Rachel Maclean (Redditch) (Con)
The Secretary of State for Work and Pensions (Ms Esther McVey)
Will you indulge me for a moment, Mr Speaker, to allow me to congratulate my fellow Minister, the Under-Secretary of State for Work and Pensions, my hon. Friend the hon. Member for North Swindon (Justin Tomlinson), on his wedding at the weekend? Some eyes may have been observing events in Windsor; others of us were viewing events in Swindon.
Let me turn now to the question of my hon. Friend the Member for Redditch (Rachel Maclean). Disabled people are more likely than others to be self-employed. Access to Work now has specialist self-employment teams to help disabled entrepreneurs, and the new enterprise allowance schemes help anyone who is claiming eligible benefits to move into self-employment.
Rachel Maclean
I thank the Secretary of State for that answer and join her in congratulating my hon. Friend on his recent wedding.
Disabled people can benefit from self-employment because it provides much-needed flexibility in the workplace. To that end, there is a group in my constituency called Disability Support Project. Will the Secretary of State congratulate it on its recent launch and look at what more can be done to enable other such organisations to offer employment advice?
Ms McVey
I will, indeed, congratulate and thank the Disability Support Group in Redditch for its excellent work and for what it does. I also congratulate and thank my hon. Friend for all that she does in assisting disabled people into work and for so passionately pursuing this cause. There is more that we can do. I know that she visited her jobcentre to see how we are working with charities and organisations. I can also assure her that we have never spent more supporting people with disabilities and health conditions—it is now £54 billion a year, up £9 billion since 2010.
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
Is the Secretary of State aware of the neuro-diverse person who wants to become an entrepreneur and of the people with autism and the people on the autistic spectrum who want to get apprenticeships? Is it not a fact that the inability to get basic GCSE maths and English is a barrier to anyone getting an apprenticeship that will lead to entrepreneurship? What can she do to open up that pathway?
Ms McVey
The hon. Gentleman raises a good point: how do we support disabled people. As I have said, we are supporting more through Access to Work and through other support groups. We have also given easements to make it easier for disabled people, because it really is important that they do internships, apprenticeships, and work experience.
Alex Burghart (Brentwood and Ongar) (Con)
One of the very best ways of helping disabled entrepreneurs, and indeed all disabled people who are looking for work, is to get them access to the best assistive technology that can help them when they are in the workplace and also give them confidence while they are looking for that work. What steps is the Secretary of State taking to ensure that disabled people have those opportunities?
Dr Paul Williams (Stockton South) (Lab)
The disability employment gap in my constituency is, at 37%, higher than the national average. What message does the Secretary of State have for disabled people in my constituency who want to work and who are not getting the support that they need?
Ms McVey
The hon. Gentleman is correct: there is a big disability gap in employment rates. That has come down, but we need it to come down even further. We have pledged to get 1 million more disabled people into work by 2027. Between 2013 and 2017, there were 600,000 more disabled people in work, but there is always more that we can do.
Mr Alistair Carmichael (Orkney and Shetland) (LD)
The Secretary of State for Work and Pensions (Ms Esther McVey)
We are working closely with Her Majesty’s Revenue and Customs and stakeholders to ensure that our testing covers the full range of tax credit claimants. With parliamentary approval, our managed migration regulations will allow for transitional protection. This will make sure that nobody loses out financially when they are moved to universal credit.
Several hon. Members rose—
Mr Carmichael
Yes, but for how long? One of the fundamental principles of universal credit was to design a welfare system where people would always choose to be in work. The money that the Chancellor took out in 2015 fundamentally undermined that principle, so will the Secretary of State speak to the current Chancellor about restoring work allowances to the levels originally planned?
Stephen Crabb (Preseli Pembrokeshire) (Con)
Will my right hon. Friend take the time to listen to the voices of those on the frontline—the work coaches in the jobcentres, who have experience of how this policy functions in practice, who know what works and what does not work, and whose views about universal credit are overwhelmingly more positive than those of the Opposition critics?
Ms McVey
My right hon. Friend is correct to point out these facts. When we visit jobcentres, work coaches say that this is the best system that they have ever had to help people into work. We know the validity in that statement because 1,000 more people have been getting into work each and every day since 2010. We have to ensure that the system works for claimants and taxpayers.
Frank Field (Birkenhead) (Ind)
May I raise the question about which I wrote to the Secretary of State, regarding how universal credit is being rolled out in Birkenhead? It is not going as well there as we are told it is in the House of Commons, and some women have taken to the red light district for the first time. Will the Secretary of State come to Birkenhead to meet women’s organisations and the police, who are worried about the security of women being pushed into this position?
Ms McVey
The right hon. Gentleman knows that my door is always open to him. I did receive a letter on Friday, but really we need to work with those ladies and see what help we can give them—from work coaches right the way through to various charities and organisations. In the meantime, perhaps he and the work coaches could tell these ladies that there are currently a record 830,000 job vacancies, and that perhaps there are other jobs on offer.
Heidi Allen (South Cambridgeshire) (Con)
Just to draw on a point that we have already heard in the Chamber this afternoon, is the Secretary of State aware how much support she has on the Conservative Benches for our desire to see extra funding in the Budget to restore the work allowances to where they should be?
