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‘Thorough probe’ call on firm to help jobless
Two police investigations are underway after irregularities were identified at a controversial welfare-to-work firm set up by one of Yorkshire’s most high-profile entrepreneurs.
The Prime Minister has urged police to carry out a “thorough” inquiry into A4e, whose Sheffield-born chief executive Emma Harrison was appointed Britain’s families tsar by David Cameron and which operates the Coalition’s Work Programme to help the jobless find employment.
There was outcry earlier this month when it emerged Ms Harrison received more than £8m in dividend payments last year from the company, which makes almost all its money from public contracts. The payments came despite fierce criticism from some MPs over the firm’s effectiveness in helping people to find work.
Yesterday, it emerged four ex-employees of A4e have now been arrested after the firm referred a string of irregular cases to the Department for Work and Pensions.
Mr Cameron was pressed at Prime Minister’s Questions on what action he was taking.
He responded: “The investigation needs to be thorough, it needs to get to the truth and then we can take into account its findings.”
A4e issued a statement last night stating there is “no place for fraud at A4e”, and giving details of “all incidents” in its welfare to work contracts since 2005.
It said nine cases had been referred to the DWP for further investigation of claims submissions over that period.
“Of these nine referrals, one, dating back to May 2008, has resulted in the prosecution of a member of A4e staff for fraud, which was widely reported at the time,” the statement said. “Seven of the cases are now closed, and only two are outstanding.
“The first of these is the incident being handled by Thames Valley Police and involves four former members of staff.
“A second police investigation is outstanding. However this does not involve any A4e staff, and concerns one subcontractor out of more than 200 who work for A4e.”
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