Benefit Payments (Hansard, 1 December 1999)

§ Mr. Webb
To ask the Secretary of State for Social Security what the status is of the recent letter from the Benefits Agency to weekly recipients of Child Benefit encouraging them to opt for payment by automated credit transfers; and if he will write to all those who opted for automated credit transfer as a result of this letter to remind them of their continued option of payment through a post office. [99565]

§ Mr. Rooker
Letters have been issued to some Child Benefit customers who are currently receiving their benefit on a weekly basis where it appears that they, in fact, should have been paid four weekly. We are obliged to pay people at the frequencies set out in relevant legislation and we must put this right when errors are discovered. Child Benefit is a four weekly benefit except in certain circumstances. It is not normally a weekly benefit.
The letter explained that their Child Benefit would, when their current order book expired, be paid on a four weekly basis unless the customer contended that this would cause particular hardship.
As with all Departmental literature which refers to methods of payment, the letter explains to customers that they can receive benefits directly into their bank account by automated credit transfer (ACT). The wording in the letter has been in use since 1994 and is consistent with the words used in claim packs for benefit and advice pages contained in benefit order books.
The exercise that resulted in letters being issued to some Child Benefit customers has been completed. There are no plans to issue any further letters to these customers.

§ Mr. Webb
To ask the Secretary of State for Social Security what are(a) the annual costs of the production and distribution of order books and (b) his estimate of the annual running costs if printed order books are replaced by benefit payment cards. [99567]

§ Mr. Rooker
The information is not available in the format requested. Such information as is available is as follows.
The total annual cost of the production and distribution of order books and girocheques is £45,068,487. Order books will not be replaced by benefit payment cards pursuant to the answer from my right hon. Friend the Secretary of State for Trade and Industry on 24 May 1999, Official Report, column 21W.