Ms McVey
I thank my hon. Friend. I know that all Members of the House want to ensure that universal credit works for all claimants. It is helping people into work and is built on sound principles, unlike the legacy system, which trapped people and locked them into unemployment. Now we are helping people into work, but we have to listen, learn and adjust where we can, as we have done in the past, with a £1.5 billion package this year. We are still adjusting, learning and helping the most vulnerable.
Ruth George (High Peak) (Lab)
Ms McVey
When we came into office in 2010—and then in 2015 and 2017—it was really important for the country to take difficult decisions about what we needed to do to ensure that the benefit was sustainable and affordable, because it had grown by over 60% under Labour. We still have to ensure that the benefit is sustainable and affordable, and that we support the most vulnerable, and that is what this Conservative Government are doing.
Nigel Mills (Amber Valley) (Con)
When we move people over, it is vital that we get them on to the right amount of benefit at the right time, so will the Secretary of State agree to put in place some targets for accurate performance, and to delay the roll-out if those targets are not achieved?
Ms McVey
Under the process of managed migration, the roll-out will be slow and measured. It will start not in January 2019, but later in the year. For a further year we will be learning as we go with a small amount of people—maybe 10,000—to ensure that the system is right. The roll-out will then increase from 2020 onwards. It will be slow and measured, and we will adapt and change as we go.
Neil Gray (Airdrie and Shotts) (SNP)
Has the Secretary of State requested any additional funds for universal credit from the Chancellor ahead of the Budget?
Neil Gray
That was barely a response, let alone an answer. Given the week that universal credit has had, where the Secretary of State has suggested that it will cost claimants up to £2,400 a year; two former Prime Ministers have called for her to rethink; dozens of Back-Bench MPs led by the former Secretary of State, the right hon. Member for Chingford and Woodford Green (Mr Duncan Smith), have called for a rethink; and expert groups like the Joseph Rowntree Foundation, the Resolution Foundation and the Child Poverty Action Group have all called for a rethink, does she not see that universal credit in its current form is causing misery? The roll-out must stop and the cuts must be reversed at the Budget.
Ms McVey
We all agree on the founding, sound principles of this benefit, which is helping more people into work. It will give extra money to the most vulnerable. One million more disabled people will get, on average, £110 more a week. We will also be helping the 700,000 people who were getting the incorrect amount of benefit, plus we will be bringing in transitional protection to help them. If the hon. Gentleman wanted to reverse this, what would he do for those most vulnerable people?
Sir Nicholas Soames (Mid Sussex) (Con)
Will my right hon. Friend commend the work of the jobcentre in Haywards Heath, which I visited last Friday, for the extraordinarily effective, humane and decent way in which it is rolling out universal credit?
Ms McVey
I thank my right hon. Friend for that. Of course I want to thank not just Haywards Heath jobcentre but all the jobcentres across the country, who are saying that this is now enabling them, for the very first time, to help people into work. We know that that is the case, as we have record numbers of people getting into work— 3.4 million more than in 2010.
Margaret Greenwood (Wirral West) (Lab)
At the Conservative party conference, the Prime Minister announced that austerity is over. Only a few days later, it was reported in The Times that families who are required to transfer to universal credit could lose up to £2,400 a year. The Prime Minister then denied it, but the following day the Secretary of State admitted that in fact some people would lose out. The confusion of the past week will have caused real concerns for families who will be affected. They have a right to know. If austerity is really over, will the Government ensure that nobody loses out?
Ms McVey
As I have said both on TV and in the House, we took difficult decisions, as did the country, in 2015-16 because we had a benefits system that had grown by over 60% under Labour. Now it is on a sustainable footing and is fair to the taxpayer and fair to the claimant. One million more disabled people will be getting, on average, £110 more a month, and 700,000 who were not getting their full amount of benefit now will. There will be transitional protection. We are listening, we are learning, and we will adapt and change as need be.
Margaret Greenwood
Almost 30% of universal credit claims started are not completed, according to the latest figures, and the Government do not appear to have any idea about or interest in what happens to those people. In the next phase of the roll-out, the Government are placing all the responsibility for making a universal credit claim on to the 2.87 million people required to move across, and they admit that they do not know how many will need additional support. There is a real danger that hundreds of thousands of people could fall out of the social security system altogether and be pushed into poverty—even left at risk of destitution. So will the Government step back from the brink and stop the roll-out of universal credit?
Ms McVey
I have to say that that is some of the worst scaremongering I have ever heard. At the last Budget and this year, we put in another £1.5 billion when we knew that we had to provide more support. I announced in June that we would be helping another half a million disabled people on the severe disability premium. I have agreed to do more for kinship carers and the most vulnerable 18 to 21-year-olds. We are also agreeing to work with Citizens Advice—an independent and trusted organisation—to help people to get on to the benefit. When we hear what we need to do, we will do it.
