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Welfare Reform

My Lords, it does not necessarily follow that we will end up with large US multinational providers. We already have private sector providers doing a good job. What is important is how we go about the contracting arrangements, particularly how we hold private sector providers to account. However, this is about not only private sector providers but also the public and voluntary sectors. Over the past 18 months I have had the opportunity to visit interesting schemes in which the voluntary sector is providing huge support to people to get them back to work. Someone who was out of work for 15 years was helped back into employment, which transformed that person’s life. So good work is going on. However, my noble friend makes a fair point. We need to be careful to ensure that we do not end up in the situation to which he referred.