Welfare Reform Bill

House of Commons

Session 2006 - 07
Internet Publications
Other Bills before Parliament

Welfare Reform Bill

Welfare Reform Bill
Part 2 — Housing benefit and council tax benefit
29

(5)
Partner, in relation to a person, is a person who is a member of the same couple
(within the meaning of Part 7 of the Contributions and Benefits Act) as that
person.
(6)
Prescribed means prescribed by regulations.
34
Information relating to housing benefit
5
(1)
Section 5 of the Administration Act (regulations about claims and benefits) is
amended as follows.
(2)
After subsection (2) insert—
“(2A)
The regulations may also require such persons as are prescribed to
provide a rent officer with information or evidence of such description
10
as is prescribed.
(2B)
For the purposes of subsection (2A), the Secretary of State may
prescribe any description of information or evidence which he thinks is
necessary or expedient to enable rent officers to carry out their
functions under section 122 of the Housing Act 1996.
15
(2C)
Information or evidence required to be provided by virtue of
subsection (2A) may relate to an individual claim or award or to any
description of claims or awards.”
(3)
Subsection (3) ceases to have effect.
35
Supply of information by rent officers
20
After section 122E of the Administration Act (supply of information between
authorities administering benefit) insert—
“Rent officers and housing benefit
122F
Supply by rent officers of information relating to housing benefit
(1)
The Secretary of State may require a rent officer to supply housing
25
benefit information held by the rent officer to, or to a person providing
services to, the Secretary of State for use for purposes relating to any of
the following—
(a)
social security;
(b)
child support;
30
(c)
war pensions;
(d)
employment or training;
(e)
private pensions policy or retirement planning.
(2)
Information must be supplied under subsection (1) in such manner and
form, and in accordance with such requirements, as may be specified in
35
directions given by the Secretary of State.
(3)
Housing benefit information is any information which relates to the
exercise by the rent officer of any function he has under section 122 of
the Housing Act 1996 relating to housing benefit.”

Welfare Reform Bill
Part 2 — Housing benefit and council tax benefit
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36
Payment of housing benefit
In section 134 of the Administration Act (arrangements for housing benefit), for
subsection (2) substitute—
“(2)
Housing benefit is to be paid in such manner as is prescribed, and
regulations may, in particular, provide for—
5
(a)
a payment or payments by the authority administering the
benefit to the person entitled to it (E), to some other person on
E’s behalf or in respect of a liability which E has,
(b)
a reduction in the amount of any payments which E is liable to
make to the authority by way of rent, or
10
(c)
such a payment or payments and such a reduction.
(2A)
In any enactment or instrument (whenever passed or made) “pay” in
relation to housing benefit includes discharge in any manner
prescribed under subsection (2) above.
(2B)
Subsection (2) above does not affect any power under section 5 above
15
to make provision in relation to the payment of benefit.”
37
Duty to send inspection reports to the Secretary of State
(1)
In section 13A of the Local Government Act 1999 (c. 27) (reports of inspections
by Auditor General for Wales), after subsection (4) insert—
“(4A)
If a report relates to any extent to the administration of housing benefit
20
or council tax benefit and the Auditor General for Wales thinks fit to do
so, he shall as soon as reasonably practicable send a copy of the report
to the Secretary of State.”
(2)
In section 29 of that Act (modifications for Wales), after subsection (2) insert—
“(2A)
Subsection (1)(a) does not apply to section 13A(4A).”
25
38
Directions by Secretary of State
(1)
Section 139D of the Administration Act (power to give directions) is amended
in accordance with subsections (2) to (8) below.
(2)
In subsection (1) (reports that trigger the section), for paragraph (c)
substitute—
30
“(c)
a copy of a report under section 102(1)(b) or (c) of the Local
Government (Scotland) Act 1973 which to any extent relates to
the administration of benefit has been sent to a local authority
and the Secretary of State under section 102(2) of that Act;”.
(3)
In subsection (1), after paragraph (c) insert—
35
“(ca)
a copy of a report which has been sent to a local authority under
section 13A(3) of the Local Government Act 1999 and to the
Secretary of State under section 13A(4A) of that Act;”.
(4)
In subsection (2) for “invite” substitute “require”.
(5)
After subsection (2) insert—
40
“(2A)
A requirement under subsection (2) above may specify—
(a)
any information or description of information to be provided;

