HC Deb 24 October 1994 vol 248 cc622-3
12. Mr. Luff

To ask the Secretary of State for Social Security what plans he has to reduce fraud involving order books and giros.

Mr. Lilley

In addition to the measures to replace order books and girocheques which I announced earlier, we plan to improve security in advance of this by the electronic stop notice system which has been successfully tested in parts of London and is soon to be extended. The trial reward scheme for post office staff has also been extended, following the excellent results achieved in Birmingham.

Mr. Luff

Will my right hon. Friend confirm that there has been a huge increase in the amount of fraud that has been stopped by the Benefits Agency in terms of both order books and giros? Is not the reason why sub-postmasters in Worcestershire have given such a warm welcome to his plans that they realise that the plans will not only help to contain fraud but will guarantee the future of their own sub-post offices?

Mr. Lilley

Yes, indeed. The plan has been particularly warmly welcomed in south Worcestershire, and elsewhere in the country. Sub-postmasters are aware of the level of fraud and abuse of the archaic order book system, and they are anxious to see the move to automated payment in the interests of the wider community, as well as their own self-interest. The system will be more secure for them and for pensioners and it will be less open to fraud and abuse.