HC Deb 13 June 1996 vol 279 c271W
Mr. Redmond

To ask the Secretary of State for Northern Ireland what consideration has been given to market testing the services provided by the Social Security Agency; and if he will make a statement. [31565]

Mr. Moss

My right hon. and learned Friend announced the outcome of the review of the Social Security Agency on 19 April 1996,Official Report, column 622–23. The second stage of that review required the Department to examine the prior options of abolition, privatisation and wholesale contractorisation. The report concluded that there was no scope for abolition or privatisation, nor was there any evidence to suggest that wholesale contractorisation of functions was a viable option, given the lack of a mature market or interest in the private sector for this work at present. However, the study report went on to recommend that the Social Security Agency should develop a comprehensive strategy for achieving efficiency improvements through involving the private sector in all aspects of its business, including benefit administration. The strategy should be completed during the 1996–97 year, for implementation to begin in 1997–98 or earlier. The agency is currently taking forward these recommendations. A copy of the executive summary of the prior options report is available in the Library.