Welfare Reform Bill

House of Lords

Session 2006 - 07
Internet Publications
Other Bills before Parliament

Welfare Reform Bill

Welfare Reform Bill
Part 3 — Social security administration: general
36

(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;
5
“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
10
(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—
15
(a)
a person mentioned in section 41(4)(f) to (h);
(b)
a person who provides qualifying welfare services (within the meaning
of section 41(6));
(c)
a person who is or has been a director, member of the committee of
management, manager, secretary or other similar officer of a person
20
mentioned in paragraph (a) or (b);
(d)
a person who is or has been an employee of a person mentioned in
paragraph (a) or (b).
(3)
A person guilty of an offence under this section shall be liable—
(a)
on conviction on indictment, to imprisonment for a term not exceeding
25
2 years or a fine or both, or
(b)
on summary conviction, to imprisonment for a term not exceeding 12
months or a fine not exceeding the statutory maximum or both.
(4)
It is not an offence under this section—
(a)
to disclose information in the form of a summary or collection of
30
information so framed as not to enable information relating to any
particular person to be ascertained from it;
(b)
to disclose information which has previously been disclosed to the
public with lawful authority.
(5)
It is a defence for a person charged with an offence under this section to prove
35
that at the time of the alleged offence—
(a)
he believed that he was making the disclosure in question with lawful
authority and had no reasonable cause to believe otherwise, or
(b)
he believed that the information in question had previously been
disclosed to the public with lawful authority and had no reasonable
40
cause to believe otherwise.
(6)
A disclosure is made with lawful authority if it is so made for the purposes of
section 123 of the Administration Act.
(7)
This section does not affect that section.

Welfare Reform Bill
Part 3 — Social security administration: general
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(8)
Until the commencement of section 282 of the Criminal Justice Act 2003 (c. 44)
(increase in maximum term that may be imposed on summary conviction of
offence triable either way) the reference in subsection (3)(b) to 12 months must
be taken to be a reference to six months.
Overpayment recovery
5
43
Recovery of overpaid benefit: Great Britain
(1)
Section 71 of the Administration Act (overpayments) is amended as follows.
(2)
Subsection (5) (recovery of overpayments paid into account not recoverable
under regulations under subsection (4) unless determination of amount is
reversed on appeal etc. and overpayment is determined on the appeal etc. to be
10
so recoverable) ceases to have effect.
(3)
In subsection (5A) (recovery of overpayments paid in consequence of
misrepresentation etc. not recoverable under subsection (1) unless
determination of amount is reversed on appeal etc.) for “under subsection (1)
above” substitute “under subsection (1) or under regulations under subsection
15
(4)”.
44
Recovery of overpaid child benefit and guardian’s allowance: Northern
Ireland
(1)
Section 69 of the Social Security Administration (Northern Ireland) Act 1992
(c. 8) (overpayments) is amended as follows.
20
(2)
Subsection (5) (recovery of overpayments paid into account not recoverable
under regulations under subsection (4) unless determination of amount is
reversed on appeal etc. and overpayment is determined on the appeal etc. to be
so recoverable) ceases to have effect.
(3)
In subsection (5A) (recovery of overpayments paid in consequence of
25
misrepresentation etc. not recoverable under subsection (1) unless
determination of amount is reversed on appeal etc.) for “under subsection (1)
above” substitute “under subsection (1) or under regulations under subsection
(4)”.
(4)
The amendments made by this section have effect only in relation to child
30
benefit and guardian’s allowance.
Benefit fraud
45
Local authority powers to investigate benefit fraud
(1)
Section 110A of the Administration Act (authorisation of investigations by
authorities administering housing benefit or council tax benefit) is amended as
35
follows.
(2)
In subsection (1) for “any one or more of the purposes mentioned in subsection
(2) below” substitute “a relevant purpose”.
(3)
After subsection (1) insert—
“(1A)
Each of the following is a relevant purpose—
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Welfare Reform Bill
Part 3 — Social security administration: general
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(a)
a purpose mentioned in subsection (2) below;
(b)
a purpose mentioned in section 109A(2)(a), (c) or (d).
(1B)
If the Secretary of State prescribes conditions for the purposes of this
section, an authority must not proceed under this section for a purpose
mentioned in section 109A(2)(a), (c) or (d) unless any such condition is
5
satisfied.
(1C)
An authorisation made for a purpose mentioned in section 109A(2)(a),
(c) or (d)—
(a)
is subject to such restrictions as may be prescribed;
(b)
is not valid in such circumstances as may be prescribed.”
10
(4)
In subsection (2) for “Those purposes” substitute “The purposes in this
subsection”.
(5)
In subsection (8), after paragraph (c) insert—

