§ Mr. FlynnTo ask the Secretary of State for Social Security if he will publish the calculations leading to the increase from 23 November in the social fund loans budget for the South Gwent and Islwyn district office of the Benefits Agency.
§ Mr. Roger EvansThe administration of the social fund is a matter for Mr. Michael Bichard, the chief executive of the Benefits Agency. He will write to the hon. Member.
Letter from Michael Bichard to Mr Paul Flynn, dated 10 January 1995:
The Secretary of State for Social Security has asked me to reply to your recent Parliamentary Question about the calculations leading 150W to the recent increase in the Social Fund loans budget for the South Gwent and Islwyn District Office.The principles underlying allocations to the Social Fund in April 1994 and November 1994 were placed in the Library at the time of the allocations.The South Gwent and Islwyn District Office Social Fund annual loans budget was £1,290,652 from April 1994. Ministers approved an increase of 4% to the budget with effect from 23 November 1994, subject to any adjustment within a limit of plus or minus 0.8% to cover local factors considered appropriate by the Benefits Agency's Area Director for Wales.Taking local circumstances into account, in particular the fact that flooding in the District was likely to lead to an increase in claims, the Area Director recommended that the proposed 4% additional allocation of £51,626 should be further increased to 4.8% giving an overall increase of £61,951.As a result, the current 1994–95 Social Fund loans budget for the South Gwent and Islwyn District Office is £1,352,603.I hope you find this reply helpful.