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Social Security Harmonisation
9. Dr. Michael Clark: What plans she has to move towards the harmonisation of the social security system of the UK with its European partners. [14638]
Mr. Field: The Government have no such plans.
Dr. Clark: Does the right hon. Gentleman recall the statement made by the Minister with responsibility for pensions that there is a need to integrate an efficient social protection system throughout Europe? If there are no such plans, what did that mean? If that statement is correct, does it mean that, if pensions were integrated throughout Europe, we might have to forgo our national pension fund, which is probably larger than the rest of the pension funds of Europe put together? Or would it mean that we would have to pay more to assist countries that had not made prudent pension provision, or even both? Would the right hon. Gentleman comment?
Mr. Field: The Government have no plans for harmonisation. That does not mean that we do not consider carefully the evolving social security agenda to discover where the British interest lies and to advance it. We are giving particular attention to three areas. First, we want to ensure that, if pensioners move between countries, they are not put at a greater disadvantage vis-a-vis their occupational pension than they would have been if they remained in their own country. Secondly, we are examining the position of migrant workers to ensure that, as they move between two countries, they do not pay taxation and social security dues in both. Thirdly, we are interested in how the single market rules will operate for the transference of pension capital. As the hon. Gentleman said, and as I used to say when I was in opposition, this country has an enormous advantage in that area.
Child Support Agency
10. Mrs. Ewing: What is the current average response time by Child Support Agency offices to inquiries for reviews submitted by (a) individuals and (b) hon. Members on behalf of constituents. [14639]
Mr. Keith Bradley: No figures are available on average response times but, in the current year, 86 per cent. of
reviews have been cleared within 13 weeks, and 99 per cent. within 26 weeks. We are not complacent about the state of the Child Support Agency. In June, the Government announced that we were looking closely at all areas of the child support system to ensure that the CSA is consistently fair and efficient. We aim to move forward with our final proposals on the CSA in the first half of next year.
Mrs. Ewing: I thank the Minister for that answer. Does he appreciate that Members of Parliament often have to request reviews on behalf of their constituents because the initial assessment is inaccurate? Will he give us the latest figures on the accuracy of first assessments?
Mr. Bradley: I am unable to give the hon. Lady that figure today, but I shall write to her. We are not complacent about the accuracy of initial assessments. We have put extra money into the child support system to ensure a more efficient and effective service on behalf of all our constituents. I assure the hon. Lady that that will continue to be our resolve. We shall examine all aspects of the Child Support Agency to ensure that it works in the way that we expect it to, and in the interests of our constituents.
Mr. Cunliffe: I welcome the Minister's enthusiastic efforts to improve the system that was introduced by the previous Government, which many of us believe is administered incompetently. It is a cock-up. Does he agree with many hon. Members that the Child Support Act 1991 is the most infamous, iniquitous Act that has gone on the statute book since the poll tax legislation? Administrative incompetence, together with the injustice in the system, adds insult to injury for thousands of conscientious parents, and brings financial distress to many second families throughout the country.
Mr. Bradley: I thank my hon. Friend, because I know that he has taken a great interest in these matters throughout the period that the Child Support Agency has been in existence. We are reviewing all aspects of the agency, and we shall publish our plans for it early next year. I hope that the problems that my hon. Friend has identified will be addressed as a result of those proposals.
Miss McIntosh: Does the Minister agree that, when a review has been successfully concluded and it is deemed that an overpayment has been made, that money should be reimbursed in a short time? Does he accept that three months is too long before that money is repaid? Does he agree that overtime should not be included in an assessment, especially when it is seasonal?
Mr. Bradley: I thank the hon. Lady for her comments. I should point out that a third of absent parents are still not paying, and we must ensure that those payments are made. However, I have noted the hon. Lady's comments and I recognise their force. I assure her that we want an efficient organisation of the Child Support Agency, so that such overpayments are repaid in the time that she suggested.