Robert Courts (Witney) (Con)
Trudy Harrison (Copeland) (Con)
The Secretary of State for Work and Pensions (Ms Esther McVey)
Employment in the UK has increased by more than 3.3 million since 2010 and is currently at a near record high of 32.4 million. Since 2010, the UK has created more jobs than France, Spain, Ireland, the Netherlands, Austria, Sweden and Norway combined.
Robert Courts
I thank the Secretary of State for that answer. What support are the Government offering to build on that employment success?
Ms McVey
That is precisely why we brought in universal credit, which made sure that people could work each hour they wanted to work and were not trapped by barriers to work, such as the 16-hour rule. We know that there are now 113 million more hours that people can work and that there will be more than 200,000 more jobs that people can go for.
Trudy Harrison
Nationally, youth unemployment is down. How will the Government ensure that it continues to fall, to give young people the best start to their working lives?
Ms McVey
I thank my hon. Friend for her question. I know how important youth employment is to her, and I know that she has visited her local jobcentre. She is quite right in saying that since 2010, youth unemployment is down by 48%. I remember when we brought in work experience, the Opposition were saying how awful it was and that it was slave labour and people did not want to do it—how wrong they were and have proved to be. We will be bringing more schemes forward, to make sure that we have record low unemployment for young people. That is what this party is about—youth and the future.
Ms Karen Buck (Westminster North) (Lab)
The growth in jobs is very welcome news, but at the same time, we have to tackle the rise in in-work poverty. For the first time in modern history, there are more families in poverty in work than out of work. The benefit freeze is a key part of that, and there is another £1.9 billion to come off working-age benefits in April. Will the Secretary of State be making representations to the Treasury to ensure that that does not go ahead?
Chris Stephens (Glasgow South West) (SNP)
The Secretary of State will be aware that the TUC announced earlier this year that just under 4 million people were in insecure work. Can she tell us how many of the jobs that have been created are in agency work, zero-hours contracts or low-paid self-employment?
Ruth Cadbury (Brentford and Isleworth) (Lab)
The Minister for Disabled People, Health and Work (Sarah Newton)
Let us not forget that behind every statistic is a person. That is why I focus on the claimant satisfaction survey data. Overall the customer satisfaction rate is positive, with 87% for PIP and over 90% for the work capability assessment in ESA. We continually look at how we can improve accuracy in our processes.
Ruth Cadbury
Many of my disabled constituents are contacting me about their assessments for PIP and ESA. Of just two who contacted me about their health assessments, I identified 14 failures of due process—for just two cases. Given that 65% of appeals completed on the initial fit-for-work decisions were overturned and that the courts have consistently struck out DWP assessment decisions, does the Secretary of State not think that the money spent on defending those cases would have been better spent supporting disabled people?
Sarah Newton
I thank the hon. Lady for bringing up those specific cases, and of course I would be happy to meet her to look into them. Actually, of all the millions of people who have been assessed for PIP, only 9% have appealed those decisions, and 4% have been upheld, mostly because at that point, more medical information is brought forward. One person’s mistake is one too many, and that is why we are constantly improving the process.
Mary Robinson (Cheadle) (Con)
Given that people with autism can become particularly distressed and anxious at the prospect of a face-to-face assessment, what more can be done to support those people and perhaps conduct the assessment without the face-to-face interview?
Sarah Newton
I thank my hon. Friend for her question. It is important that we put people at the centre of our processes and make sure that they work for everyone, irrespective of their impairments, and that is what we seek to do.
Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)
My constituent David Gamble has a number of degenerative conditions that are so serious that he was granted higher-rate mobility DLA indefinitely, but when it came to his PIP assessment he was given a score of zero. It has been 18 months since then, his appeal has been adjourned three times through no fault of his own and still the DWP has not even applied for his full medical records. Will the Minister intervene to ensure that he can have a proper decision?
Sarah Newton
Something clearly has gone terribly wrong in that situation and of course I would be delighted to meet the hon. Lady.
Marsha De Cordova (Battersea) (Lab)
NHS survey data show that, under the Conservatives, 43% of those in receipt of ESA have attempted suicide. Leading academics, disabled people’s organisations and clinicians have raised concerns that the work capability assessment is causing a mental health crisis. The WCA is not fit for the 21st century—it is outdated and is causing preventable harm—so I ask the Minister: is it not time that the Government scrap the WCA that is pushing so many people to suicide?
Sarah Newton
First, I remind the hon. Lady that it was the Labour party in 2008 that introduced the work capability assessment. Ever since then, we have been using independent advice to reform the work capability assessment.
Mr Speaker
Order. I apologise for barking at the hon. Member for Battersea (Marsha De Cordova). She has asked her question with considerable force and eloquence, but the Minister is entitled to reply. It is not for the Chair to take sides in these matters, but I do want to say that the Minister is unfailingly courteous and she must be treated with courtesy, whatever people think of the answer. The Minister must be heard.
Sarah Newton
Especially on such an incredibly sensitive subject as people wanting to take their own life. Our chief medical officer, Professor Gina Radford, has made it absolutely clear that the NHS data shows there is no causal link between applying for benefits and people tragically taking their lives.
Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)
The Minister for Employment (Alok Sharma)
Claimants are entitled to benefits from the moment of making a successful claim. The first payment under universal credit is made five weeks after the claim date, and all subsequent payments are made monthly thereafter. The five-week wait has no savings implications for the Exchequer.
