Select Committee on Work and Pensions Third Report


11 Conclusion

202. The Committee concludes that Pension Credit has increased the incomes of many of the poorer pensioners. The Pension Service has succeeded in introducing it smoothly and successfully. Evidence presented to the Committee suggests that for many pensioners their experience of the Pension Service is good, particularly in straightforward cases. However, serious consideration needs to be given to making improvements in particular areas, including: the accuracy of claim forms completed by Pension Credit Application Line; the adequacy of advice Pension Service staff are able to give on more complex issues such as the interaction with other benefits; improving the procedures for dealing with errors and delays and improving the quality of award letters.

203. The Pension Service faces a significant challenge if it is to reduce its staffing levels from 19,965 in March 2004 to around 8,000 in 2011/12. Key to achieving this will be the implementation of the Pensions Transformation Programme (PTP). The Committee is encouraged that the Department appears to have learned from experience and is introducing its business transformation and the new technology in carefully managed stages. However, PTP depends for its success on external factors, including other IT projects. Furthermore, we have yet to see it operate in practice. The Committee's key concern, therefore, is that staffing levels in the Pension Service must be protected until the PTP shows that it is able to deliver all the expected efficiencies.

204. The process of reducing staffing levels to such an extent will inevitably be difficult. The Committee was given evidence that announcements to date, and the resulting uncertainty, have already had a negative impact on staff morale. The situation is extremely disappointing for staff who joined because they saw the Pension Service as a positive place to work, where they could make a difference. The Committee is concerned that the quality of service must be maintained throughout this process, and sufficiently detailed information needs to be provided to enable this to be monitored. The establishment of a 'standards committee', (including representatives of customer representative groups) tasked with producing six-monthly reports on the quality of service would help ensure transparency and accountability . In particular, the Local Service must not be seen as a 'soft target' for cuts. It must have the resources it needs to play a full role in partnership working, to maintain a visible presence at local level and to meet local demand for home visiting.


 
previous page contents next page

House of Commons home page Parliament home page House of Lords home page search page enquiries index

© Parliamentary copyright 2005
Prepared 9 March 2005