HC Deb 27 March 2003 vol 402 cc17-8WS
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, I should like to announce the Benefit Fraud Inspectorate (BFI) inspection report on Rhondda Cynon Taf County Borough Council was published today and copies of the report have been placed in the Library.

In its response to the Housing Green Paper of November 2000, the Department for Work and Pensions developed a performance framework for housing benefits. The Performance Standards' allows local authorities to make a comprehensive self-assessment of whether they deliver benefit effectively and securely. They are standards the Department for Work and Pensions aspires to and expects local authorities to achieve in time.

The BFI inspected the council against the Performance Standards for housing benefits. The report finds that the council is not fully at Standard for any of the seven Performance Standards—strategic management, customer services, processing of claims, working with landlords, internal security, counter-fraud, and overpayments. But Members, Chief Officers and staff are fully committed to delivering a high quality and secure service.

The report concludes that the work of the council's Benefit Fraud team, the verification of claims before payment is made and a rigorous management-checking regime provide a secure gateway to the benefits system. The well-publicised prosecutions secured by the Benefit Fraud team are also a deterrent to potential fraudsters.

The BFI considers that the council should incorporate the work of the benefit service in its corporate plans and improve the reporting links from the benefit service through to senior management and Members. The work carried out in respect of customer services is commendable and is moving in the right direction.

Counter-fraud performance was strong and would be very close to Standard if written procedures and a fraud business plan were in place.

The administration of overpayments needs improvement and the council should use its management information to prioritise its outstanding debt.

In 2001–02, Rhondda Cynon Taf County Borough Council administered approximately £55.1 million in housing benefits, approximately 19 per cent. of its total gross revenue expenditure.

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.