§ The Parliamentary Under-Secretary of State for Work and Pensions (Malcolm Wicks)On behalf of my right hon. Friend the Secretary of State for Work and Pensions, the Benefit Fraud Inspectorate (BFI) inspection report on Fife Council was published today and copies of the report have been placed in the Library.
This report finds that the council has responded to the challenges of re-organisation. However, there is considerable scope for further improvement particularly in verifying claims. BFI found significant weaknesses in verifying identity and residence as well as income and capital.
Following BFI inspection, the council reported working towards implementing two modules of the Verification Framework by April 2003. To do this effectively, the council needs to draw up a detailed implementation plan, showing key milestone dates and clear roles and responsibilities for those involved.
The report finds that the council's claim form is broadly effective in gathering the right information and is reasonably straightforward to understand and complete. However, there is room for further improvement.
The council plans to make more use of prosecution and administrative penalties against fraudsters, and to support this crucial change the council is creating a dedicated prosecution team.
The report finds that the council needs to improve the recovery of overpayments, including those incurred through fraud, from rent rebate claimants.
In 2000–01, Fife Council administered approximately £81 million in housing benefits.
The report makes recommendations to help the council address the remaining weaknesses and to further improve the administration of Housing Benefit and Council Tax Benefit, as well as counter-fraud activities.
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.