HL Deb 26 February 2002 vol 631 cc232-4WA
Lord Hardy of Wath

asked Her Majesty's Government:

When they will publish the inspection report of the Benefit Fraud Inspectorate in respect of Southampton City Council. [HL2963]

Baroness Hollis of Heigham

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

The council has been working with a private company to provide IT solutions and improve its benefits service. Inspectors found that this work was still being implemented at the time of the inspection. It noted that some sound processes were in place but that the overall service being provided had weaknesses. A number of these could be attributed to the backlog of work that arose out of the introduction of new technology despite the council's efforts to plan and manage the change. This backlog was exacerbated by the staff's lack of familiarity with the new IT systems.

Southampton has been using a variety of claim forms of differing quality but was in the process of designing a single form taking account of the BFI's model claim form.

The report finds that there has been a history of inconsistent standards in the verification of claims for benefit. As a result the council could not provide the necessary assurance that the gateway to the benefit was secure.

The council makes benefit payments in a number of ways and this is commended in the report, but some weaknesses were found in the security of these payments. In the case of overpayments, the report recognises that the council has a number of good practices for identifying and classifying overpayments.

In the case of fraud investigations, it is reported that the council needs to address the organisation and management of its benefits investigation unit if it is to improve the quality of its investigations. Delay in completing investigations and poor quality investigations were identified despite a considerable financial resource spent on training. Better use of the fraud case management system is recommended. At the time of the inspection Southampton was making proposals to restructure the investigation unit.

Southampton has a number of good practices, such as the way it has managed change. Inspectors were also impressed with its arrangements to train new, and inexperienced staff.

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 counter fraud activities.

My right honourable 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.