HC Deb 12 December 1996 vol 287 cc391-2
4. Mr. Harry Greenway

To ask the Secretary of State for Northern Ireland what is the average level of housing benefit paid to recipient households in Northern Ireland; what are the principal categories of accommodation in respect of which the benefit is paid; and if he will make a statement. [7318]

The Parliamentary Under-Secretary of State for Northern Ireland (Mr. Malcolm Moss)

The average housing benefit paid applies only to private sector tenants and at 15 November 1996 was £45.01 a week. Public sector tenants receive housing benefit in the form of a rent rebate for which an average of £34.12 a week was paid.

The principal categories of accommodation are public sector accommodation, private sector accommodation and owner-occupied accommodation.

Mr. Greenway

Would it not be true to say that the housing situation in Northern Ireland is under control, and that—given the figures my hon. Friend has given to the House—there is not the level of homelessness in that part of the nation that has been suggested and that those who pretend there is should withdraw their remarks?

Mr. Moss

I am grateful for my hon. Friend's comments. It is true that we do not have a homelessness problem in Northern Ireland. Housing benefit is paid to some 77 per cent. of all public sector tenants and is certainly targeting social need.

Mr. Clifford Forsythe

Will the Minister tell the House what strategy has been set up for co-operation between the Housing Executive and the Social Security Agency to deal with any fraud in the system that has not yet been considered? What is the up-to-date situation?

Mr. Moss

Research into the level of fraud and inaccuracy in housing benefit in Northern Ireland began on 1 October 1996 and we hope to have a report by the end of March 1997. At the moment, there are effective liaison arrangements between the Social Security Agency and the Housing Executive, but I accept the premise behind the hon. Gentleman's question that perhaps more could be done. The Social Security (Fraud) Bill, which is in Committee, will include provisions to ensure that claimants cannot exploit, for example, the postal redirection system to claim benefit fraudulently from different addresses. That issue was raised recently by the hon. Gentleman.

Mr. Illsley

Is the Minister aware that the rent increase announced by the Department this week is above the national average and will mean that housing benefit payments will increase? Is he also aware that, in 1995–96, 10,768 families presented themselves as homeless, suggesting a probable true figure of 22,000 people? In July and August alone, 600 families were made homeless as a result of Drumcree.

Is the Minister aware that the Budget cuts announced this week of £23 million—which will impact on grants and improvements and could threaten the whole new build programme for the following year—will have another devastating effect? Homelessness is increasing by 7 per cent. a year. Is the hon. Gentleman aware that the Budget cuts will be compounded by the cuts to the action for community employment schemes, which will result in hostels for the homeless being closed? Rather than imposing a £23 million cut in the housing budget, does the Minister not consider that it would be better to allow the Housing Executive to put up private finance?

Mr. Moss

The average weekly rent increase proposed for Northern Ireland in the next year will be 4 per cent., which is 2 per cent. above inflation. That will result in an increase of £1.32 a week, which is £7 a week lower than in England and Wales. As for the overall Housing Executive budget, we expect that there will be a reduction in the new build, but only of 100 housing new starts next year.