and what considerations led to the decision to make the payments. [36568]

Mr. Roger Evans: The information is not available and could be obtained only at disproportionate cost.

Fraud

Mr. Gordon Prentice: To ask the Secretary of State for Social Security if he will list the initiatives undertaken to reduce fraud in the periods (a) April 1979 to May 1983, (b) June 1983 to May 1987, (c) June 1987 to March 1992 and (d) April 1992 to date; and what was the amount of fraud detected for each period in constant prices. [36833]

Mr. Heald: The information is not available in the format requested as details of initiatives undertaken prior to the creation of the Benefits Agency are not available. Such information as is available is as follows:

1991 to March 1992
Sector Fraud organisation established.
National Organised Fraud branch established.
Introduction of free anti-fraud training for local authority investigators.
Publication of anti-fraud, good practice guide for local authorities.

23 Jul 1996 : Column: 287

April 1992 to date

Five year Security Strategy;
Post Office Reward Scheme;
Electronic Stop Notice, barcoding of order books;
Deployment of mobile bar code scanners in Post Offices;
Generalised Matching Service--development of data matching across Benefits Agency computer systems to identify customer inconsistencies and incorrectness which are likely to result in excess benefit payments.
Audit Trail Analysis System--to provide a computer tool to deter, detect and report on patterns of fraud and abuse;
Spotlight on Benefit Cheats campaign--a series of co-ordinated anti-fraud drives, targeting specific towns or geographical areas;
Freephone Fraud Hotline Pilot;
Extra visits and other checks of new and existing claims to benefit;
Investigation of employers who collude with their employees to make false claims;
Trial examining standards of documentary proof of identify at point of encashment;
Prisoners Project--automation of the interface between the Prison Service and the Benefits Agency in England and Wales to eliminate fraud by persons impersonating convicted prisoners;
Benefit Reviews to measure the scale of benefit fraud and incorrectness on major social security benefits;
Joint Benefits Agency/Contributions Agency National Insurance Number Project;
Hole punching of order books by Post Offices prior to return to Benefits Agency office;
Secure delivery of order books to Post Offices;

Ultra Violet lamps for Post Office use;
Redesign of girocheques and order books, including greater security measures;
Secure delivery of girocheques;
Benefits Agency and Post Office Counters Limited (BA/POCL)--procuring via a Private Finance Initiative the automation of Post Office counters, introducing the benefit payment card;
Development and improvement of Management Information Systems;
Development and improvement of Case Work Management;
Fraud Investigation National Database;
Search by Address facility on Departmental Central Index;
Change Management Project--changing the culture of staff and customers so that security becomes everyone's responsibility;
Improved verification procedures;
Child Benefit--creation and maintenance of register of stolen birth certificates.
Operation Rattle--aimed at people receiving Child Benefit but who are no longer entitled to it owing to their absence from Great Britain
Joint Child Support Agency (CSA and Benefits Agency (BA) pilot initiative to a BA fraud officer in Plymouth CSA Centre.
CSA cases referred to BA where fraud is suspected, including cases where reduced benefit directions have been accepted.
CSA and BA closer working project to identify improved joint working practices to identify and prevent benefit fraud in the most cost effective way.
Various joint operations with other Departments (e.g. Customs and Excise) and other bodies (e.g. the police) to detect and deter fraud.
A BA official seconded full-time with the National Criminal Investigation Service (NCIS).

23 Jul 1996 : Column: 288

Appointment of a dedicated anti-fraud Minister (DSS).
Ministerial group on countering benefit fraud set up to oversee the development of measures to counter benefit fraud and insure effective co-ordination within Government and local authorities.
Counter Fraud Unit (currently being established in DSS) which will co-ordinate counter fraud activity within DSS and across Whitehall.
Rationalisation of the Departmental Central Index;
Benefits Agency review of internal fraud;
Private Sector Partnership--scoping work to test the suitability of future partnerships with the private sector. Currently considering fraud process efficiency and effectiveness.
Risk management--assessing and analysing risks so that they can be targeted and minimised;
A programme of activity to detect unreported changes of circumstances amongst customers residing in countries overseas;
Merger of the Benefits Agency and Employment Service fraud investigation services;
Introduction of the anti-fraud financial incentive scheme for local authorities.
Action against fraud roadshows--held in 20 different locations throughout the country to encourage local authority anti-fraud work.
Publication of the local authority Fraud Investigators' manual.
National fraud service level agreements between local authorities and both the Benefits Agency and Employment Service signed.
Challenge Funding scheme to encourage innovative and anti-fraud ideas (worth £8 million in 1996-97).
Revised anti-fraud financial incentives with higher rewards and stiffer penalties for poor performance authorities.
Introduction of the Housing Benefit Matching Service in July 1996 providing a data matching service for local authorities.
Establishment of organised Housing Benefit Fraud investigation team pilot.
Fraud savings are not available before 1986-87, information from 1986 is not available in the format requested. Fraud savings in 1995-96 prices for complete fiscal years are given in the table.
Figures for 1992-96 exclude the estimated savings achieved through the Security and Control Programme before 1995-96, which have yet to be finalised.
Annual fraud detection savings

Period	1995-96 (49) Prices £ million
1986-1987	221
1987-1992	1,947
1992-1996	2,757.6




(49) Prices have been uplifted using Retail Prices Index (RPI) mid year indices. The source for RPI data was "Economic Trends Annual Supplement--1996 Edition".

---