Luke Pollard
Unlike the Health Secretary, a lot of people I represent get in touch with me about universal credit, and in particular about how they struggle to repay the loan given to them during the five-week wait period. If entitlement has already been established, will the Minister consider, instead of issuing loans, giving them the money they deserve and are entitled to in the first place?
Alok Sharma
We talk about giving support to people and, as the Secretary of State pointed out, £1.5 billion of support was put in, so those who are on housing benefit get two weeks’ housing benefit run-on in actual cash and of course people can take advances. I would say this to the hon. Gentleman and all his colleagues sitting there now who are talking about supporting the vulnerable: if that is what they want to do, why did they not support us when we voted for the £1.5 billion?
Greg Hands (Chelsea and Fulham) (Con)
One certain way in which universal credit is helping the public purse is by getting more people into work. Can my hon. Friend confirm that universal credit is forecast to help an additional 200,000 people find work in the coming months?
Alok Sharma
I can—200,000 people over the roll-out period. Not only that, but people will be taking on extra work as well.
Catherine West (Hornsey and Wood Green) (Lab)
Astronomical numbers of people are applying to food banks during that critical five-week period. Has the Minister—yes or no—read the Trussell Trust report on universal credit roll-out?
Alok Sharma
I met the Trussell Trust last week and had a very constructive discussion. [Interruption.] I had a very constructive discussion. What I would say to the hon. Lady is that, when it comes to food banks, as she knows, the all-party group on hunger put out a very good report and said there were complex reasons for the use of food banks. You cannot put it down to any one reason.
Mr Philip Hollobone (Kettering) (Con)
Five hundred and thirty households presently receive universal credit in the Kettering constituency, but with the roll-out this Wednesday up to 7,700 households could be affected. Can the Minister assure me and my constituents that Kettering jobcentre is ready for the change?
Alok Sharma
I go up and down the country to jobcentres, and they invariably tell me they are having a good experience. They are learning from the past. What I think my hon. Friend will find is that his jobcentre is absolutely prepared for this further roll-out.
Liz Twist (Blaydon) (Lab)
The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)
The online system has been designed with accessibility in mind, and it has been audited and approved by the Royal National Institute of Blind People for all accessibility needs. Face-to-face and telephone support are in place for those vulnerable claimants who cannot self-serve online.
Liz Twist
Many disabled people are already having problems claiming universal credit. With the regulations for managed migration expected shortly, the Disability Benefits Consortium fears that many people with disabilities will fall through the cracks and lose transitional protection. What steps is the Minister taking to ensure that people with physical or mental disabilities are given the specialist help they need to migrate, and should we not delay migration until that is sorted?
Guy Opperman
There is extensive engagement with the various organisations, and the Department is working hard to ensure there is full support for the disabled claimant, whether that is through the severe disability premium or our recently announced universal support fund.
Stephen Kerr (Stirling) (Con)
The Minister for Employment (Alok Sharma)
We have over 1,600 work coaches across 84 jobcentres in Scotland, who are trained to offer support and advice to claimants. As the Secretary of State pointed out earlier, we have a brand-new partnership with Citizens Advice Scotland.
Stephen Kerr
Citizens Advice’s Stirling district is a superb independent source of advice, having published a plain English guide to universal credit. Does the Minister agree that independent advice on benefits is essential and that ensuring it is provided without political point scoring from the Scottish Government and local government will serve claimants better?
Alok Sharma
I congratulate my hon. Friend, who is a great champion of his constituents, and he works very well with the local jobcentre. He is absolutely right: what Citizens Advice is providing is a huge amount of experience; it is an independent organisation with a national footprint. I absolutely agree that the last thing the vulnerable need is political point scoring. What they want is support, and that is what they are getting under universal credit.
Mr Paul Sweeney (Glasgow North East) (Lab/Co-op)
What assessment has the Minister made of the closure of six jobcentres across Glasgow—
Mr Sweeney
Seven jobcentres in Glasgow. What assessment has he made of those closures as universal credit rolls out this month?
Alok Sharma
As the hon. Gentleman will know, we have reconfigured our estate. One of the reasons that has happened is that we had over-provision of space— 20% more than we needed—and we now have jobcentres that are actually delivering. At the end of the day, one of the reasons for this is that we have much lower levels of unemployment than in 2010. I hope that is something the hon. Gentleman welcomes.
Alison Thewliss (Glasgow Central) (SNP)
I recently held a drop-in surgery at the Kinning Park Complex in my constituency, because roll-out in Glasgow has already begun. The big issue that people raised was that they did not even know that this was going to affect them. There is a huge gap in awareness. What is the Minister going to do about this so that people actually get the benefits they are entitled to and do not lose out on transitional payments?
Alok Sharma
As I said, when I go to jobcentres, it is very clear to me that they are working extremely hard in engaging and in letting claimants know things ahead of time, and indeed in engaging with local Members of Parliament. I hope the hon. Lady has had a chance to visit her jobcentre. If she wants to have a detailed discussion about this, I am very happy to have a discussion with her after these oral questions.
