§ 22. Lawrie QuinnTo ask the Secretary of State for Work and Pensions if he will make a statement on his plans to make it easier for pensioners to collect their state benefits through private bank accounts. [3597]
§ Mr. McCartneyMost new pensioners (56 per cent.) already opt to have payment made directly into their bank/building society accounts, and find the process straightforward and convenient.
Paying benefits directly into bank accounts will become the normal method of payment from 2003. To support that, we will implement a number of improvements to our present systems to make it simpler for existing customers to switch. We will back up these enhancements with an effective publicity campaign, and where it is required we will also provide individual claimants with advice on opening and operating a bank account.
In addition we have made it clear that people will still be able to collect their pension weekly in cash from post offices. The Post Office is developing Universal Banking Services which will enable this to happen.