Welfare Reform Bill

New Section 2G would allow contracted organisations, where appropriate, to deliver work-related conditionality to lone parents and partners of certain benefit recipients by allowing some of the conditionality functions conferred on the Secretary of State to be carried out by providers. Under the Bill, relevant claimants affected by these arrangements will always have an effective remedy against the Secretary of State for anything a contractor does on her behalf, except where the action follows some criminal activity on the part of the contractor. This provides clarity and simplicity for the individual, who is protected because he knows that he can always sue the Secretary of State on any civil matter. The Secretary of State can decide for herself whether she in turn wishes to sue the contractor for any breaches. This amendment would draw the line in a different place, such that the contractor would be directly liable in all cases subject to court proceedings, including matters of a civil nature. It would mean, for example, that where a claimant wanted to make a claim for negligence they could sue a contractor in civil proceedings at court instead of taking action against the Secretary of State by virtue of new Section 2G(7). The provisions in the Bill reflect what we have done in all our other contracting provisions. Such arrangements are preferable because they give greater certainty and clarity to both client and contractor. The contractor is responsible for any criminal issues while the Secretary of State takes responsibility for civil matters. I hope that that has clarified things for the noble Lord.