“but paragraphs (a) and (b) above do not apply in any case where the
relevant purpose is as mentioned in subsection (1A)(b) above.”
15
46
Local authority powers to prosecute benefit fraud
After section 116 of the Administration Act (legal proceedings) insert—
“116A
Local authority powers to prosecute benefit fraud
(1)
This section applies if an authority administering housing benefit or
council tax benefit has power to bring proceedings for a benefit offence
20
relating to that benefit.
(2)
The authority may bring proceedings for a benefit offence relating to
any other relevant social security benefit unless—
(a)
the proceedings relate to any benefit or circumstances or any
description of benefit or circumstances which the Secretary of
25
State prescribes for the purposes of this paragraph, or
(b)
the Secretary of State has directed that the authority must not
bring the proceedings,

and a direction under paragraph (b) may relate to a particular authority
or description of authority or to particular proceedings or any
30
description of proceedings.
(3)
If the Secretary of State prescribes conditions for the purposes of this
section, an authority must not bring proceedings under this section
unless any such condition is satisfied.
(4)
The Secretary of State may continue proceedings which have been
35
brought by an authority under this section as if the proceedings had
been brought in his name or he may discontinue the proceedings if—
(a)
he makes provision under subsection (2)(a), such that the
authority would no longer be entitled to bring the proceedings
under this section,
40
(b)
he gives a direction under subsection (2)(b) in relation to the
proceedings, or
(c)
a condition prescribed under subsection (3) ceases to be
satisfied in relation to the proceedings.

Welfare Reform Bill
Part 3 — Social security administration: general
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(5)
In the exercise of its power under subsection (2), a local authority must
have regard to the Code for Crown Prosecutors issued by the Director
of Public Prosecutions under section 10 of the Prosecution of Offences
Act 1985—
(a)
in determining whether the proceedings should be instituted;
5
(b)
in determining what charges should be preferred;
(c)
in considering what representations to make to a magistrates’
court about mode of trial;
(d)
in determining whether to discontinue proceedings.
(6)
An authority must not bring proceedings for a benefit offence which
10
does not relate to housing benefit or council tax benefit otherwise than
in accordance with this section.
(7)
In subsection (2), “relevant social security benefit” has the same
meaning as in section 121DA below.
(8)
This section does not apply to Scotland.”
15
47
Local authority functions relating to benefit: information
(1)
Section 122C of the Administration Act (supply of information to authorities
administering benefit) is amended as follows—
(a)
in subsection (2) at the end insert “or for the purposes of anything the
authority is permitted to do in relation to any other benefit by virtue of
20
section 110A or 116A above”;
(b)
in subsection (3)(a) for “offences relating to housing benefit or council
tax benefit” substitute “benefit offences (within the meaning of Part 6
above)”.
(2)
Section 122D of that Act (supply of information by authorities administering
25
benefit) is amended as follows—
(a)
in subsection (1), for “benefit administration information” substitute
“relevant benefit information”;
(b)
in subsection (2A), after “subsection (2)” insert “, in addition to any
other purpose for which the information may be used,”;
30
(c)
for subsection (4) substitute—
“(4)
In subsection (1) “relevant benefit information”, in relation to an
authority or other person, means any information which is
relevant to the exercise of any function relating to a relevant
social security benefit by the authority or other person.”;
35
(d)
in subsection (5), in each place where it occurs for “housing benefit or
council tax benefit” substitute “any relevant social security benefit”;
(e)
in subsection (6), after the definition of “private pensions policy”
insert—
““relevant social security benefit” has the same meaning as
40
in section 121DA above;”.
(3)
Section 122E of that Act (supply of information between authorities
administering benefit) is amended as follows—
(a)
in subsection (1) for “benefit administration information” substitute
“relevant benefit information”;
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Welfare Reform Bill
Part 4 — Miscellaneous
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(b)
in subsection (2)(a) for “offences relating to housing benefit or council
tax benefit” substitute “benefit offences (within the meaning of Part 6
above)”;
(c)
for subsection (6) substitute—
“(6)
In this section “relevant benefit information”, in relation to an
5
authority or other person, means any information which is
relevant to the exercise of any function relating to a relevant
social security benefit (within the meaning of section 121DA
above) by the authority or other person.”
(4)
In section 126A of that Act (power to require information from landlords and
10
agents), in subsection (8) for “benefit administration information” substitute
“relevant benefit information”.
48
Loss of benefit for commission of benefit offences
(1)
In section 7 of the Social Security Fraud Act 2001 (c. 11) (loss of benefit for
commission of benefit offences) in subsection (1)(b) (period within which later
15
offence must be committed), for “three years” substitute “five years”.
(2)
The amendment made by subsection (1) shall be disregarded insofar as the
application of section 7(1)(b) of that Act involves considering whether an
offence committed before the day on which this section comes into force was
committed within the relevant period.
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Part 4
Miscellaneous
Benefits for bereaved persons
49
Widowed mother’s allowance
In section 37(2) of the Contributions and Benefits Act (which links entitlement
25
to widowed mother’s allowance on the ground of being entitled to child
benefit to whether one of the conditions specified in section 77(5) of the Act is
satisfied), the words from “one of the conditions” to “person and” are omitted.
50
Widowed parent’s allowance
In section 39A(3) of the Contributions and Benefits Act (which links
30
entitlement to widowed parent’s allowance on the ground of being entitled to
child benefit to whether one of the conditions specified in section 77(5) of the
Act is satisfied), the words from “one of the conditions” to “person and” are
omitted.
Disability living allowance: age conditions
35
51
Care component of disability living allowance: persons under the age of 16
(1)
Section 72 of the Contributions and Benefits Act (care component of disability
living allowance) is amended as follows.

