Public Accounts CommitteeWritten evidence from Atos

ATOS—DISABILITY LIVING ALLOWANCE AND ATTENDANCE ALLOWANCE

This note provides an update on the Atos Healthcare contract with the Department for Work and Pensions (DWP), specifically in relation to Disability Living Allowance (DLA) and Attendance Allowance (AA) which was covered in an article in the Daily Mirror on the 20th November.

The area of the contract in question relates solely to the provision of clinical advice to DWP Decision Makers for working age recipients of Disability Living Allowance and Attendance Allowance.

The contract came to a natural end in March 2013. Since then Atos Healthcare has had its contract extended on four occasions: two three month extensions and two one month extensions, which bring us to the end of November.

The payment terms and conditions of these extensions have remained the same as the initial contract. Atos Healthcare is not being paid more for this work than previously.

The Department for Work and Pensions is reconsidering the scope of this contract and has been discussing this with us. We have not yet had final confirmation of the change in scope but we have incorporated changes to the volumes and performance regime in the most recent extensions. We will adapt our service to the Department’s final requirements when they are confirmed.

As stated during the Public Accounts Committee Hearing on November 20th 2013, we would not withdraw from a frontline Government service without the agreement of the Department.

29 November 2013

Prepared 13th March 2014