HC Deb 11 December 1973 vol 866 cc88-9W
Mr. Meacher

asked the Secretary of State for Social Services on what authority a local DHSS office adopts procedures other than the four-week rule in cases of alleged voluntary unemployment, and imposes immediate cut-offs with no explicit warning; whether such procedures are being used generally, in respect of active members of the Claimants' Union; and why in such cases, in view of delay in appeal hearings of four weeks or more, benefit is not restored pending appeal.

Mr. Dean

Under discretionary powers given to the Supplementary Benefits Commission by paragraph 4(1)(b) of Schedule 2 to the Supplementary Benefit Act 1966 (formerly known as the Ministry of Social Security Act), a supplementary allowance may be summarily refused or withdrawn in certain closely defined circumstances when it is clear that a claimant is voluntary unemployed without good cause and that suitable work is immediately available to him. This power is used only exceptionally; it is irrelevant whether or not the person concerned is a member of the Claimants' Union. Payments may be made to meet urgent need pending an appeal hearing.

Mr. Meacher

asked the Secretary of State for Social Services what would be the cost, respectively, of extending earnings-related unemployment benefit to 12 months and flat-rate unemployment benefit to 18 months; and what would have been these extra costs at today's prices if this had been done in February 1972.

Mr. Dean

On the basis of recent unemployment experience the cost to the National Insurance Fund of extending earnings-related supplement payable with unemployment benefit to 12 months would be about £5 million a year, and the cost of extending flat rate unemployment benefit to 18 months would be about £13 million a year. Based on the level of unemployment in February 1972 the cost of these changes, at the then prevailing benefit rate revalued to current prices, would have been £10 million a year and £13 million a year, respectively.