HC Deb 29 November 2001 vol 375 cc1145-6W
Alistair Burt

To ask the Secretary of State for Education and Skills what representations she has received from training providers affected by the closure of the ILA scheme for an introduction of another scheme; and if she will make a statement. [17297]

John Healey

[holding answer 22 November 2001]: We have received representations from a number of Individual Learning Account (ILA) registered providers expressing disappointment about the withdrawal of the programme. Many have also offered their help in the development of our future plans. We welcome their offers and will take advantage of their experience. I hope to announce more details on the process for developing a further scheme in due course.

Mr. Damian Green

To ask the Secretary of State for Education and Skills how many people were under investigation in relation to individual learning accounts(a) before 30 October and (b) at the latest available date. [19323]

John Healey

Before 30 October 2001 29 cases had been taken up for investigation by the Department's Special Investigations Unit. As at 27 November 2001 this had increased to 60 cases. The police are currently involved in five cases.

Mr. Damian Green

To ask the Secretary of State for Education and Skills whether she consulted training providers before bringing forward the suspension of the Individual Learning Account scheme; and if she will make a statement. [19325]

John Healey

Because of the need to take immediate action it was not possible to consult training providers. The Department for Education and Skills called in police to investigate new allegations of fraud and theft involving Individual Learning Accounts. Officers from the Department's Special Investigations Unit had confirmed the allegations on Thursday 22 November. With the advice of the police and to prevent serious risk to public funds, the ILA programme was shut down on Friday 23 November.

Mr. Damian Green

To ask the Secretary of State for Education and Skills what considerations informed her decision 10 bring forward the suspension date for individual learning accounts. [19326]

John Healey

The Department for Education and Skills called in police to investigate new allegations of fraud and theft involving individual learning accounts. Officers from the Department's Special Investigations Unit were alerted to those allegations on Wednesday 21 November and confirmed them on Thursday 22 November. With the advice of the police and to prevent a serious risk to public funds, the ILA programme was shut down on Friday 23 November.

Mr. Damian Green

To ask the Secretary of State for Education and Skills how many complaints had been received in relation to the operation of individual learning accounts(a) before 30 October and (b) at the latest available date. [19324]

John Healey

Up to 31 October 2001 there had been 8,448 (0.33 per cent.) complaints received concerning the operation of individual learning accounts. As at 19 November 2001 the number of complaints had increased to 10,276 (0.41 per cent.). Just over a quarter of complaints have raised questions about non-compliance of learning providers with the rules of the ILA scheme.

Mr. Damian Green

To ask the Secretary of State for Education and Skills what estimate she has made of the public expenditure consequences of the operations of the individual learning account scheme between 30 October and 23 November. [19327]

John Healey

We cannot give a figure for expenditure between 30 October and 23 November.

There are still significant numbers of payments due in respect of claims already made by learning providers and committed expenditure in respect of learning already booked by providers on the ILA Centre system before it was shut down on 23 November. Because of the police investigation into allegations of fraud and abuse we do not, currently, have access to Capita's ILA Centre system on which the data are stored. We also need to validate both the claims and the bookings held on the ILA Centre system and take action to recoup moneys which have been improperly claimed. As a result it is not possible to estimate the extent of the additional financial commitment at present.