Alex Cunningham (Stockton North) (Lab)
Mr Speaker
I congratulate the hon. Gentleman on his wedding, and we look forward to his reply.
Justin Tomlinson
A truly memorable day.
Alongside the personalised and tailored support of universal credit, claimants have access to extended childcare support, increases in the personal tax allowance and the introduction of the national living wage. For those transferring from legacy benefits, there is an additional two weeks of housing benefit support.
Alex Cunningham
It is all too easy for people to fall into debt with universal credit failures. My constituent Kayley Aithwaite gets paid on the last working day of each month, meaning she had two lots of wages considered in the last calculation period, and was denied her usual universal credit. How common is this particular problem and what is the Minister going to do about it?
Justin Tomlinson
I thank the hon. Gentleman. Universal credit is designed to mirror the world of work, with monthly payments. It is far better that, through the personalised and tailored support of their individual work coach, claimants are able to be given the support to navigate that now and not on the first day of entering work.
Justin Tomlinson
It is a great honour to share my honeymoon with so many wonderful colleagues.
Eleanor Smith (Wolverhampton South West) (Lab)
Justin Tomlinson
This is an issue that has been raised and that is why additional judges have been recruited to the tribunal system to make sure that goes as quickly as possible. Through their individual work coach, people will get the tailored support as quickly as they can.
Mr Speaker
I thought we might hear from the voice of South Suffolk, but the hon. Gentleman seems disinclined to participate in this exchange even though he has a comparable question. He is not obliged. If he is more interested in his phone, so be it. [Interruption.] Get in there, man. I call James Cartlidge.
James Cartlidge (South Suffolk) (Con)
Justin Tomlinson
I thank my hon. Friend for his comments. That is absolutely key: with universal credit you will always be better off in work. UC removes the effective 90% tax rate of the legacy benefit and the cliff-edges of 16, 24 and 30 hours. It is a far simpler benefit, which is stopping the £2.4 billion-worth of benefits that were missed in claiming.
Mike Amesbury (Weaver Vale) (Lab)
From July 2019, up to 2.8 million people will be required to move from their existing benefits by making a new claim for universal credit. Many are set to lose up to £200 a month. The Trussell Trust, the Child Poverty Action Group, Disability Rights UK, two former Prime Ministers, the future Chancellor and even the Archbishop of Canterbury have all called for a halt to this process, which is driving the growth of poverty in our communities. At what stage will the Secretary of State take her fingers out of her ears, listen to reality and halt this chaos?
Justin Tomlinson
This is the reality, as it stands today: complex legacy benefits of £2.4 billion-worth of benefits not being claimed—an average of £285 a month. As the roll-out of universal credit continues, it will remain a test-and-learn process. Where we can see improvements—we have made many already—we will continue to make them.
Stephen McPartland (Stevenage) (Con)
The Secretary of State for Work and Pensions (Ms Esther McVey)
We are constantly improving universal credit in response to feedback and have implemented a wide-ranging package of improvements worth £1.5 billion, some of which my hon. Friend campaigned for. We will continue to do that when we need to.
Stephen McPartland
Universal credit can work only if it is fully funded. Does my right hon. Friend agree that the effective tax rate of 63p in the pound for people moving into work is set at a punitive level and that the Treasury should loosen the purse strings for her?
Ms McVey
My hon. Friend is always a good campaigner on these causes and we of course meet to discuss these matters. At the moment, the taper rate is 63%, as he says, but it was over 90% under the legacy system. We have dropped it considerably and when we can, when the economy is on a sounder footing, we will seek to drop it even further to make sure that work pays, which is something this Conservative Government do.
Alison McGovern (Wirral South) (Lab)
The Secretary of State says that universal credit is constantly improving, but unfortunately the number of people coming to my office for food bank vouchers is constantly increasing. More and more of the people coming are families with kids. The public are angry. Has the Secretary of State made an assessment of how many families using food bank vouchers are lone parents with children?
Ms McVey
The hon. Lady raises a good question about what happened under the previous Labour Government—[Interruption.] Can I just put this on the record, Mr Speaker? Under the previous Labour Government—[Interruption.] Labour Members are huffing, puffing, tutting and shaking their heads, but the number of households where no one had ever worked doubled under Labour. That is where the problem started and we are changing that. It has been a quick change—to 3.4 million people in work—and we have to help those people now to get a higher income, which we are doing.
Mr Speaker
I call Richard Graham. Why is he surprised by that? He is standing. Get in there.
Richard Graham (Gloucester) (Con)
Ms McVey
Of course we have to understand the underlying issues and problems and support people as best we can. I met the Trussell Trust and various poverty groups and we have talked about how we best support families. We believe that the best way to support a family out of poverty is by getting them into work—hence why I pointed out that, under the previous Labour Government, the number of households where no one ever worked doubled. This Government believe that work is the best way out of poverty and we will continue helping people.
Debbie Abrahams (Oldham East and Saddleworth) (Lab)
One million householders, 750,000 disabled people, 600,000 working single parents, 600,000 self-employed people and 300,000 families with three or more children will all be worse off under universal credit. Will the Secretary of State finally admit that, for these people, austerity is far from over?
