HC Deb 20 March 2001 vol 365 cc205-7W
Mr. Cousins

To ask the Secretary of State for Social Security when he will publish the inspection report of the Benefit Fraud Inspectorate in respect of Newcastle City Council. [155013]

Mr. Rooker

The Benefit Fraud Inspectorate (BFI) report was published today in respect of Newcastle City Council and copies of the report have been placed in the Library.

The report makes recommendations to help the council address weaknesses and to improve the administration of Housing Benefit and Council Tax Benefit, as well as its counter fraud activities.

BFI looked at the performance of Newcastle in August 1997 as one of a series of trial inspections during the initial set up of BFI, but the findings were not published.

Inspectors report that Newcastle has responded positively to their 1997 findings and recommendations. The council has a large HB and CTB caseload and a transient population and the BFI was pleased to note that there were no backlogs at the time of their on-site inspection, despite the volume of work.

There have been noticeable improvements in the council's administration. In particular, its claim form, verification and liaison with the Benefits Agency, Rent Service, private sector landlords and Housing Associations.

The report also notes that substantial progress has been made in counter fraud work. The council now undertakes its own prosecutions and has introduced a computerised fraud management system.

The report acknowledges a significant improvement has been the development of a joint protocol between Internal Audit and District Audit which ensures both teams are working together to ensure maximum audit coverage and effectiveness.

My right hon. Friend the Secretary of State is now considering the report and will be asking the council for its proposals in response to the findings and recommendations of the BFI.

Mr. Bailey

To ask the Secretary of State for Social Security when he will publish the inspection report of the Benefit Fraud Inspectorate in respect of Sandwell metropolitan borough council. [155012]

Mr. Rooker

The Benefit Fraud Inspectorate (BFI) report was published today in respect of Sandwell metropolitan borough council and copies of the report have been placed in the Library.

The report makes recommendations to help the council address weaknesses and to improve the administration of Housing Benefit and Council Tax Benefit, as well as its counter fraud activities.

This was a follow-up inspection. The BFI previously reported on Sandwell metropolitan borough council in August 1999. Since then the council has responded very positively to BFI's recommendations and has been particularly active in taking steps to tackle fraud and error, despite a high level of staff turnover and recruitment problems.

Inspectors noted that the council had implemented most of their recommendations and this had led to improvements in its overall administration and counter fraud performance.

Inspectors noted that the council had approved a prosecution policy and together with training for its fraud officers this had led to the council conducting a large number of successful prosecutions. Inspectors found the council had the best performing fraud section of the 30 highest spending local authorities the BFI have inspected to date.

Inspectors also noted that centralising benefit processing has helped the council reduce backlogs and improve clearance times.

The report concludes that the council has achieved a lot in a short space of time and this is commendable. However, there is still room for further improvement, in particular through the council implementing the Verification Framework to support the council's counter fraud strategy, and the report makes recommendations for this.

My right hon. Friend the Secretary of State is now considering the report and will be asking the council for its proposals in response to the findings and recommendations of the BFI.