§ Mr. Laurence RobertsonTo ask the Secretary of State for the Home Department when he expects to pay the compensation to former owners of firearms who surrendered them under Option C. [56558]
§ Mr. BoatengOver 7,300 claimants have already received compensation totalling £9.3 million under Option C of the large calibre handgun compensation scheme and the voluntary surrender scheme for small calibre pistols. In addition around 750 offers of payment totalling £770,000 are awaiting acceptance by the claimant.
Processing these Option C claims, especially those from firearms dealers, has been difficult, mainly because the evidence of value provided in support of the claims has often proved on examination to be insufficient, resulting in the need for further inquiries, while there has been a need to identify and eliminate a large number of ineligible items surrendered for compensation under the heading of ancillary equipment. This has tended to slow the rate of progress on Option C claims, but it has also enabled Firearms Compensation Section (FCS) staff to build up their expertise in resolving the difficulties presented by these claims.
We are now using this core of experienced staff as the basis for expanding the number of examining teams to 17, which, when fully staffed, should increase the overall staff numbers in the FCS to 115, more than double the original complement. The first tranche of 20 new staff took up post on 26 October 1988, and the expansion will continue as rapidly as possible, subject to the need to maintain standards of scrutiny.
This major expansion of the Section should help to increase the processing rate substantially and reduce waiting time. It could not have been carried out any sooner because of the need to ensure a consistency of approach in the examination of the Option C claims, both in the interests of claimants and to ensure that payments are properly made in accordance with the terms of the compensation scheme.
180WThis action is in addition to the measures the then Minister of State, my hon. Friend the Member for Cardiff, South and Penarth (Mr. Michael), outlined in his reply to a written question from the hon. Member for Richmond Park (Dr. Tonge), on 30 July 1998, Official Report, column 393. The target is still to complete most Option C payments by the end of the year, and the remaining payments as soon as possible thereafter. We will continue to do all we can to shorten the timescale for completion of the work if at all possible.
Progress is also being made with the Option A and B claims, submitted during February under the statutory surrender scheme for small calibre pistols. Over 5,700 claims have been paid, over half the total received, and the remainder should be completed by the end of the year. Until the Option C claims under this scheme have been examined in detail, it is not possible to give a firm date for their completion. Work on these claims will begin as soon as the overall work position permits.
I can understand the impatience felt by compensation claimants who are anxious to receive their payments as quickly as possible. However, there is also a need to ensure that all claims are properly scrutinised to guard against fraud and ensure that payments are correctly made. The Government also wish to bring this matter to a conclusion as quickly as possible and we have taken the steps I have outlined to help achieve this.
§ Mr. ClappisonTo ask the Secretary of State for the Home Department what is his most recent estimate of(a) the administrative costs and (b) the cost of compensation payments arising from the ban on the ownership of handguns. [56174]
§ Mr. BoatengOur current estimate of the cost of the compensation schemes for large-calibre handguns and small-calibre pistols remains at around £128 million, of which about £8 million is in respect of police and Home Office administration costs. The compensation figure is subject to revision as further claims under Option C of the schemes are examined.