Private Probation Services

Ellie Reeves Excerpts

Tuesday 27th February 2018 Westminster Hall

[Ellie Reeves (Lewisham West and Penge) (Lab)]

I beg to move,

That this House has considered private probation services.

It is a pleasure to serve under your chairmanship, Ms McDonagh. I am delighted to have secured this debate on the role of private probation services in our justice system, an extremely important topic that I have wanted to raise for some time, particularly in the light of the reported failings of community rehabilitation companies in the probation system. The Select Committee on Justice, of which I am a member, is discussing the future of rehabilitation this morning, but the complexities of the parliamentary timetable have meant that I am here instead.

The current situation stems from the splitting of probation services into two parts in the coalition Government’s attempt to transform rehabilitation. Given the issues that I will address in my speech and the problems created by the implementation of the Offender Rehabilitation Act 2014 and the Legal Aid, Sentencing and Punishment of Offenders Act 2012, it is fair to say that justice policies have regressed since 2010. Probation services are now split between the national probation service, which is public and deals with high-risk offenders, and the outsourced, private community rehabilitation companies, which work with medium and low-risk offenders. The 21 CRCs were divided geographically and opened up to bids from the private sector and the third sector. Originally, 800 organisations—half from the voluntary sector—expressed an interest, but only one CRC is currently run by an organisation outside the private sector.

The primary objectives of the 2013 “Transforming Rehabilitation” initiative were to reform the system and reduce reoffending overall, partly with a Through the Gate method of enhanced rehabilitation that aims to provide prisoners with support and help in their resettlement as they make their transition back into civilian life. A prisoner in the transition stage at the end of their sentence usually requires assistance with accommodation, financial support and employment. However, as I will describe later, the original objectives are yet to be met. The reality is that the toxic privatisation of probation services has meant that CRCs continue to fail the people they were set up to help.

At the time of the reforms, Ian Lawrence, the general secretary of Napo, warned about organisational difficulties, cost and impact on communities and public safety. Furthermore, a leaked Ministry of Justice memo about the reforms said that there was a risk of

“an unacceptable drop in operational performance”

during the programme, which might lead to

“delivery failures and reputational damage”.

Those concerns were well founded. Since Her Majesty’s inspectorate of probation began inspecting CRCs in summer 2016, it has found the majority to be operating below expectations. By the end of June 2017, CRCs had met an average of just eight of the 24 targets set under their contracts, and the worst-performing CRC met only four. If CRCs are incapable of reaching basic objectives, it casts great doubt on the ability of the whole exercise ever to reach the aims set out in the 2013 “Transforming Rehabilitation” consultation.

[Dr David Drew (Stroud) (Lab/Co-op)]

Our CRC in Gloucestershire, BGSW—Bristol, Gloucestershire, Somerset and Wiltshire—is owned by a European finance bank. It has had a number of poor reports, yet it seems to just carry on getting in the way of the voluntary sector, which does genuinely good work with ex-offenders. Does my hon. Friend agree that it is completely crazy that BGSW is allowed to continue?

[Ellie Reeves]

I agree that there are companies with little accountability, in which good work is not carried out and offenders are not properly managed. Often contact is made by telephone and probation officers do not contact offenders for months on end. I will address those points in more detail later, but I agree that the situation is unacceptable.

Probation is turning into a tick-box exercise, but it is not a profession that should be driven by targets; it requires a well-rounded approach centred on individuals and their needs, not—as we see all too often—on offenders’ ability to provide profits to the CRC. In October 2016 and June 2017, joint inspections by Her Majesty’s inspectorates of probation and of prisons led to reports on Through the Gate resettlement services for short-term prisoners and for those serving 12 months or more. The picture was described as “bleak”, with inspectors noting that CRCs are making little difference to prisoners’ prospects on release. The latest annual report from Her Majesty’s chief inspector of prisons states that

“too many prisoners continued to receive a poor resettlement service”,

that resettlement services provided to prisoners before and on release were generally poor, and that they made little, if any, difference to the life chances of those who received them.

[Tonia Antoniazzi (Gower) (Lab)]

Some private companies, especially in Wales, are supervising low and medium-risk offenders with periodic phone contact, as my hon. Friend mentioned. That would never have happened before; it is obviously a cost-cutting exercise.

