HC Deb 31 March 1995 vol 257 cc837-8W
Mr. Sheerman

To ask the Secretary of State for Social Security what steps he is taking to issue consistent advice through the Benefits Agency offices on how to treat men and women who receive training grants from the European social fund. [16841]

Mr. Roger Evans

The administration of income support 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. Barry Sheerman, dated 30 March 1995: The Secretary of State for Social Security has asked me to reply to your recent Parliamentary Question asking about the advice issued to Benefit Agency offices when people are receiving training grants from the European Social Fund (ESF). To ensure national consistency in the adjudication of benefit claims the Chief Adjudication Officer issues an interpretation of legislation in the form of the Adjudication Officer's Guide (AOG). The AOG is available in all Benefits Agency (BA) offices. AOG paragraphs 25468 to 25471 gives guidance on the meaning of training allowance. BA Central Services issues operational guidance for all benefits to BA offices in the form of various manuals. An Income Support Handbook entitled "Directory of Training and Education Programmes", paragraphs 450–499, specifically covers the treatment of income from the ESF. Staff in BA Central Services and Central Adjudication Services (CAS) are also available to discuss any queries staff in offices may have with any guidance that is issued. Copies of the AOG and the Income Support handbook are available in the Library. The Chief Adjudication Officer's view, reflected in the national guidance, is that payments from the ESF do not constitute a training allowance for the purposes of benefit entitlement because they are not paid out of public funds. Income from this is therefore taken fully into account in determining entitlement to Income Support (IS). This is based on caselaw which says that where a regulation says public funds that means the public funds of Great Britain unless the draftsman explicitly states otherwise. He has not in the case of ESF payments. Therefore ESF payments do not receive the same special treatment that is given to other training allowances paid by or on behalf of Government Departments. The Chief Adjudication Officer's view of these payments is however currently being tested in a case awaiting a hearing before the Social Security Commissioner.

I hope you find this reply helpful.