Select Committee on Northern Ireland Affairs Fourth Report


Conclusions and recommendations

1.  We are concerned that, having withdrawn financial support for legal assistance in making a claim for criminal injuries compensation, steps were not taken to ensure that adequate alternative help and support is available for all potential applicants. We call on the Minister to undertake an urgent review of the capacity of Victim Support Northern Ireland to provide assistance to all applicants, and to take steps to ensure that applicants are fully aware of the options open to them. (Paragraph 17)

2.  We appreciate that there have been some initial problems associated with the introduction of the new Tariff Scheme. However, we recommend that the Agency reviews its targets for processing claims and sets more challenging, while still achievable, targets year on year. (Paragraph 22)

3.  We commend the success of the Agency staff in reducing the outstanding claims under the 1988 Order, and we urge them to continue their efforts to deal with the remaining cases as quickly as possible. (Paragraph 24)

4.  We recommend that the Minister undertake a review of the current policy in relation to recovery of compensation, which restricts the use of recovery powers to cases where offenders themselves subsequently become entitled to compensation. (Paragraph 27)

5.  We are very concerned that flaws in the law governing compensation have resulted in some child sexual abuse victims being unintentionally debarred from claiming compensation. We urge the Minister to take steps as a matter of urgency to remove this barrier. (Paragraph 30)

6.  We welcome the commitment by the Minister to give detailed consideration to the recommendations in the Greer Report on scar viewing, in consultation with the legal profession. (Paragraph 33)

7.  We were reassured both by the Agency and by the Minister that the Agency has the capacity and the expertise to cope with a major incident, through having a major incident team in place, and contingency plans to draft in additional staff from other agencies if necessary. (Paragraph 36)

8.  We recognise the difficulties and uncertainties facing the insurance industry at the present time. However, in view of the improving security situation in Northern Ireland, we welcome the assurance from the Minister that, as part of the planned review of the Criminal Damage Compensation Scheme, the issue of providing cover for terrorist related incidents will again be explored with the insurance industry. (Paragraph 38)

9.  It seems clear to us that blatant exploitation and abuse of the Terrorism Act compensation schemes occurred on a large scale, particularly over the two-year period following the introduction of the Terrorism Act 2000. The Minister described this as a "tendency towards something between fraud and opportunism". That the abuse should have continued unchecked for a considerable period is a very great cause for concern, but we are pleased to note that it was eventually confronted head on and we congratulate the Compensation Agency on tackling the issue in a vigorous and effective manner. The introduction of a new robust claims procedure, and closer liaison with the Army aided by an improving security situation on the ground, has had a dramatic impact (Paragraph 43)

10.  We wanted to know the total actual loss to public funds over this period but the Minister, while acknowledging that "it must be quite considerable", was unable to provide an estimate. Based on the estimated saving in the current year as a result of the introduction of the revised procedures, we calculate that the overall loss was probably in excess of £5 million over the two year period. (Paragraph 44)

11.  The priority must remain to pay compensation to those entitled to it but we recognise that schemes of this kind can and will continue to be susceptible to fraud and abuse. We urge the Minister to continue to review these schemes to ensure that funding goes to those who deserve it and that any irregularities are detected and dealt with at an early stage. (Paragraph 45)

12.  On reviewing the Agency's budget we were concerned to find that the allocation for the current year was more than double the forecast outturn across a range of headings leaving the Agency with a potential surplus of just over £40 million. (Paragraph 46)

13.  We have been assured that the Department had been alerted to the underspend and that this money is being used to meet funding pressures elsewhere. However, we believe that with more accurate forecasting by the Agency this additional money could have been available for allocation at the outset of the year to other vital priority programmes in Northern Ireland. We urge the Minister to take steps to ensure much more realistic forecasting in the future. (Paragraph 48)

14.  In the past the Agency has identified 'achieving an improvement in its level of user satisfaction' as one of its key performance targets but dropped the target in 2003-04. We would urge the Agency to restore that target accompanied, if necessary, by a more robust methodology for distinguishing between 'genuine' dissatisfaction and irritation at refusal of a claim. (Paragraph 51)


 
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