[Ellie Reeves]

I agree. If offenders are contacted only by telephone, if appointments are missed without any follow-up and if months pass before there is contact from the probation service, the system is not working; it is driven by profit, rather than by the need to rehabilitate and prevent reoffending. That is all too often overlooked.

The HMIP report stated that in almost every respect, the quality of probation work was noticeably better across the national probation service than in the body of CRCs. That highlights the point that outsourcing and privatising probation services is just not working. It is clear that the fragmentation of services has led to an overall decline in communication and co-operation between stakeholders. The report is clear in its criticisms of CRCs and their pitiful attempts at Through the Gate rehabilitation. The conclusion of the chief inspectors was damning:

“The gap between aspiration and reality is so great, that we wonder whether there is any prospect that these services will deliver the desired impact on rates of reoffending.”

They also noted:

“If Through the Gate services were removed tomorrow, in our view the impact on the resettlement of prisoners would be negligible.”

[Bambos Charalambous (Enfield, Southgate) (Lab)]

Does my hon. Friend agree that the failure of CRCs’ Through the Gate services will lead to more serious offending and therefore to more problems higher up for the national probation service?

[Ellie Reeves]

Yes. If the Through the Gate system is not working and if offenders are not resettled in the community with employment, housing and engagement with probation services to get their lives back on track, we know that they are more likely to reoffend. The CRCs are not getting reoffending rates down—they have failed to deliver that.

The “Transforming Rehabilitation” programme was not just about rehabilitation, but about protecting the public—a linchpin of any justice system. However, in a recent BBC “Panorama” documentary, Dame Glenys Stacey, the chief inspector of probation, stated that she could not say for certain that every private probation company was managing to protect the public as well as it should. In its investigation, “Panorama” spoke to an offender who was released from a short sentence in May. He said that he had not met his probation officer for almost a month after release, and that probation services were deteriorating; in the past, he knew exactly who his probation officer was, but now it was hard to tell. The CRC in that instance was MTCnovo, which covers all medium and low-risk offenders in London.

[John Cryer (Leyton and Wanstead) (Lab)]

From what my hon. Friend is saying, it seems that the current system is potentially putting the public in danger and, furthermore, the leaked memo shows that the Government must have been aware that that might happen. Is that the case?

[Ellie Reeves]

That is absolutely the case. If ex-offenders are released from prison but have no contact, or only very sporadic contact, with the probation services, how can the public be assured that they are being kept safe? The chief inspector has made that point and other people made it when the reforms were going through, but still no action has been taken and these CRCs continue to operate, which puts people at risk.

“Panorama” went on to say that it has records from MTCnovo that reveal that 15,000 appointments were missed by offenders over a 16-month period, a problem that was compounded by probation officers failing to take any action over missed appointments. A whistleblower from MTCnovo said that CRCs are employing fewer staff, so individual members of staff have higher case loads. That probation officer says that he now only has 20 minutes a month with the offenders he has to deal with, which is simply not enough. He had inherited cases where 20 to 30 appointments had been missed by offenders, and in addition he said that staff were instructed by the CRC to alter records, so that missed appointments were wiped if they were more than two weeks old.

It seems that public protection is not at the heart of this programme, and the toxic climate created by this ill-judged privatisation has clearly had a detrimental impact on staff and services too. Following the creation of the National Probation Service and CRCs, existing staff were redistributed between the two organisations. From the start, CRCs had smaller case loads than predicted, which resulted in reduced levels of income, followed by restructuring with substantial job losses. Fewer staff can deal with fewer cases and the added focus on restructuring has often meant that the quality of core service delivery suffered. Low-risk offenders were often only supervised by telephone, as we have discussed, and work on safeguarding and domestic abuse was often substandard.

Three and a half years since the CRCs were created, it is clear that staff morale is low and individual case loads are too high. There are not enough staff, and many of them lack the experience and resources to do the job properly.

[Tonia Antoniazzi]

Does my hon. Friend agree that there are a large number of highly skilled and experienced probation officers who have been lost due to their being placed in the private side of the organisation, which is not always through their own choice?

[Ellie Reeves]

I agree with that assessment and there is now a situation where there have been substantial job losses, so that a lot of very experienced probation officers are no longer in post. The system is one where staff are overworked and do not necessarily have the skills and equipment that they need.

