Mesothelioma: Compensation

(asked on 24th February 2017) - View Source

Question to the Department for Work and Pensions:

To ask Her Majesty’s Government for each year since the passing of the Mesothelioma Act 2014 (1) how much was raised through the provision in the Act to impose a levy on employers' insurers to provide compensation to sufferers from mesothelioma, (2) how much of that sum was paid out in compensation to sufferers from mesothelioma, and (3) what happened to any difference between the sum raised through the levy and the amount paid out in compensation.


Answered by
Lord Henley Portrait
Lord Henley
This question was answered on 9th March 2017

A full report on the Diffuse Mesothelioma Payment Scheme (DMPS), including details on how the levy is estimated can be found in the Annual Review

https://www.gov.uk/government/publications/diffuse-mesothelioma-payment-scheme-annual-review-2015-to-2016

1) The amount of the levy raised through the provision of Mesothelioma Act 2014 in respect of the DMPS is:

  • 2014/15 = £32m
  • 2015/16 = £23.2m
  • 2016/17 = £40.4m (Eligible insurers notified January 2017)

2) In 2014/15 a total of 24.2m was paid to successful applicants. In 2015/16 a total of £29.7m was paid to successful applicants. 2016/17 is not yet calculated.

3) The difference between the sum raised through the levy and the amount paid out to applicants in compensation is used in one of the following ways:

  • To repay as compensation recoveries (the amount is determined by the Department’s Compensation Recovery Unit);
  • To pay a scheme administrator;
  • Any balance is accounted for as either an under or over levy for successive year’s estimated levy amount.
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