HC Deb 04 July 2000 vol 353 cc155-6W
Miss Geraldine Smith

To ask the Secretary of State for Social Security what recent steps his Department has taken to tackle Housing Benefit fraud. [128458]

Angela Eagle

"Safeguarding Social Security" published in March 1999 makes it clear that we want a benefit system which is secure from start to finish. We are committed to taking tough action against Housing Benefit fraud. We have already reformed the anti-fraud financial incentive scheme for local authorities to ensure they continue to be rewarded for detecting cases of genuine benefit fraud and non-residency, but also have the opportunity to earn rewards for successfully prosecuting fraud cases and for adopting the Department's Verification Framework. The Verification Framework helps to secure the administration of Housing Benefit through a series of additional checks, carried out throughout the life of a benefit claim, and 249 local authorities have been paid or accepted funds to implement the Verification Framework.

The Benefit Fraud Inspectorate is conducting inspections of local authorities; to date 58 reports have been published. Last month the Benefit Fraud Inspectorate issued new good practice guidance to improve service delivery and help tackle fraud and error. We have made it abundantly clear to all authorities that when inspections show persistent failings we will use our powers to direct authorities on the standards they are to meet and the timescales for achieving them.

272 local authorities are currently using the Royal Mail "do not redirect" scheme which prevents benefit claimants from using postal redirection arrangements to make false claims to benefit from multiple addresses. To reduce the scope for fraud and error and to streamline the administration of Housing Benefit we have installed Remote Access Terminals to give authorities direct 'on line' access to a range of relevant information on other DSS benefit systems. 388 authorities currently operate at least one terminal and we plan to install terminals in a further 16 authorities by the end of September 2000.

We are also introducing electronic transfer of data to speed up the transfer of information from the Benefits Agency to local authorities and further reduce the scope for fraud and error. So far 191 local authorities have the equipment installed; by this Autumn we expect nearly all local authorities to be using this technology.

Miss Geraldine Smith

To ask the Secretary of State for Social Security what the estimated cost of Housing Benefit fraud was in 1999–2000 in(a) England and (b) Morecambe and Lunesdale. [128443]

Angela Eagle

The information is not available in the form requested. Such information as is available is as follows. The latest estimates are derived from the National Housing Benefit Accuracy Review 1997–98 which estimated losses of £490 million in England with a margin of error of approximately ±35 per cent. (£330 million–£670 million).

Note:

It is not possible to provide estimates at individual constituency level.

Mr. Field

To ask the Secretary of State for Social Security what action he is taking to measure Housing Benefit fraud in those local authorities not included in the revised area benefit reviews; how many local authorities will be covered by such actions; when such actions will be completed; and to what level of accuracy he estimates such measurements will be made. [128912]

Angela Eagle

Fraud measurement is being extended to all local authorities for Standard Housing Benefit from 2001. The first results will be available from March 2002.

On the basis of the size and structure of the sample of Housing Benefit cases currently being examined in the Area Benefit Reviews programme, it is predicted that the margin of error around the estimate of the value of losses due to fraud and error will be between ±10 per cent. and ±20 per cent.

Mr. Willetts

To ask the Secretary of State for Social Security how many cases of suspected Housing Benefit fraud there were in(a) 1997, (b) 1998 and (c) 1999; how many of these cases went to court; and how many of them resulted in a successful prosecution. [128910]

Angela Eagle

The information is not available in the format requested. Such information as is available is in the table.

The table shows the number of cases where Housing Benefit (HB) fraud has been established on the balance of probabilities by local authorities, the number of cases which were referred by local authorities to lawyers for prosecution action and the total number of successful prosecutions. It does not include cases involving benefit fraud where Housing Benefit is one among several benefits being claimed and the Benefits Agency have investigated the case.

Number of cases suspected of HB/CTB fraud and prosecutions in 1997–98 to 1998–99: Great Britain
Thousand
Total number of cases
1997–98 1998–99
Cases where fraud established and weekly benefit savings claimed 220 160
Total number of cases referred for prosecution 1.3 1.9
Total number of successful prosecutions 0.7 0.8

Notes:

1. Includes all cases where fraud is suspected including those that are not live, or involve a landlord, or organised fraud

2. Figures are rounded to two significant figures

3. The Department also tackles HB/CTB fraud as a by-product of investigating Income Support (IS) fraud. The above table contains all cases where fraud was established and weekly benefit savings were claimed by Local Authorities. All cases discovered by the Department are not included. Therefore, the total number of cases where HB/CTB fraud was established is much higher than stated above.

Source:

Administrative Returns 1995–96 to 1998–99.