HC Deb 29 January 2001 vol 362 cc4-5
3. Mr. Derek Wyatt (Sittingbourne and Sheppey)

How much has been spent on new technology by his Department since May 1997; and if he will make a statement. [145960]

The Secretary of State for Social Security (Mr. Alistair Darling)

The Department spent £1.3 billion on information technology between May 1997 and December last year. As a result of the spending review, more money has been allocated to replace the ageing IT system that we inherited. That investment is essential if we are to drive out fraud and combat error.

Mr. Wyatt

I thank my right hon. Friend for that answer. Will he give serious thought to the housing benefit crisis in Swale borough council? We are 16 weeks behind, some people are being evicted from their houses, and the housing association has complained to the ombudsman. There is a problem with both the hardware and software for dealing with the matter. Is a task force available at headquarters that could sort out the problem?

Mr. Darling

I am aware of the problems in my hon. Friend's local authority. I realise that there is a substantial backlog of claims and that the council is trying to recruit additional staff to deal with it. I hope that that will clear the backlog.

On my hon. Friend's central request, as I announced a short while ago, the Department is establishing specialist teams of people to go into councils where there have been difficulties. The problem is that, although some councils can administer housing benefit well, far too many cannot do so. We want to ensure that failing local authorities that are not dealing properly with housing benefit receive the skills and expertise—indeed, acquire the IT—that they need to administer the system. I hope in the near future to be able to announce the councils that will be the first to benefit from that additional assistance.

Rev. Martin Smyth (Belfast, South)

I welcome the Minister's statement that the Department will clamp down on fraud. How far is modern equipment being used across Departments? We have already heard a suggestion that it is not. For example, in a social security fraud in Northern Ireland, a social security worker who came before the courts had 28 or 29 ghost clients—he was ripping off money. Are we using modern equipment to cross-check all applicants?

Mr. Darling

When we get the new IT equipment that we need, we will be able to cross-check information far more effectively. The problem experienced by the DSS is that some of its IT equipment is getting on for 30 years old. I am not the world's leading IT expert, but even I know that green writing on black screens is somewhat out of date. Many of our staff go home to find their children using better IT than they are expected to use at work.

We are systematically replacing the entire IT system at the DSS. As part of that replacement programme, we will ensure that equipment is compatible with that held by the Inland Revenue and other Government agencies, precisely so as to make the necessary checks.

The matter does not involve only IT. One of the best ways to stop fraud and error entering the system is to ensure that the front-line staff are in place, and we have stabilised DSS staffing.

One reason why we will save £1 billion during this Parliament is that we will be getting claims right. When we took over, two in every five income support cases were wrong; we have halved that. If the Conservatives were to get in and cut civil service staffing in the way that they propose, the Benefits Agency would lose 5,000 staff in one year, which would once again open the floodgates to fraud and error.