§ Phil HopeTo ask the Secretary of State for Work and Pensions when he will publish the inspection report of the Benefit Fraud Inspectorate in respect of Birmingham city council. [20453]
§ Malcolm WicksThe Benefit Fraud Inspectorate report was published today in respect of Birmingham city council and copies of the report have been placed in the Library.
BFI reports that the council's performance in benefits administration was poor and counter fraud activity was very weak at the time of inspection. Inspectors found claims processing backlogs and a very poor filing system. 1166W There was a significant risk of internal fraud with procedural weaknesses including flawed computer access control and management checking.
BFI considered the council's overpayment administration was inadequate with some £3.5 million of overpayments outstanding for over two years without any recovery action being instigated. Overpayments were regularly reclassified as "fraudulent" without evidence of it—£2.2 million was reclassified in this way in 1999–2000.
The report notes the council recognised its benefit administration inadequacies and restructured its service shortly before the inspection. This included the establishment of a central overpayment team.
Inspectors found that a high level of WBS savings was claimed inappropriately. The council was failing to gather enough evidence and was not meeting subsidy order requirements. The report also notes other weaknesses in the council's counter fraud activity including a failure to analyse risks or use inspectors' powers.
The report makes recommendations to help the council address weaknesses and to improve the administration of housing benefit and council tax benefit, as well as its counter fraud activities.
My right hon. Friend the Secretary of State is now considering the report and will be asking the council for its proposals in response to the findings and recommendations of the BFI.
§ Mr. SarwarTo ask the Secretary of State for Work and Pensions if he will estimate the extent of benefit fraud in(a) Scotland and (b) the United Kingdom on an annual basis. [10754]
§ Malcolm WicksOur most recent estimate is that £2 billion is lost annually through benefit fraud in Great Britain. This estimate cannot be broken down by region.
We have set firm targets for reducing the amount of fraud and error in income support and jobseeeker's allowance and we have already met our first milestone, of a 10 per cent. reduction, 18 months ahead of schedule.
§ Harry CohenTo ask the Secretary of State for Work and Pensions if he will place in the Library the legal advice received by his Department on the disclosure of databases of personal data held by third parties to benefit fraud officials, as covered by the anti-fraud social security legislation of 1997 and 2001. [17216]
§ Malcolm WicksWe do not publish internal discussion and advice. This is in line with Part II, paragraph 2 of the Code of Practice on Access to Government Information.