Pensions
11. Mr. Corbyn: What assessment she has made of the benefits of calculating future pension increases on the basis of the rise in average earnings. [14640]
Mr. Denham: We are committed to increasing the basic state pension at least in line with prices. Pensioners
can be reassured that, for 1998, we are meeting that commitment. The basic state pension--including its value--the state earnings-related pension scheme and other issues of concern to pensioners are being considered as part of our pensions review, which will report in the first half of next year.
Mr. Corbyn: Does my hon. Friend recognise that one of the great achievements of the last Labour Government was the linking of pensions with either prices or earnings, whichever was rising faster? As a result, pensioners enjoyed a much higher standard of living under that Government. The last Tory Government cut the link, thus robbing every pensioner of more than £1,000 a year. Does my hon. Friend accept that a high basic state pension, linked to earnings, is cheap to administer, is fair, and will do a great deal to eliminate the disgraceful levels of poverty that many older people have to endure?
Mr. Denham: As we said in our manifesto, we want all pensioners to share fairly in rising national prosperity. We must take into account all the sources of income that enable pensioners to share in national prosperity--pensions from the state, pensions from non-state sources, benefits, savings and other forms of pensioner income--and we will do that in the review. The basic state pension is the foundation stone of pension planning for retirement, but it is also important for us to enable people to complement it with a second pension--an occupational, personal or stakeholder pension--to ensure that they can enjoy security in retirement.
Mr. Duncan Smith: Will the Minister confirm that the review will consider re-establishing the link, either partially or wholly--possibly for all pensioners, or even just for those who start receiving pensions after the review is complete? What will be the range of the review in that context?
Mr. Denham: Our manifesto makes it clear that all aspects of the basic state pension--including its value--will be considered in the review.
Appeals
12. Mr. Blizzard: What plans she has to ensure that appeals by benefit claimants are dealt with more speedily. [14641]
16. Mrs. Mahon: If she will make a statement on ways of improving social security appeals. [14645]
Mr. Keith Bradley: We are determined to reduce the current delays and complexities in the appeals system. On 9 July, we introduced the Social Security Bill, which paves the way for the creation of an active, modern social security system. The Bill includes several measures that will enable us to provide a quicker, simpler and more efficient appeals service for customers. The Secretary of State will take personal responsibility for the administration of the appeals system, will set and publish demanding targets to shorten the time that it takes for appeals to be heard, and will report on the results.
Mr. Blizzard: I thank my hon. Friend for his reply. Does he agree that the social security benefits system
inherited from the last Government is in crisis? Does he further agree that the sheer number of people who depend on benefits and the harshness of the regime introduced by the last Government are resulting in too many appeals, long waits and the clogging up of the independent tribunals service? In particular, will my hon. Friend examine the disability living allowance? Because of the 32-page all-work test and the frequent consequent reduction in benefits, many disabled people are making appeals, and both they and their carers resent the long wait that they are having to undergo. Finally, when is the review of the disability living allowance likely to be completed?
Mr. Bradley: The disability review will be completed early next year. The whole purpose of the Social Security Bill is to streamline the administration of benefits, and to make it simpler and more efficient for customers. The Bill contains provisions that will enable corrections and other changes to be made at an early point in the administration of benefits, so that customers' difficulties can be put right and they need not go to appeal. That is the best way in which to ensure that people receive their entitlement at the point at which they need it. I believe that the Bill will greatly benefit a vast number of claimants.
Mrs. Mahon: I welcome my hon. Friend's commitment to improving the appeals system. It is indeed slow and inefficient and causes a great deal of distress, not least to the staff who must administer that inherited system. What discussions has my hon. Friend had with staff and their representatives, and how soon will they be reassured and involved in the system?
Mr. Bradley: I am grateful to my hon. Friend for the concerns that she has expressed on behalf of staff. I share those concerns because, during modernisation of the social security system, there are always anxieties about the way forward, but I assure her that I shall continue to have constructive discussions with trade unions and staff representatives as our plans for streamlining and modernising the social security system unfold.
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