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Part 4 — Miscellaneous
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(2)
After subsection (1) insert—
“(1A)
In its application to a person in relation to so much of a period as falls
before the day on which he reaches the age of 16, subsection (1) has
effect subject to the following modifications—
(a)
the condition mentioned in subsection (1)(a)(ii) shall not apply,
5
and
(b)
none of the other conditions mentioned in subsection (1) shall
be taken to be satisfied unless—
(i)
he has requirements of a description mentioned in the
condition substantially in excess of the normal
10
requirements of persons of his age, or
(ii)
he has substantial requirements of such a description
which younger persons in normal physical and mental
health may also have but which persons of his age and
in normal physical and mental health would not have.”
15
(3)
After subsection (2) insert—
“(2A)
The modifications mentioned in subsection (1A) shall have effect in
relation to the application of subsection (1) for the purposes of
subsection (2), but only—
(a)
in the case of a person who is under the age of 16 on the date on
20
which the award of the care component would begin, and
(b)
in relation to so much of any period mentioned in subsection (2)
as falls before the day on which he reaches the age of 16.”
(4)
In subsection (5) (terminally ill person to be taken to have satisfied the
conditions mentioned in subsection (1)(b) and (c)), after “person, shall” insert
25
“(notwithstanding subsection (1A)(b))”.
(5)
Subsection (6) (modifications for persons under 16) ceases to have effect.
(6)
In subsection (7), for “subsections (5) and (6)” substitute “subsection (5)”.
(7)
After that subsection insert—
“(7A)
Subsection (1A) has effect subject to regulations made under subsection
30
(7) (except as otherwise prescribed).”
52
Mobility component of disability living allowance: persons under the age of
16
(1)
Section 73 of the Contributions and Benefits Act (mobility component of
disability living allowance) is amended as follows.
35
(2)
For subsection (4) substitute—
“(4A)
In its application to a person in relation to so much of a period as falls
before the day on which he reaches the age of 16, subsection (1) has
effect subject to the modification that the condition mentioned in
paragraph (d) shall not be taken to be satisfied unless—
40
(a)
he requires substantially more guidance or supervision from
another person than persons of his age in normal physical and
mental health would require, or
(b)
persons of his age in normal physical and mental health would
not require such guidance or supervision.”
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(3)
In subsection (5), omit “Subject to subsection (4) above,”.
(4)
After that subsection insert—
“(5A)
Subsection (4A) has effect subject to regulations made under subsection
(5) (except as otherwise prescribed).”
(5)
After subsection (9) insert—
5
“(9A)
The modifications mentioned in subsection (4A) shall have effect in
relation to the application of subsection (1) for the purposes of
subsection (9), but only—
(a)
in the case of a person who is under the age of 16 on the date on
which the award of the mobility component would begin, and
10
(b)
in relation to so much of any period mentioned in subsection (9)
as falls before the day on which he reaches the age of 16.”
Social fund
53
Matters to which regard must be had in awarding budgeting loans
In section 140(1A) of the Contributions and Benefits Act (principles for
15
determining awards of budgeting loans)—
(a)
in paragraph (b) (duty to have regard to criteria specified in paragraphs
(b) to (e) of subsection (1)), for “(b) to (e)” substitute “(b), (d) and (e)”,
and
(b)
the words following paragraph (b) (which enable the Secretary of State
20
to give directions about cases in which the applicant’s personal
circumstances would preclude the award of a budgeting loan) cease to
have effect.

54
Allocations from Social Fund
25
(1)
Section 168 of the Administration Act (allocations from social fund) is
amended as follows.
(2)
In subsection (1) (duty of Secretary of State to allocate amounts for payments
from the social fund such as are mentioned in section 138(1)(b) of the
Contributions and Benefits Act), after “Act” insert “(in this section referred to
30
as “section 138(1)(b) payments”)”.
(3)
In subsection (3) (types of allocation that may be made)—
(a)
for paragraph (a) substitute—
“(a)
may be for all section 138(1)(b) payments or for any
description of such payments;”;
35
(b)
in paragraph (b) (power to allocate different amounts for different
purposes), for “different purposes” substitute “payments of different
descriptions”; and
(c)
in paragraph (d) (additional allocations), omit the words from “to the
same officer” to the end.
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