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Welfare Reform Green Paper

Mr. Philip Hammond: To ask the Secretary of State for Work and Pensions (1) what estimate he has made of the likely cost savings from implementation of the measures outlined in the Green Paper, A new deal for welfare: Empowering people to work" in each year to 2018–19; [51952]

(2) if he will break down by expenditure item the planned £360 million investment proposed in the Green Paper, A new deal for welfare: Empowering people to work"; [51957]

(3) what he expects the cost to be for each Pathways to Work scheme in each year to 2008; [51974]

(4) what estimate he has made of the cost of extending work-focused interviews to all existing incapacity benefit claimants; [51977]

(5) what estimate he has made of the cost of employing staff to administer the work focused interviews proposed in the Green Paper, A new deal for welfare: Empowering people to work" in each year from 2008 to 2018; [51982]
 
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(6) what estimate he has made of the cost of employing medical professionals to administer the new personal capability assessments proposed in the Green Paper, A new deal for welfare: Empowering people to work" in each year from 2008 to 2018; and how many whole-time equivalent medical professionals he expects will be required. [51983]

Margaret Hodge: Our Welfare Reform Green Paper; A new deal for welfare, Empowering people for work"; set out our proposals for the future of the welfare state and builds on the success of our welfare to work policies such as new deal and Pathways to Work.

The funding for welfare reform has been drawn from the budgets provided to the Department through the 2004 Spending Review settlement which covered the financial years 2005–06 to 2007–08. Details are available in The departmental report 2005 (Cm 6539) published in June 2005. The £360 million funding is largely to be spent extending the Pathways to Work programme beyond the pilot areas and covers 2006–07 and 2007–08, but may also be used to fund other measures dependent on responses to the consultation.

While we are still in the consultation phase a detailed costing of the various parts of our proposals is not possible. This is especially the case in relation to the costs for each Pathways to Work scheme as we are looking to the private and voluntary sector to deliver many of the Pathways schemes and it is not possible to provide detailed costs prior to contract negotiations. This is also the case when it comes to the need for additional medical professionals where we are consulting to develop the detail of the new personal capability assessment. Medical Services will be contracting doctors and other health care professionals where required.

However, I can tell you that if every current incapacity benefit recipient was given a work focussed interview at least once a year, we estimate the cost would be around £80 million annually. The actual costs would be dependent on the numbers joining and leaving the benefit during any one year. But, although the cost savings from measures outlined in the Green Paper depend to a large extent on the final proposals following the consultation, we know that the existing Pathways pilots are already generating savings, and we expect further savings from further roll-out.

Mr. Philip Hammond: To ask the Secretary of State for Work and Pensions what additional financial help will be made available to those with the most serious disabilities and health conditions during the three-month assessment phase of the Employment and Support Allowance proposed in the Green Paper A New Deal for Welfare: Empowering People to Work". [51960]

Margaret Hodge: We are currently in the consultation period for the Green Paper. This consultation will include looking at the scope for simplifying the benefit structure.

The Green Paper proposes that, in addition to the assessment phase benefit, those with the most serious disabilities and health conditions may be entitled to the enhanced and severe disability premiums currently available through income support. They may also get help with housing costs through housing benefit and
 
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council tax benefit. It also proposes that claimants may be entitled to disability living allowance, which currently ranges between £16.05 to £104.90 per week depending on the claimant's care and mobility needs.

Mr. Philip Hammond: To ask the Secretary of State for Work and Pensions (1) whether the randomly selected ad hoc case checks proposed in the Green Paper, A new deal for welfare: Empowering people to work" will extend to incapacity benefit claimants with severe long-term disabilities and health conditions; [51965]

(2) assessment he has made of the impact of ad hoc case checks on the health of incapacity benefit claimants (a) suffering from stress and mental health problems and (b) with severe long-term disabilities and health conditions. [51973]

Margaret Hodge: It is important in the interests of fairness to genuine claimants and to the taxpayer, that we assure ourselves that those claiming incapacity benefits are entitled to do so. This requires regular review and other measures to ensure proper compliance.

Therefore, in line with our core principle of balancing rights with responsibilities, our Green Paper; A new deal for welfare, Empowering people for work"; sets out proposals to introduce an additional safeguard of randomly selected, ad hoc case checks, to be carried out by a dedicated team which would be created for this purpose. Where these checks produce doubt about the nature or extent of an individual's incapacity, a fresh personal capability assessment will be required. This process will provide confirmation to the genuine claimant of the appropriateness and correctness of their ongoing entitlement and also assurance to the taxpayer of the integrity and security of the benefit.

After completion of the formal consultation period on 21 April 2006, details on the operation of ad hoc case checks will be finalised, along with the other measures in the Green Paper.

Mr. Philip Hammond: To ask the Secretary of State for Work and Pensions what he expects will be the qualifying conditions for (a) the income-related strand and (b) the contribution-related strand of the employment and support allowance proposed in the Green Paper A New Deal for Welfare: Empowering People to Work. [51971]

Margaret Hodge: We are currently in the consultation period for the green paper; A new deal for welfare: empowering people to work". It proposes that the Employment and Support Allowance will replace incapacity benefit and income support (on grounds of incapacity). As now, individuals will be expected to fulfil the relevant medical, contribution and/or income tests to access the benefit.

Women's Pensions

Andrew Rosindell: To ask the Secretary of State for Work and Pensions if he will make a statement on the level of women's pensions. [56846]

Mr. Timms: We have already made a number of changes that are improving women's pension position. Two-thirds of those benefiting from pension credit are
 
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women. The state second pension is also extending second-tier pension rights, for the first time, to women who are caring for young children or a disabled adult.

We realise that, despite these improvements, more needs to be done. That is why we have made producing fair outcomes for women and carers one of our five tests for reform of the pension system.

Last November we published a research report 'Women and Pensions: the evidence'. This was a compendium of evidence that highlighted the key influences on the level of women's retirement income and provided a firm basis on which to build consensus on the way forward. This report, together with the final report from the Pensions Commission and the outcomes from the ongoing national pensions debate will help to build on progress so far in helping women pensioners when we come forward with proposals for reform of pensions in the spring.

DEPUTY PRIME MINISTER

Bedfordshire and Luton Economic Development Partnership

Andrew Selous: To ask the Deputy Prime Minister what the budget is for the Bedfordshire and Luton Economic Development Partnership for 2005–06; who its directors are; to whom it is accountable; and if he will make a statement. [55964]

Jim Fitzpatrick: Bedfordshire and Luton Economic Development Partnership (BLEDP) have a projected income for 2005–06 of £1,403,572. For the names of directors I would refer the hon. Member to the BLEDP website at: www.bledp.co.uk. BLEDP is accountable to the communities of Bedfordshire and Luton through its board of directors. As a company, it is subject to the normal accountancy procedures. BLEDP is also accountable to the East of England development agency (BEDA) for the achievement of the agreed outputs on all the project funding they provide, to the Learning and Skills Council for the achievement of outputs on the European Social Fund and to the Bedfordshire county council for the achievement of targets on its funding.

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