Ms McVey
I have said that, under this benefit, what we sought to do was get more people into work, because that is the best way out of poverty, and that is what we have done. We are helping 1,000 people each and every day into work. We also said that we would make this benefit fair to the taxpayers, who are paying for it, and fair to those claimants, and that is what we are doing.
Lee Rowley (North East Derbyshire) (Con)
The Parliamentary Under-Secretary of State for Work and Pensions (Justin Tomlinson)
This Government are delivering the biggest changes to the welfare system since its inception, creating flexibility to adapt to changing working patterns and offering personalised support.
Lee Rowley
I thank the Minister for his response. An increasing number of people in my constituency are self-employed and setting up their own businesses. Will the Minister outline what universal credit is doing to support people who are setting up their own businesses?
Justin Tomlinson
I thank my hon. Friend, who is a real champion of the self-employed community, and I am proudly a former business owner myself. Universal credit is far more flexible to adapt to changing circumstances, particularly for those who are starting up on their career of owning their business.
Steve McCabe (Birmingham, Selly Oak) (Lab)
Justin Tomlinson
Yes, absolutely. This is an important point, and that is why we have improved the training for all work coaches to identify as quickly as possible those who need that additional support. It is a really important and key part of UC.
Andrew Jones (Harrogate and Knaresborough) (Con)
The Minister for Disabled People, Health and Work (Sarah Newton)
We support disabled people into work through a wide range of initiatives, including our £500 million Work and Health programme and the £330 million personal support package, and Access to Work supported over 25,000 people last year. I had meetings all through the summer with our Work and Health Programme providers, including Reed in Partnership in Yorkshire, and I saw fantastic work being done to take a health and wellbeing approach to enable people back into work.
Andrew Jones
Many employers have signed up to the Disability Confident scheme—as I have—to ensure that disabled people have the opportunity to achieve their ambitions and employers can choose from a wider selection of talent available. I am now encouraging businesses in Harrogate and Knaresborough to sign up. Will the Minister join me in encouraging employers right across our country to sign up to this impressive initiative?
Sarah Newton
I thank my hon. Friend for his question and for his fantastic leadership in his constituency. I am delighted to say that hundreds of employers are signing up every week to the Disability Confident scheme, with more than 8,300 having signed up in total, including well over 800 in his own constituency. Many Members have taken up the community challenge, and it is not too late for those who have not participated. I encourage everyone to help people to sign up to be disability confident.
Lucy Powell
Thank you very much, Mr Speaker, but I am afraid that I am not smiling about the Minister’s replies, because they are so far detached from the reality that many of us are seeing on the frontline. She will know that those facing a change in circumstance are not protected by the transitional protections. This is affecting dozens of disabled constituents of mine, such as Dean, who has lost £300 a month, having lost his disabled premium going from tax credits to universal credit, and Erica, who has now built up £5,000 of overpayments due to the same thing. The principles of universal credit are now in tatters—it is not helping people to work. When will the Government review this?
Sarah Newton
I am afraid that the hon. Lady is completely wrong. We have put in place transitional protection for people on the severe disability premium; under our new regulations, that protection is now there.
David Warburton (Somerton and Frome) (Con)
Mike Wood (Dudley South) (Con)
The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)
An industry-led pensions dashboard, facilitated by Government, will harness industry innovation and provide an opportunity for the pensions industry to step up and take a leading role. We have engaged with the industry and are assessing the feasibility of a dashboard. We will report shortly on the findings.
David Warburton
Ten thousand of my constituents have been automatically enrolled on the pensions dashboard under this Government. Will the Minister confirm that this is one of many options for my constituents for receiving pensions information, and that the dashboard will remain firmly in place?
Guy Opperman
My hon. Friend is right. The dashboard will transform how his constituents keep track of their growing number of pensions. This, along with the Single Financial Guidance Body, which the Government set up last year, will provide free and impartial information and guidance to help people plan for their retirement.
Nigel Huddleston
Will the Minister explain how the development of this online system will benefit my constituents?
Guy Opperman
Some 15,000 people in my hon. Friend’s constituency have been auto-enrolled thanks to the 2,010 employers supporting the system. As auto-enrolment expands, there will be a number of different pension pots, and having an online tool that everybody can access will be a massive addition for his constituents.
Mr Speaker
If the Minister could be good enough to face the House, it would be hugely appreciated.
Guy Opperman
It was a pleasure to visit my hon. Friend’s constituency in the summer and to meet many of the 10,000-plus people there who are auto-enrolled. We are in daily contact with industry figures as we prepare our feasibility report and plan for the roll-out of the dashboard.
Mr Jim Cunningham (Coventry South) (Lab)
Will the Minister give us a date for full implementation of the dashboard?
Guy Opperman
I am sure that the hon. Gentleman will be pleased to await the feasibility report that is pending.
Nick Smith (Blaenau Gwent) (Lab)
Will the pensions dashboard be clear about all the costs related to its production?
Guy Opperman
That is part of the feasibility study and something that we are looking at on an ongoing basis, but I am happy to discuss this in more detail with the hon. Gentleman.
