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19 July 2005 - Benefit Fraud Inspectorate (BFI) Inspection Report on North West Leicestershire District Council

The Secretary of State for Work and Pensions, David Blunkett, has today published an inspection report by the BFI on North West Leicestershire District Council’s counter-fraud arrangements.

In 2004/05 North West Leicestershire District Council administered some £13 million in housing benefits, about 28 per cent of its gross revenue expenditure. There was commitment at all levels within the council to deter and prevent fraud. The work of the council’s Benefits Enquiry Unit was well supported by Members and managers and BFI found a number of good practices.
BFI was impressed with the commitment shown by the Benefits Enquiry Unit to combat benefit fraud. It had raised a large number of sanctions in relation to the number of staff and its caseload.

However, there were delays in informing suspects of the outcome of the investigation, and no formal management checking of cases.

Overall, the council was tackling fraud effectively.

BFI is an independent unit within the Department for Work and Pensions that reports directly to the Secretary of State for Work and Pensions on the standard of benefit administration and counter-fraud activity.

James Plaskitt, Minister for Housing Benefit and Anti-Fraud, announced the publication of the report in a written ministerial statement.

Notes to Editors

1. The BFI inspection at North West Leicestershire District Council covered only the council’s arrangements for countering fraud, taking account, in particular, of the council’s compliance with the Department for Work and Pensions’ Security Against Fraud and Error (SAFE).

2. The main elements of the SAFE scheme are:
· prevention – offering higher incentive payments to local authorities that comply with the Verification Framework, as recognition of their efforts to prevent fraud entering the system
· detection – offering incentive payments to local authorities for the identification of both fraud and error overpayments
· sanctions and prosecutions – offering incentive payments to local authorities, not only for successful prosecutions but also for issuing an administrative penalty or formal caution.

3. Each BFI inspection report is considered by the Secretary of State who decides whether any further action is appropriate. The Secretary of State has powers to issue directions to a local authority to secure acceptable or minimum standards in performance.

4. Media copies of the BFI inspection report can be obtained from the Department for Work and Pensions Press Office on 020 7238 0866. All BFI inspection reports can be found on the BFI website – www.bfi.gov.uk.

Press office: 0207 238 0866
BFI Press enquiries 01423 83 2982
Out of hours: 07659 108 883
Public enquiries: 0207 712 2171
Website: www.dwp.gov.uk