HC Deb 29 January 1997 vol 289 cc300-1W
Mr. Rooney

To ask the Secretary of State for Social Security which Benefits Agency areas have been selected to be run by the private sector; where advertisements have been placed; and what is the projected time scale for the process. [13032]

Mr. Roger Evans

[holding answer 27 January 1997]: Involvement of the private sector in Benefits Agency is part of a wider programme of change to deliver improved services at significantly reduced cost.

The following Benefits Agency areas have been selected to be run by the private sector: child benefit operations; Benefits Agency medical services; the service provider for the automation of post offices and payment of social security benefits; and, as part of the Department's Prime—private sector resource initiative for management of the estate—project, the ownership and management of the Department of Social Security's premises will be transferred to the private sector through a long term partnership.

Advertisements have been placed in the Official Journal of the European Communities. In addition, the advertisement for BAMS appeared in Government Opportunities. Current plans are that the advertisement for child benefit operations will be placed by 31 January and that the contract is to be awarded by spring 1998, while the contract for BAMS is to be awarded by the end of spring 1997. The contract for the service provider for the automation of post offices and payment of social security benefits was awarded in May last year. The Prime contract is expected to be awarded in autumn 1997.

In the Yorkshire, Westcountry, East London and Anglia Benefits Agency directorates, a further initiative involving greater collaboration with the private sector will involve three service providers working in partnership with the Benefits Agency area management teams, assisting in the day-to-day running and having input into the strategic management. The partnerships will run from the end of spring 1997 for about 12 months during which time the service providers will be expected to make specific proposals for more efficient, effective and economic delivery of the agency's business.