Jack Dromey (Birmingham, Erdington) (Lab)
It is nothing short of astonishing that the Secretary of State sought to pull the plug on the groundbreaking cross-party pensions dashboard, designed to help workers know what they have saved and what they have to save to ensure a decent income in retirement, and all easily accessible in one place. Will the Minister now ensure an obligation on providers to supply the necessary information to the pensions dashboard, and can we be confident that the Secretary of State, whose capacity to get it wrong knows no bounds, will not make a renewed attempt to thwart the pensions dashboard?
Guy Opperman
Is it not rich that the Labour party, which never came up with or implemented a pensions dashboard, is criticising us, who are doing exactly that? Let me make it acutely clear that this is a party that works together, and that my right hon. Friend the Secretary of State and I, and all the members of the DWP team, are completely behind the pensions dashboard.
Andrew Bowie (West Aberdeenshire and Kincardine) (Con)
The Minister for Employment (Alok Sharma)
Universal credit is now live in 495 jobcentres available to new claimants, and within weeks it will be available throughout the country.
Andrew Bowie
In two weeks’ time the remaining two thirds of my constituency will receive universal credit, following the one third who have already received it. Notwithstanding the frankly irresponsible narrative that we hear from Opposition Members, the work and pensions staff in the Aberdeen jobcentre cannot wait to get started and to deliver this transformative benefit. Can the Minister confirm that it is on track to be rolled out in two weeks’ time?
Alok Sharma
I thank my hon. Friend for engaging with his local jobcentre, which is not always done by Opposition Members. I hear the same thing from other jobcentre staff across the country. Universal credit is working, and I say to the Opposition, “Stop scaremongering: you are not helping the people who need the support.”
Caroline Flint (Don Valley) (Lab)
As universal credit is rolled out, the Government have announced that they are removing local authority funding support for claimants and placing the role solely with Citizens Advice. When will Doncaster Citizens Advice, and all the other branches in the country, know for sure exactly what resources they will receive, and when?
Alok Sharma
Let me be clear. Local authorities will continue to provide that support until the end of the current financial year, and will work in parallel with Citizens Advice, which is starting its work in the autumn.
The Secretary of State for Work and Pensions (Ms Esther McVey)
When we were here last, Members in all parts of the House were asking whether Citizens Advice could be more involved with universal credit. I am pleased to inform them today that I went away and secured that agreement, and that Citizens Advice, as an independent organisation, will be giving universal support and assisting claimants with universal credit.
Kevin Hollinrake
Universal credit was introduced in my constituency early in 2017. Although there were initial problems following the changes made by the Government at the end of last year, Citizens Advice has reported a significant reduction in the number of difficulties. Jobcentre Plus staff also report a very positive effect in getting people back to work. Does that endorse the principle that we should seek not to reject universal credit, but to reform it?
Ms McVey
My hon. Friend is right. Work coaches are saying that this is the best system that they have ever had. It has been helping 1,000 people into work each and every day since 2010. My hon. Friend is also right to say that when we see that things need to be improved and adapted, we listen, we learn, and we change it as it goes.
Marsha De Cordova (Battersea) (Lab)
Under universal credit, severely disabled people will lose out on disability premiums worth up to £80 per week, and will also lose the £30 “limited capability for work” component. Last week, the Secretary of State said that 1 million disabled people would be “significantly better off” under universal credit. Let me ask her now whether that is really the case. Is not the reality that after the premiums and the £30 component have been scrapped, disabled people will in fact be worse off overall under universal credit?
The Minister for Employment (Alok Sharma)
The Secretary of State has made it absolutely clear that we will be protecting people who currently receive the severe disability premium. [Interruption.] Will the hon. Lady just listen? A million disabled households who are now receiving legacy benefits will gain, on average, £110 a month on universal credit. Those are the facts, and the hon. Lady should try to accept them.
Eddie Hughes (Walsall North) (Con)
The Parliamentary Under-Secretary of State for Work and Pensions (Justin Tomlinson)
I know that my hon. Friend has great experience in this area, and I should be very excited to hear about those proposals in more detail. I am keen to meet him to establish whether any lessons can be learned.
Stephen Lloyd (Eastbourne) (LD)
Alok Sharma
It is absolutely clear that under universal credit work is paying. That is why we have over 3 million more people in jobs than in 2010.
Mike Wood (Dudley South) (Con)
Alok Sharma
Through Citizens Advice, which we are rolling out across the country, it will be possible particularly for the most vulnerable to get support in terms of budgeting help and also digital support.
Chris Williamson (Derby North) (Lab)
Alok Sharma
We have been absolutely clear that there are going to be protections in place for those currently on legacy benefits as we move across to universal credit. I do wish the Opposition would stop scaring people from moving on to universal credit.
Michael Tomlinson (Mid Dorset and North Poole) (Con)
Justin Tomlinson
This is a real priority for our Secretary of State and it will involve building on our work to enable care leavers to make advanced UC claims, access to the youth application support programme, early access to the Work and Health programme and extensions to second chance learning, and we will work with employers to create more opportunities to build on this partnership with Barnardo’s.[Official Report, 18 October 2018, Vol. 647, c. 10MC.]
