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877W<br />

Written Answers<br />

1 DECEMBER 2010<br />

Written Answers<br />

878W<br />

Number and monetary value of 156 warrant cases<br />

Number Amount of overpaid benefit (£)<br />

149 33,735.64<br />

150 37,465.39<br />

151 39,906.59<br />

152 46,406.20<br />

153 53,319.36<br />

154 54,864.22<br />

155 55,494.13<br />

156 58,550.01<br />

Source:<br />

FRAIMS<br />

The Department will instigate criminal proceedings irrespective of<br />

the amount of overpayment w<strong>here</strong> it is in the public interest to do so.<br />

For example, an attempt by a fraudster to falsely obtain a national<br />

insurance number to gain access to the benefit system may have<br />

criminal proceedings instigated against them whether or not t<strong>here</strong> was<br />

an overpayment.<br />

Priti Patel: To ask the Secretary of State for Work<br />

and Pensions pursuant to the answer of 10 November<br />

2010, Official Report, column 350W, on social security<br />

benefits: fraud, what steps are being taken to recover<br />

the suspected fraud identified in the cases; what steps<br />

he plans to take to recover from them the legal and<br />

other costs of pursuing those cases; what estimate he<br />

made of the cost to the public purse of taking legal and<br />

other action to pursue those cases; and what steps are<br />

being taken to arrest the persons concerned in the 550<br />

cases. [24720]<br />

Chris Grayling: Once a decision has been made that<br />

an overpayment is recoverable the steps taken to effect<br />

recovery include deductions from ongoing benefits,<br />

instalments, a lump sum or through the courts.<br />

Overpayments are not written off if the debtor cannot<br />

be immediately located. Comprehensive efforts are made<br />

to trace debtors and debts may be pursued over a<br />

considerable period of time.<br />

The Department seeks prosecution costs awards in<br />

all cases: it is not limited to those dealt with by warrant.<br />

Standard costs are £100.00 in guilty plea and £250.00 in<br />

not guilty plea cases heard in the magistrates courts. In<br />

the Crown court, applications for prosecution costs<br />

start at £350.00 and rise substantially depending on the<br />

seriousness, complexity and plea entered. Decisions to<br />

award prosecution costs are made by presiding magistrates<br />

or judges on a case by case basis.<br />

Information is not available of the cost to the public<br />

purse of taking legal and other action to pursue the 550<br />

cases.<br />

The Department has nominated staff whose duties<br />

include checking all outstanding warrants every month<br />

against departmental records and informing the warrant<br />

holder, who is normally either based at the local police<br />

or court, of changes and requesting immediate execution<br />

of warrants. The responsibility to arrest rests with the<br />

police.<br />

Social Security Benefits: Reform<br />

Graham Jones: To ask the Secretary of State for<br />

Work and Pensions what the evidential basis is for the<br />

estimate in his Department’s White Paper on welfare<br />

reform that his proposed benefit reforms will take<br />

300,000 people out of poverty; and over what period he<br />

expects this to be achieved. [26169]<br />

Chris Grayling: We expect that by the time it is fully<br />

implemented, universal credit will have moved 350,000<br />

children and 500,000 working-age adults out of poverty,<br />

due to increased benefit entitlement and improved take-up<br />

rates. This is estimated using the Department’s policy<br />

simulation model. These poverty impacts do not take<br />

any account of any positive impacts of more people<br />

moving into work.<br />

Graham Jones: To ask the Secretary of State for<br />

Work and Pensions what estimate he has made of the<br />

number of people who will no longer be in poverty in<br />

(a) Haslingden and (b) Hyndburn as a result of<br />

implementation of his proposed reforms to the welfare<br />

system. [26170]<br />

Chris Grayling: The information is not available for<br />

the geographical areas requested.<br />

We estimate that for Great Britain, by the time it is<br />

fully implemented, the impact of universal credit will be<br />

a net poverty reduction of 350,000 children and 500,000<br />

working-age adults.<br />

Graham Jones: To ask the Secretary of State for<br />

Work and Pensions what estimate he has made of the<br />

number of people likely to have their (a) housing<br />

benefit, (b) incapacity benefit and (c) jobseeker’s allowance<br />

withdrawn as a result of implementation of the proposals<br />

in his Department’s White Paper on welfare reform.<br />

[26189]<br />

Chris Grayling: No one will experience a reduction in<br />

the benefit they are receiving as a result of the introduction<br />

of universal credit. At the point of transition onto the<br />

new system, those households whose circumstances remain<br />

unchanged and who would otherwise experience a reduction<br />

in income will receive cash protection to make up the<br />

difference.<br />

Universal Credit: Welfare<br />

Grahame M. Morris: To ask the Secretary of State<br />

for Work and Pensions with reference to paragraph 14<br />

of his White Paper entitled Universal Credit: welfare<br />

that works, when he plans to set out proposals for a<br />

new system of financial sanctions to provide greater<br />

incentives for people to meet their responsibilities.<br />

[24900]<br />

Chris Grayling: Our current proposals for financial<br />

sanctions are set out in chapter three of our White<br />

Paper, ‘Universal Credit: welfare that works’.<br />

Universal credit will make sure that work pays. In<br />

return, claimants can reasonably be expected to look<br />

for and prepare for work.<br />

We also believe that it is fair to ask some claimants to<br />

do more to find work in return for receiving current<br />

benefits and ahead of the introduction of universal<br />

credit we intend to increase the level of labour market<br />

conditionality applied to some claimants; introduce a<br />

claimant commitment to ensure claimants fully understand<br />

what is expected of them; improve the sanctions regime<br />

so that it more effectively encourages claimants to meet<br />

their responsibilities; and introduce full-time mandatory<br />

work activity.

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