Clause 19
9:00 am
Paul Rowen (Rochdale, Liberal Democrat)
I beg to move amendment 63, in clause 19, page 25, line 41, at end insert—
‘(14) Sanctionable benefits shall be returned to the claimant with compensation where the benefit offence is attributable to a mistake made by the Secretary of State or anyone acting under his authority as provided in paragraphs (1) to (11) above’.
It is a pleasure to serve under your chairmanship, Mr. Amess. Amendment 63 attempts to ensure that if a mistake is made, it is rectified not only with the restoration of the benefit, but with the payment of compensation to the people who have suffered the loss. We have concerns about this clause because it is a change from the current two-strikes rule to cover the loss of benefit after one sort of incident. We are worried that such an incident may include an administrative error as well as fraud. The clause strengthens any action that may be taken against a benefit claimant, so if it is proved that a sanction was taken as a result of an administrative error, the claimant should receive not only what they lost, but a form of compensation. I hope that the Government will appreciate that the amendment is fair and reasonable. Such a practice applies to many other cases in which someone has suffered a mistake. For example, it applies with tax credits, so it should also apply in this particular case.