Welfare Reform Bill
Part 2 — Housing benefit and council tax benefit
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(b)
the form and manner in which the information is to be
provided.
(2B)
The authority must respond to a requirement under subsection (2)
above before the end of such period (not less than one month after the
day on which the requirement is made) as the Secretary of State
5
specifies in the requirement.
(2C)
The Secretary of State may extend the period specified under
subsection (2B) above.”
(6)
For subsection (3) substitute—
“(3)
After considering—
10
(a)
the report,
(b)
any proposals made by the authority in response to it, and
(c)
any other information he thinks is relevant,

the Secretary of State may give directions to the authority under
subsection (3A) or (3B) or both.
15
(3A)
Directions under this subsection are directions as to—
(a)
standards which the authority is to attain in the prevention and
detection of fraud relating to benefit or otherwise in the
administration of benefit;
(b)
the time within which the standards are to be attained.
20
(3B)
Directions under this subsection are directions to take such action as the
Secretary of State thinks necessary or expedient for the purpose of
improving the authority’s exercise of its functions—
(a)
in relation to the prevention and detection of fraud relating to
benefit;
25
(b)
otherwise in relation to the administration of benefit.
(3C)
A direction under subsection (3B) may specify the time within which
anything is to be done.”
(7)
In subsection (4), for “subsection (3)” substitute “subsection (3A)”.
(8)
After subsection (4) insert—
30
“(4A)
If the Secretary of State proposes to give a direction under this section
he must give the authority to which the direction is to be addressed an
opportunity to make representations about the proposed direction.
(4B)
The Secretary of State may specify a period within which
representations mentioned in subsection (4A) above must be made.
35
(4C)
The Secretary of State may extend a period specified under subsection
(4B) above.
(4D)
Subsections (4A) to (4C) do not apply if the Secretary of State thinks that
it is necessary for a direction to be given as a matter of urgency.
(4E)
If the Secretary of State acts under subsection (4D) he must give in
40
writing to the authority to which the direction is addressed his reasons
for doing so.”

Welfare Reform Bill
Part 3 — Social security administration: general
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(9)
After section 139D of that Act insert—
“139DA
Directions: variation and revocation
(1)
The Secretary of State may at any time in accordance with this section
vary or revoke a direction under section 139D above.
(2)
A direction may be varied or revoked only if the Secretary of State
5
thinks it is necessary to do so—
(a)
in consequence of representations made by the authority to
which the direction is addressed,
(b)
to rectify an omission or error, or
(c)
in consequence of a material change in circumstances.
10
(3)
The Secretary of State must not vary a direction unless he first—
(a)
sends a copy of the proposed variation to the authority
concerned,
(b)
gives the authority his reasons for making the variation, and
(c)
gives the authority an opportunity to make representations
15
about the proposed variation.
(4)
The Secretary of State may specify a period of not less than one month
within which representations mentioned in subsection (3)(c) above
must be made.
(5)
The Secretary of State may extend a period specified under subsection
20
(4) above.”
39
Minor and consequential amendments relating to Part 2
Schedule 5 (which makes miscellaneous minor amendments and amendments
consequential on this Part) has effect.
Part 3
25
Social security administration: general
Sharing of social security information
40
Social security information
(1)
In the Administration Act, after section 7A (sharing of functions as regards
certain claims and information) insert—
30
“7B
Use of social security information
(1)
A relevant authority may use for a relevant purpose any social security
information which it holds.
(2)
Regulations may make provision as to the procedure to be followed by
a relevant authority for the purposes of any function it has relating to
35
the administration of a specified benefit if the authority holds social
security information which—
(a)
is relevant for the purposes of anything which may or must be
done by the authority in connection with a claim for or an
award of the benefit, and
40

Welfare Reform Bill
Part 3 — Social security administration: general
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(b)
was used by another relevant authority in connection with a
claim for or an award of a different specified benefit or was
verified by that other authority in accordance with regulations
under section 7A(2)(e) above.
(3)
A relevant purpose is any prescribed purpose which relates to a claim
5
which is made or which could be made for a specified benefit.
(4)
Social security information means—
(a)
information relating to social security, child support or war
pensions;
(b)
evidence obtained in connection with a claim for or an award of
10
a specified benefit.
(5)
A specified benefit is a benefit which is specified in regulations for the
purposes of this section.
(6)
Expressions used in this section and in section 7A have the same
meaning in this section as in that section.
15
(7)
This section does not affect any power which exists apart from this
section to use for one purpose social security information obtained in
connection with another purpose.”
(2)
In section 7A of that Act—
(a)
in subsection (1) after paragraph (b) insert—
20
“(c)
as regards any relevant benefit, for claims for that
benefit to be made to—
(i)
a county council in England,
(ii)
a person providing services to a county council
in England, or
25
(iii)
a person authorised to exercise any function a
county council in England has under this
section.”;
(b)
in subsection (2) after paragraph (d) insert—
“(e)
the verification by a relevant authority of information or
30
evidence supplied to or obtained by the authority in
connection with a claim for or an award of a relevant
benefit.”;
(c)
in subsection (3) for “and (d)” substitute “, (d) and (e)”;
(d)
in subsection (3)(a) for “(1)(a) or (b)” substitute “(1)(a), (b) or (c)”;
35
(e)
in subsection (6) for paragraph (c) substitute—
“(c)
“relevant authority” means—
(i)
a Minister of the Crown;
(ii)
a local authority;
(iii)
a county council in England;
40
(iv)
a person providing services to a person
mentioned in sub-paragraphs (i) to (iii);
(v)
a person authorised to exercise any function of a
local authority relating to housing benefit or
council tax benefit;
45
(vi)
a person authorised to exercise any function a
county council in England has under this
section;”.

