§ Malcolm BruceTo ask the Secretary of State for Environment, Food and Rural Affairs what plans she has to reduce the cost of administering departmental payments; and if she will make a statement. [20948]
§ Mr. Morley[holding answer 6 December 2001]: The Department established the Rural Payments Agency (RPA) on 16 October to make CAP payments. RPA brings together the administration of CAP grants and subsidies schemes previously divided between MAFF's (now DEFRA's) regional offices and the Intervention Board. RPA will deliver a change programme to modernise the way that CAP payments are made through a major investment in new technology.
This will provide advanced electronic processing capability and enable farmers and traders to submit claims electronically. It will result in significant benefits for taxpayers with a 10 per cent. cut by March 2004 in unit costs of administering payments and further savings in subsequent years after the new systems are fully implemented.
In addition, and as part of a continuing review of efficiencies, a number of initiatives are under way across DEFRA to improve the processes for the purchase and payment of goods and services through electronic procurement, making greater use of purchase cards, the electronic receipt and payment of invoices and further centralisation of invoice processing where appropriate. It is anticipated that by March 2003 the core Department will have realised the level of savings identified.
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