I will come on to some of the findings of a Unison survey. Unison has 3,500 members working across CRCs and the National Probation Service. It carried out a survey of members who work for CRCs and the 215 responses that it received make for really shocking reading. Twenty-five per cent. of staff said that they only occasionally had the equipment, resources or systems they needed to do their jobs properly; 41% said that they never experienced a manageable case load; 25% said that their CRC never or only occasionally completed community orders within the required time; and 43% said they never felt valued by their CRC.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC)]

Does the hon. Lady share my concern that CRCs received extra funding from the Government that was worth £37.15 million in the 2016-17 financial year, but because of the secrecy of the contracts between the Government and CRCs we cannot break that down to the level of individual companies or even receive the details of those contracts?

[Ellie Reeves]

I thank the hon. Lady for making that point. After I have said a little bit about staff and morale, I will go on to talk a little bit about the financial bailout of CRCs, because it is really important that we recognise the additional money that has gone into propping up these failing companies. However, I will complete my points about staff morale and then move on to that issue.

I want to flag up some of the things that probation staff said in response to the Unison survey. One said:

“Chaotic, frustrating and exhausting. Caseloads are too high and I don’t feel as if I do anything to protect the public anymore, I simply process people. Service users…often comment as to how impersonal our service is now and that they feel telephone contact with offender managers is inadequate. Very sad knowing that I used to do good work.”

Another said:

“I have inherited a new caseload since early 2017—many cases have not been contacted for months—one case today I managed to contact had not heard from anyone at Probation for 16 months in a 24-month suspended sentence. It is not good enough.”

Perhaps the most damning response was this one:

“I feel stressed, de-professionalised and ready to give it up. This government have transformed rehabilitation alright. They have ruined it.”

Probation is ultimately a caring profession and it should be viewed as being a bit like teaching or social work. However, it is clear that those who work within the service are being hugely let down by privatised and profit-driven CRCs. That is summed up by the underlying tension between CRCs meeting contractual obligations and their responding to the needs of offenders, with the latter receiving much less attention than the former. Shockingly the Government are now in a position where, as has already been said, they are bailing out CRCs at a cost of millions of pounds. As things stand, CRCs are paid for the volume of rehabilitation activity.

[Stephanie Peacock (Barnsley East) (Lab)]

I congratulate my hon. Friend on securing this important debate. Does she agree that linking payment to demand has not only affected service in times of low requirement, but has made the position of the Work First employees, whom she has described in such detail, much worse, so that many of them are suffering from low morale and are in precarious employment?

[Ellie Reeves]

I thank my hon. Friend for making that point, and she is absolutely right. If a system is introduced whereby people are paid by results, that turns probation into the tick-box exercise that we have seen. It is not focused on rehabilitation and public protection but on making sure that all the right boxes are ticked, so that the CRC can generate profit. Profit-driven rather than people-driven is what has happened to the probation service.

CRCs are paid for the volume of rehabilitation activity that they carry out, rather than for the number of offenders that are supervised. The Ministry of Justice originally claimed that it would transfer the commercial risk of future volumes of rehabilitation activity going down, as well as up, to CRCs. They are paid in a complex way, with different payment bands for the provision of different types of rehabilitation service. However, the current volumes of activity that CRCs are paid for are far below the levels expected when the contracts were awarded.

According to National Audit Office figures, in 2015-16, the activities undertaken by CRCs ranged from 8% to 34% less than originally anticipated. In the first quarter of 2017-18, volumes of activity ranged from 16% to 48% less than anticipated. At the same time, the number of offenders supervised by CRCs increased by 20%. In effect, CRCs have to look after more offenders but do less work.

Moreover, as has become common across many private sector initiatives that have been put out to tender, CRCs underestimated their fixed costs when bidding for contracts. However, the MOJ agreed that the taxpayer, not the private companies, should shoulder that cost as well. So far, this is predicted to have cost the taxpayer an additional £342 million through a bailout of companies that was followed by adjustments made to the payment mechanism last year. It is not as if the MOJ is beyond rectifying the situation, as it has many tools at its disposal. It is entitled to fine the CRCs for poor performance, but it has either waived or allowed CRCs to reinvest 71% of the total fines due to the taxpayer.