Lloyd Russell-Moyle (Brighton, Kemptown) (Lab/Co-op)
The Minister for Disabled People, Health and Work (Sarah Newton)
I advise the hon. Gentleman’s constituents to use the telephone service or for one of their friends or family members to call up, because it is absolutely essential that people who have any sort of disability that prevents them from accessing their benefit have those barriers overcome: so pick up the phone and the support will be available.
Andrew Bowie (West Aberdeenshire and Kincardine) (Con)
The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)
Some 10,000 of my hon. Friend’s constituents are benefiting from automatic enrolment, with thanks to the 1,800 employers involved, and nationally workplace pension provision for women and young people has now doubled in the last five years.
Stephen Timms (East Ham) (Lab)
Alok Sharma
I have huge respect for the right hon. Gentleman, as he knows, but that is precisely why we introduced this £1.5 billion of support earlier this year, which means people can get advances up front—up to 100%—and those on housing benefit get a two-week run-on, which is money that does not have to be repaid.
Philip Davies (Shipley) (Con)
I recently hosted a Disability Confident event in Baildon in my constituency. As somebody who employs somebody with multiple disabilities, I know that many workforces are losing out on a huge pool of talent. May I therefore urge the Minister to advertise the benefits of Access to Work more widely so we can get even more disabled people into work?
Sarah Newton
I congratulate my hon. Friend on his personal leadership in his constituency and for employing a disabled person and drawing on all the talents that our nation has to offer. Access to Work is a fantastic scheme helping record numbers of people and we will continue to do everything we can to make sure disabled people can work.
Grahame Morris (Easington) (Lab)
My constituent Paul is agoraphobic and has a personality disorder, heart damage and a history of self-harm. After a tribunal accepted that he could not attend an assessment centre, the centre for health and disability assessment has blocked his employment and support allowance and universal credit by refusing him a home assessment. Will the Minister apply some common sense and overrule the decision?
Sarah Newton
The hon. Gentleman raises a serious point. Home assessments are of course an important part of our processes. I am very disappointed to hear about that case, which I will be happy to look into.
Bill Grant (Ayr, Carrick and Cumnock) (Con)
I commend the staff at Ayr jobcentre, who recently hosted a successful employment fair at which we discussed the value of flexibility in the universal credit system in helping vulnerable claimants back into work. Will my right hon. Friend consider what further support might be useful to jobcentres in hosting future employment fairs across the United Kingdom?
Liam Byrne (Birmingham, Hodge Hill) (Lab)
Birmingham’s food banks have had their busiest year ever—70% of their demand is due to universal credit. Can I give the Secretary of State a choice? Either pause this crazy roll-out or come to Birmingham and help us to raise the tonne and a half of food we need each month to replenish the empty food bank stock.
Alok Sharma
We have had this discussion in a number of questions now. Can I be absolutely clear? The right hon. Gentleman should look at the report produced by the all-party parliamentary group on hunger, which said that the reasons for food bank usage are complex and myriad, and cannot be put down to any single reason.
Paul Masterton (East Renfrewshire) (Con)
I warmly welcome the announcement by the Under-Secretary of State, my hon. Friend the Member for Hexham (Guy Opperman), of a consultation on collective defined contribution schemes. However, I had anticipated that it would come out before my ten-minute rule Bill on Wednesday. Will he give us an update as to when we might see it?
Guy Opperman
I am delighted that my hon. Friend has raised this point. The consultation will be of assistance to Royal Mail and the thousands of posties in his constituency. We will be consulting on the matter very shortly.
Kate Green (Stretford and Urmston) (Lab)
Under managed migration, claimants of legacy benefits will effectively have to apply anew for universal credit, and some vulnerable claimants may not realise and lose transitional protection as a result. Will the Minister look again at how those claimants can ensure that they retain their transitional protection?
Alok Sharma
The Secretary of State, other Ministers and I are having detailed engagement with the various health groups that the hon. Lady is talking about. We are, of course, looking at the recommendations made by the Social Security Advisory Committee.
Kirstene Hair (Angus) (Con)
On Friday, I am hosting Angus’s first Disability Confident event in Forfar. Will my hon. Friend join me in celebrating employers who are taking part to learn how they can benefit from the untapped potential of those living with disabilities in our communities?
Sarah Newton
My hon. Friend is an absolute champion for all her constituents, but particularly those with disabilities and health conditions who want to work. I really welcome her setting up of this jobs fair in her constituency on Friday and encourage as many local people as possible to sign up to Disability Confident.
Chris Elmore (Ogmore) (Lab)
One of the concerns being expressed by constituents about the universal credit roll-out is literacy levels and people’s unwillingness and fear about being able to complete forms. Given that universal credit is to be fully rolled out in my constituency in December, what assurance can the Minister give me that those with poor literacy levels with receive the support they need to get the benefits that they need and deserve?
Alok Sharma
Universal support has been available since 2017, but our partnership with Citizens Advice is clearly a step up. I hope that that will make a positive difference to the hon. Gentleman’s constituents.