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Part 3 — Social security administration: general
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(3)
In Part 1 of Schedule 4 to that Act (persons employed in social security
administration or adjudication), under the heading “Local authorities etc” after
the entry relating to a person authorised under section 139A(1) of that Act
insert—
     “A member, officer or employee of a county council in England who
5
exercises—
(a)
any function conferred on the county council by regulations
made under section 7A of this Act;
(b)
any function in connection with a purpose specified in
regulations made under section 7B of this Act.
10
A person authorised to exercise any such function of such a county
council or an employee of such a person.”
41
Information relating to certain benefits
(1)
Information falling within subsection (3) may be supplied by the person who
holds it to a person falling within subsection (4) for purposes connected with
15
the application of grant paid under a relevant enactment towards expenditure
incurred by the recipient of the grant—
(a)
in providing, or contributing to the provision of, welfare services, or
(b)
in connection with such welfare services.
(2)
Information falling within subsection (3) which is held for a prescribed
20
purpose by a person falling within any of paragraphs (c) to (h) of subsection (4)
may be—
(a)
used by that person for another prescribed purpose;
(b)
provided to another such person for use in relation to the same or
another prescribed purpose.
25
(3)
The information is any information which is held by a person falling within
subsection (4) relating to—
(a)
income support;
(b)
income-based jobseeker’s allowance;
(c)
income-related employment and support allowance;
30
(d)
state pension credit;
(e)
housing benefit;
(f)
welfare services.
(4)
The persons are—
(a)
the Secretary of State;
35
(b)
a person providing services to the Secretary of State;
(c)
an authority administering housing benefit;
(d)
a person authorised to exercise any function of such an authority
relating to housing benefit;
(e)
a person providing to such an authority services relating to housing
40
benefit;
(f)
a local authority to which any grant is or will be paid as mentioned in
subsection (1);
(g)
a person authorised to exercise any function of such an authority
relating to the grant;
45
(h)
a person providing to such an authority services relating to any such
function.

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(5)
Information which is supplied under subsection (1) to an authority or other
person falling within subsection (4)(f), (g) or (h) may be supplied by the
authority or person to a person who provides qualifying welfare services for
purposes connected with the provision of those services.
(6)
A person provides qualifying welfare services if—
5
(a)
he provides welfare services,
(b)
a local authority contribute or will contribute to the expenditure
incurred by him in providing those services, and
(c)
that contribution is or will be derived (in whole or in part) from any
grant which is or will be paid to the authority as mentioned in
10
subsection (1).
(7)
A relevant enactment is an enactment specified by order made by the Secretary
of State; and the power to make an order under this subsection is exercisable
by statutory instrument subject to annulment in pursuance of a resolution of
either House of Parliament.
15
(8)
In subsection (2) a prescribed purpose is a purpose relating to housing benefit
or welfare services which is prescribed by regulations made by the Secretary of
State by statutory instrument subject to annulment in pursuance of a resolution
of either House of Parliament.
(9)
The power to make an order or regulations under this section includes
20
power—
(a)
to make different provision for different purposes;
(b)
to make such incidental, supplementary, consequential, transitional or
saving provision as the Secretary of State thinks necessary or expedient.
(10)
In this section—
25
“income-based jobseeker’s allowance” has the same meaning as in the
Jobseekers Act 1995 (c. 18);
“income-related employment and support allowance” means an income-
related allowance under Part 1;
“local authority” means—
30
(a)
in relation to England, a county council, a district council, a
London borough council, the Common Council of the City of
London or the Council of the Isles of Scilly;
(b)
in relation to Wales, a county council or a county borough
council;
35
“welfare services” includes services which provide support, assistance,
advice or counselling to individuals with particular needs.
(11)
In the Local Government Act 2000 (c. 22), sections 94 (disclosure of
information) and 95 (unauthorised disclosure of information) are omitted.
42
Unlawful disclosure of certain information
40
(1)
A person to whom subsection (2) applies is guilty of an offence if he discloses
without lawful authority any information—
(a)
which comes to him by virtue of section 41(1), (2) or (5), and
(b)
which relates to a particular person.
(2)
This subsection applies to—
45
(a)
a person mentioned in section 41(4)(f) to (h);