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Crisis Loans

Work and Pensions written question – answered on 24th November 2011.

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Photo of Adrian Sanders Adrian Sanders Liberal Democrat, Torbay

To ask the Secretary of State for Work and Pensions how many budgeting loan acceptances have been sent out by his Department in the six months to 31 August 2011; and how many such acceptances have been received by his Department (a) within the qualifying time and (b) too late.

Photo of Steve Webb Steve Webb The Minister of State, Department for Work and Pensions

Information relating to the number of budgeting loans offered to claimants by the Department and the number of such offers that are accepted is not gathered. Information is available as to the number of budgeting loan applications, initial decisions, awards and refusals.

Please see the following table for the six month period from March 2011 to August 2011.

Number of applications and initial awards March 2011 to August 2011
Applications 757,600
Initial Awards 525,900
Initial Decisions 757,900
Initial Refusals 211,300
Notes: 1. Figures are from March 2010-11 to August 2011-12 2. Figures are for applications received, not for the number of people who made an application, and for initial awards made, not the number of people who received an initial award. (Some people made more than one application or received more than one initial award.) 3. Figures for initial decisions are based on the applications processed. 4. Figures rounded to the nearest 100. 5. The information provided is Management Information. Our preference is to answer all parliamentary questions using Official/National Statistics but in this case we only have Management Information available. It is not quality assured to the same extent as Official/National statistics and there are some issues with the data, for example, it does not include applications which were processed clerically and have not yet been entered on to the Social Fund Computer System. Source: DWP Social Fund Policy, Budget and Management Information System

The difference between applications received, initial decisions, initial awards, and initial refusals is due to: applications being withdrawn; applicants rejecting or not responding to loan offers; and applications not decided at the time the count was made.

Where a budgeting loan offer is accepted but returned late, it may still be paid where there is good reason for the delay. If there is no good reason for the delay the applicant is invited to resubmit their application. The Department does not hold information about the number of responses to loan offers that are made late.

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