HC Deb 16 May 1995 vol 260 cc159-60W
Mr. David Atkinson

To ask the Secretary of State for Employment what has been the change since 1992 in personnel involved in investigating fraud and abuse of the unemployment benefit system; and if he will make a statement on the results that have been achieved including a comparison between the cost and the amount saved. [24450]

Miss Widdecombe

Responsibility of the subject of the question has been delegated to the Employment Service agency under its chief executive. I have asked him to arrange for a reply to be given.

Letter from M. E. G. Fogden to Mr. David Atkinson, dated 16 May 1995: The Secretary of State has asked me to reply to your question about the numbers of, and results achieved by, Employment Service (ES) personnel involved in the investigation of fraud and abuse of the unemployment benefit system. The table below contains the information you requested:

1992–93 1993–94 1994–95
Total number of staff (investigators) 1,343 (780) 1,343 (780) 1,343 (780)
Gross savings1 £71.15 million £80.12 million £92.1 million
Cost of fraud operation £26.44 million £26.84 million £27.5 million
Net savings £44.71 million £53.28 million £64.6 million
Investment return2 £2.69 £2.99 £3.35
Number of sign-offs3 61,129 67,426 78,231
1 This figure is calculated by multiplying the weekly amount of benefit saved by 22. The 22 week figure was identified by the Department of Social Security research and represents the average number of weeks claimants would have remained on the register if they had not been investigated by fraud staff.
2 £s of benefit saved for every £ of cost.
3 Number of clients withdrawing their claims to benefit after investigation by ES inspectors.

The number of claims withdrawn following investigation by ES inspectors has risen impressively over the past three years, indicating effective targeting of fraudulent activity and increasingly efficient use of resources. The year on year increase in savings has been achieved without any significant increase in resource. I hope this is helpful

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