HC Deb 15 May 1996 vol 277 cc451-2W
Mr. Anthony Coombs

To ask the Secretary of State for Social Security if a service provider has been selected to supply and operate the new technology which will automate post office counter operations with particular reference to the payment of social security benefits; and if he will make a statement. [29632]

Mr. Lilley

Pathway Group Ltd. has been selected as the successful service provider under the private finance initiative. Pathway Group Ltd. is a wholly owned subsidiary of ICL plc. Their major sub-contractors are Girobank, De La Rue and the Irish Post Office An Post.

The new benefit payment arrangements are intended to combat the deficiencies of the current system, including significant losses through fraudulent encashment, and will help to secure the future of the post office network. Introducing the new system will entail replacing order books and girocheques with a plastic card. The views of customers and their representatives have been taken into account to ensure that they, and post office staff, will find the new system easy to use.

The current planning assumption is that the first cards will be issued this autumn starting with some child benefit recipients. Other benefit groups will follow and the table sets out our current assumptions for the transition. These indicative plans will be subject to review in the light of experience. There will be a pilot of up to three months for each benefit group before full rollout commences. The length of time it will take to complete the change to card for all customers in each benefit group will depend on the rollout of automation into post offices, but we expect almost all customers to be paid by the card system by mid-1999.

Benefit Type Planned rollout start Date
Child Benefit October 1996
Incapacity Benefit February 1997
Severe Disability Allowance
Widows Benefit
Maternity Allowance
Family Credit May 1997
Disability Working Allowance
Earnings Top Up
Disability Living Allowance July 1997
Attendance Allowance
Guardians Allowance

Agency staff for the period April 1979 to March 1980 provided in the answer to the hon. Member for Glasgow, Garscadden (Mr. Dewar) on 19 July 1995, Official Report, column 1503. [29811]

Mr. Roger Evans

The information is set out in the table:

Benefit Type Planned rollout start Date
Retirement Pension July 1997
Income Support January 1998
Jobseeker's Allowance January 1998
Social Fund April 1998
War Pensions April 1998

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