HC Deb 08 December 1994 vol 251 cc340-1W
Mr. Congdon

To ask the Secretary of State for Employment what plans he has to publish the findings of the evaluation of the Employment Service carried out in 1993.

Miss Widdecombe

An evaluation of the effects of agency status on the Employment Service was carried out during 1993 as part of the systematic periodic review to which all agencies are subject. A report on the findings has now been published today and I have arranged for a copy to be placed in the Library.

Ms Harman

To ask the Secretary of State for Employment what is the current estimate of the reduction of staff numbers during 1996–97 of those employed within the Benefits Agency and the Employment Service as a result of the introduction of jobseeker's allowance; what are the expected financial savings which will result during 1996–97 and the following year; what functions of the Employment Service are currently subject to market testing; and what plans there are to market test, subcontract or privatise the job-broking functions of the Employment Service.

Miss Widdecombe

We expect the introduction of the jobseeker's allowance in April 1996 to result in efficiency savings. However, it is too early to estimate the impact on staffing in the Employment Service and Benefits Agency.

The level of financial savings resulting from jobseeker's allowance will depend on the level of unemployment at the time of implementation. Our current assumptions are for a reduction in expenditure on benefits by around £140 million in 1996–97 and by about £270 million in 1997–98. Further net administrative savings are expected.

The Employment Service is currently undertaking a full programme of market tests of support services. There are currently no plans to market test, subcontract or privatise the job-broking functions of the Employment Service.