Written answers

Tuesday, 25 May 2010

Department of Social and Family Affairs

Social Welfare Fraud

2:30 pm

Photo of Róisín ShortallRóisín Shortall (Dublin North West, Labour)
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Question 53: To ask the Minister for Social Protection the datasets of other public sector bodies available to his Department for the purpose of anti-fraud data-matching exercises; and the datasets he is currently seeking access to but has not yet secured. [21604/10]

Photo of Charles FlanaganCharles Flanagan (Laois-Offaly, Fine Gael)
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Question 72: To ask the Minister for Social Protection if he is satisfied with the method of recording and calculating fraud control savings; and if he will make a statement on the matter. [21657/10]

Photo of Tom HayesTom Hayes (Tipperary South, Fine Gael)
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Question 77: To ask the Minister for Social Protection the fraud savings target for 2010; if he will provide an update on fraud control measures put in place by his Department; and if he will make a statement on the matter. [21663/10]

Photo of Denis NaughtenDenis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 80: To ask the Minister for Social Protection if he is on target to achieve fraud savings as outlined at budget time; the steps he is taking to reduce the cost of rent allowance payments; and if he will make a statement on the matter. [21745/10]

Photo of Denis NaughtenDenis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 81: To ask the Minister for Social Protection if he is on target to achieve fraud savings as outlined at budget 2010; and if he will make a statement on the matter. [21698/10]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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I propose to take Questions Nos. 53, 72, 77, 80 and 81 together.

The prevention of fraud and abuse of the social welfare system is an integral part of the day-to-day work of the Department. A key objective of the Department's control strategy is to ensure that the right person is paid the right amount of money at the right time. A four-pronged control strategy has been adopted by the Department, namely prevention of fraud and error at the initial claim stage, early detection through effective review of claims in payment, measures to deter fraud, and the pursuit and recovery of overpayments.

In relation to accessing information for fraud and error detection, the Department is involved in a number of data matching initiatives which are effective in identifying high risk claims for review and ensuring that review activity is targeted in the most effective manner. Data exchange is provided for by legislation and is an example of good cross-departmental co-operation. Every month commencement of employment data from the Revenue Commissioners are matched against the Department's schemes and investigations are conducted where warranted. All matches identified are examined to determine whether there has been wilful concealment of information by the customer. Where there has been concurrent working and claiming for 12 weeks or more or where the overpayment exceeds €2,000 such cases will be considered for prosecution.

In addition the following organisations provide information to the Department for the purpose of the data matching:

· The Irish Prison Service provides lists of prison inmates on a quarterly basis.

· The Criminal Injuries Compensation Tribunal provides data on compensation payments made.

· The Courts Service has provided on-line access for information on the probate index of issued grants.

· Third level institutions supply details of students registered for full-time daytime education.

· Access to the General Register's Office regarding births, deaths and marriages is proving very effective for control purposes.

· The Private Security Authority provided information on security licence holders.

· Data have also been received from the Department of Agriculture & Food on total grant payments issued to farmers.

· The Commission for Taxi Regulation has supplied data on active taxi/ hackney licence holders.

· The Private Rental Tenancies Board provides information on registered landlords.

The Department continues to explore the value of possible new data matches. However reporting on these at this stage could prejudice the value of these sources.

Control savings are calculated by applying validated multipliers to the difference in the rate of payment before and after the control activity. Multipliers used in assessing control savings estimate the potential future savings to the Department of a revocation or reduction resulting from a control action. The multiplier used is based on an estimated duration that a person would have remained on benefit in the absence of the control activity, and this varies by scheme. The Department's Control Division carries out validation exercises to ensure control savings are recorded correctly in accordance with the guidelines. The methodology is kept under review. I understand that a review to be carried out in consultation with C&AG will commence shortly.

I am satisfied that control savings provide valid, useful and comparable measures of progress towards achieving results. The rapidly changing economic environment with large increases in the levels of unemployed poses challenges for the prevention and effective management of fraud and control. The Department's response to these challenges has been to introduce new measures, which are evidence based, to target control activity at high risk categories of claimants. A target of €533.3 million was set for control savings in 2010. The current work to rule measures in the Department have impacted on the reporting of the value of control activities so it is not possible to say if control savings are on target. However, I am hopeful that the target will be met.

Regarding rent supplements a review of maximum rent supplement levels is expected to be completed shortly. This review, in conjunction with the decline in rental market rates generally, will ensure that the new rent limits reflect realistic market conditions throughout the country, and that they will continue to enable the different categories of eligible tenant households to secure and retain suitable rented accommodation to meet their respective needs.

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