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Only 3 applications every 12 months for a Social Fund Crisis Loan

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WORK AND PENSIONS

Crisis Loans


 

Photo of Terry RooneyTerry Rooney (Bradford North, Labour) | Hansard source

To ask the Secretary of State for Work and Pensions

(1) what consultations he has undertaken on his proposal to limit claimants to three Social Fund crisis loans a year;

(2) what criteria he plans to use to determine whether an application for a Social Fund crisis loan will be granted in circumstances where the applicant has received three such loans in the preceding 12 months;

(3) what information his Department gathers to monitor the level of fraudulent applications for Social Fund crisis loans.

 

 

Kitty Ussher (Parliamentary Under-Secretary, Department for Work and Pensions; Burnley, Labour) | Hansard source

holding answer 
2 April 2009

Proposed changes to the existing Crisis Loans scheme have been shared with DWP Customer Representative Groups and the Independent Review Service. Jobcentre Plus is committed to consulting on any changes before they are implemented.

Under planned changes due to be piloted this year, an award for a Crisis Loan will generally not be granted where an applicant has received three such loans in a 12 month period. There will be circumstances in which a further award may be made when need has arisen as a consequence of a disaster.

The Department does not gather specific information about the level of fraudulent applications for Social Fund Crisis Loans. However, any referrals of suspected fraudulent activity would be dealt with by the Fraud Investigation Service in the same way as any other referrals.

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