One option that the MOJ considered in respect of poor performance by CRCs was to terminate some, or all, of their contracts. However, it decided instead to let the taxpayer take the strain of the failing contracts by amending the contract payment mechanisms to give the CRCs more money. It is clear that the privatisation of probation services has failed, and the overarching point, which repeats itself time and again, is that this is yet another example of Government-led privatisation that has gone wrong. The original arrangement and subsequent contracts were not fit for purpose in the first place, and what we are left with is a system driven by the ideological desire to privatise key elements of our justice system and defend the cause even when it evidently fails.

The idea of a Government bailing out a private sector service when the prison and rehabilitation services are in crisis should concern us all, particularly given that ageing, dilapidated prisons are falling apart—HMP Liverpool has been described as having the worst conditions inspectors have ever seen—services within prisons are grinding to a halt, with mental health assessments taking far too long, prisoners are denied access to education and rehabilitation facilities, and a quarter of prisoners are accommodated in overcrowded conditions. Notwithstanding the cost of CRCs on the public purse, how many more reasons do the Government need before they take the prisons crisis seriously, take control of the rehabilitation of offenders and make our justice system fit for purpose? Rehabilitation in the community, if executed correctly, can be a key factor in reducing reoffending, but how can services that continue to be rated as poor by Her Majesty’s inspectorate of probation continue to qualify for these massive payments from central Government while not even doing the job they are paid to do? It is time, once and for all, to bring the failed schemes back under public control, so that we can get to the root causes of reoffending and provide rehabilitation services that are fit for purpose.

--- Later in debate ---

[Ellie Reeves]

I again put on the record my thanks for being able to have this important debate. As my hon. Friend the Member for Darlington (Jenny Chapman) said, this issue does not often get a lot of attention either inside or outside the House, so it is important that so many hon. Members have been in the Chamber to talk about it. We have had a good discussion about the precarious position in which our probation services find themselves.

As I said, the Justice Committee, of which I am a member, is considering all the issues. I look forward to speaking in Committee after this debate about what has been discussed and how we can take it forward.

I am grateful to hon. Members who have contributed to the debate. A number of my hon. Friends raised the individual cases of their constituents, and I am aware of the tragic case of Conner Marshall, which could have been avoided had the probation service acted on missed appointments. Those were missed opportunities, as the hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts) rightly pointed out. That underscores why action on probation services is needed so urgently—so that nothing like that happens again.

We have talked at length about staff, and I am glad that the Minister put on the record the tremendous work of probation staff, often in challenging circumstances under CRCs. We have heard from my hon. Friend the Member for Plymouth, Sutton and Devonport (Luke Pollard) experiences of probation workers in his constituency, and of those Unison members. Probation staff do a tremendous job. They are not in the profession for the money, but because they care. They need proper resources, and they need to be valued. They need to be able to help the people that they went into the profession to help, and not just simply tick boxes to secure a profit for the CRC they work for. We will take that incredibly important point away from the debate.

It often feels like the voluntary sector is doing great work despite CRCs. In London, we have Clinks and a great charity called Switchback that does a huge amount of work with offenders, runs a café in east London and works with prisoners at the end of their sentences. More should be done to support them and to support innovation. CRCs have not been innovative. They have not done the work they ought to have been doing because they are ticking boxes. They are not there to be innovative, but to generate a profit, because they are private companies. That is where this has gone so incredibly wrong.

I am grateful for the Minister’s points about MTC Novo, which is clearly failing at probation in London. On his comments about its latest inspection, I hope we will see an improvement. I am grateful that he has been willing to be accountable for what is in that report, which I will want to follow up.

It has become evident throughout the debate that CRCs in their current form are not fit for purpose. They have been part of an ideological move away from public services, which have been handed to the private sector. When they go wrong, rather than saying, “This has gone wrong. They need to come back into public ownership”, they have been bailed out by the Government. It is not acceptable and it is ideologically driven. The CRCs need to go back into public control, so that we are left with a rehabilitation system that is fit for purpose, and that can reduce reoffending and keep the public safe and reassured. That is the main thing that we will take away from today.

Question put and agreed to.

Resolved,

That this House has considered private probation services.