HC Deb 05 July 1976 vol 914 cc434-5W
Mr. Higgins

asked the Secretary of State for Social Services what percentage of the total amount of rent due to be paid by his Department direct to the Worthing Borough Council on behalf of tenants in receipt of social security benefits is now in arrears; whether the length of time such arrears are overdue has been increasing; and if he will give an assurance that payments will in future be paid promptly.

Mr. Orme

No detailed figures are maintained on the day-to-day balance of rent withheld from certain claimants and scheduled for payment to the Worthing Borough Council. Such figures could only be obtained by a disproportionate use of resources.

Normal practice is that the sums due are paid in arrear at quarterly intervals but at Worthing, payments have been made monthly in arrears. Because of increasing work Worthing Borough Council were asked to accept future payments on the normal quarterly basis.

I understand that in the past the monthly payments have been made promptly, though the payments themselves covered the previous months rent in the cases concerned.

Mr. Higgins

asked the Secretary of State for Social Services what total amount of rent, due to be paid by his Department direct to local authorities on behalf of certain tenants in receipt of social security benefits, is in arrears; what is the average delay in payment; and if his Department will pay interest to local authorities to compensate them for the cost of financing central Government.

Mr. Orme

No detailed figures are maintained on the day-to-day balance of rent withheld from certain claimants and scheduled for payment direct to local authorities. Such figures could only be obtained by a disproportionate use of resources.

Rent is only withheld for direct payment to local authorities in cases where there has been persistent default, and payments are normally made to local authorities quarterly in arrear. My Department does not charge local authorities the administrative cost of making these direct rent payment, the authorities do not have to attempt to collect rent from the tenants concerned, and further rent arrears are prevented. In these circumstances the question of compensation should not arise.