No Recourse to Public Funds

Wednesday 15th May 2024 Westminster Hall

11:00

[Beth Winter (Cynon Valley) (Lab)]

I beg to move,

That this House has considered the matter of no recourse to public funds

Diolch yn fawr, Ms Rees. It really is a pleasure to serve under your chairship for this short debate. I am grateful for the opportunity to raise the no recourse to public funds conditions, which I am aware have been discussed previously in Parliament. For example, my right hon. Friend the Member for East Ham (Sir Stephen Timms), who is the Chair of the Work and Pensions Committee, made a number of requests of the Government a year ago, most of which have not been addressed, hence the fundamental need to continue pressing the Government to recognise and react to the hardships caused by no recourse to public funds. It is inhumane, it is cruel, and it is forcing some of the most vulnerable people into poverty and hardship.

I sought this debate because I was inspired, as we so often are in this place, by a meeting with a local constituent who is in need of support and whom I believe has been failed by the current system. My constituent accompanied her husband to Wales as a student, also bringing their children, several years ago. An unfortunate and unexpected diagnosis of a serious health issue compromised their ability to work and be self-sufficient, so the constituent has no recourse to public funds and has been reliant on a local charity for support with housing and other costs, but that too has now ended due to a lack of funds. We are living in a cost of living crisis, and the family is struggling on a daily basis, unable to pay rent, utilities and bills. We as an office have supported the family as much as possible with food bank vouchers and by co-ordinating with local churches. We should not have to do that. They should not have to come to us for help and support; it should be provided as a basic need and right wherever and however people come to our country.

[Jim Shannon (Strangford) (DUP)]

I congratulate the hon. Member for Cynon Valley (Beth Winter). Does she agree that we must ensure that anyone who has a right to be in this country has access to food and medical care, no matter what form that right to be here takes, and that there is a basic level of moral obligation that anyone in this nation should expect to be fulfilled?

[Beth Winter]

I thank the hon. Member for his intervention and I wholeheartedly agree. It is a moral duty for us as human beings to provide the basics for anybody to survive. I am very aware of the detrimental impact that no recourse to public funds has on the health and wellbeing of far too many people. The exclusion of people with a no recourse to public funds restriction from the benefits system increases their risk of living in destitution and puts significant pressure on local authority services. Millions of people—an estimated 2.6 million at the end of 2022—resident in the UK with temporary leave to remain are subject to no recourse to public funds conditions, which prevent them from accessing most welfare benefits and social housing. The cost of living crisis has affected people across the country, but increases in energy bills and food prices have a greater impact on low-income households.

[Ian Byrne (Liverpool, West Derby) (Lab)]

My hon. Friend is making an excellent speech. Two years ago, the Government committed to a consultation of permanently extending the Healthy Start scheme to households with no recourse to public funds. However, the consultation has still not happened. Does my hon. Friend agree that that delay from the Government is shameful, and that the Healthy Start scheme that provides families with support to get food and milk for young children should be permanently extended to those subject to no recourse to public funds as a matter of urgency, as called for by organisations such as Feeding Liverpool, the Food Foundation and Sustain?

[Beth Winter]

I fully agree with my hon. Friend that that initiative should be provided to everyone, regardless of their circumstances. It is shameful that that is not happening at the present time.

Low-income households that would be eligible for social housing and universal credit but for the no recourse to public funds conditions are more susceptible to the effects of the cost of living crisis and are excluded from much of the financial support that can help with increased costs. It is therefore even more vital that access to devolved schemes of assistance that are not classed as public funds is facilitated for people subject to no recourse to public funds. It is for that reason that I truly believe we must end the no recourse to public funds condition. It is cruel, it increases child poverty and destitution, it burdens local authorities just as this Conservative Government cut their grants, and all of that has a knock-on effect for social justice and public health, which themselves are costly to the public purse and have long-term societal effects.

I want to take a moment to thank those organisations that have been in contact with me and raised some of the concerns about no recourse to public funds. The Bevan Foundation in Wales in particular has conducted a piece of research that has produced a document of great significance, with a series of recommendations for local authorities and Welsh Government, from which I believe the UK Government would benefit. I will send the Minister a copy of that report following the debate. I thank the Welsh Refugee Coalition, Migrant Voice and the Food Foundation for their suggestions and their tireless campaigning work. I also want to highlight the recent joint report from the all-party groups on poverty and on migration, of which I am a member. Again, I can send a copy of that report to the Minister.

I will pull out some of the recommendations that those practitioners have said would improve conditions for people subject to no recourse to public funds. The first looks at the support needed by local authorities. The cost of providing accommodation and financial support to no recourse to public funds households continues to rise, with a 22% increase from £64 million to £78 million at the end of 2021-22, which is far above inflation. Those costs should be met by the UK Government. That is why the Bevan Foundation has argued that the UK Government should end visa restrictions on accessing public funds. That is the fairest way to support people without settled status and their children, and safeguard them from deep poverty and destitution. Welfare benefits should be a safety net for all, regardless of their immigration status.

Secondly, we need to extend the scope of legal aid. People are being prevented from exercising their legal rights to apply for leave to remain, to change and renew their status and to lift no recourse to public funds conditions, which results in an inability to move on from destitution. Wales has been described, and rightly so, as an “advice desert”, with no immigration and asylum legal aid provision outside Newport, Cardiff and Swansea, apart from a single solicitor—yes, one—based in north Wales, in Wrexham. Even in those areas, firms are closing and provision is in sharp decline. Practically all immigration legal providers in Wales are currently closed to referrals, meaning people are being denied justice.

Elsewhere, there is a need to reduce immigration application fees. Costs are prohibitive, preventing people from exercising their legal right to remain and settle, and driving them into poverty, hardship and destitution. Additionally, there is a need to shorten long settlement routes to a maximum of five years, as the recent report by the all-party parliamentary groups has argued. Long periods with no recourse to public funds inevitably increase the likelihood of entrenched poverty and destitution. Breaks in leave to remain mean that children can spend almost all their childhood in poverty. Those are our future generations and we should be investing in our children and young people.

There is also a need to exempt key benefits and schemes from public funds. The Government should enable councils to provide discretionary cost of living and emergency support to all residents in need by removing discretionary welfare payments from the list of public funds, as has been done in my country of Wales. They should also remove child benefit from public funds and give access to childcare, as is also happening in Wales; as my hon. Friend the Member for Liverpool, West Derby (Ian Byrne) has said, they should open access to the Healthy Start scheme to all low-income pregnant women and families with no recourse to public funds. Finally, all victims of domestic abuse should be eligible to gain access to public funds under the migrant victims of domestic abuse concession, regardless of immigration status.

The policy of no recourse to public funds is a key part of this Government’s cruel, inhumane and discriminatory migration policy, which seeks to punish and scapegoat some of the most vulnerable people in our society. We should welcome people to our shores, as encapsulated by the Welsh Government’s commitment to being a nation of sanctuary, and enable people to thrive, integrate and contribute to our communities. People have so much to contribute, and a humane approach would include allowing asylum seekers the right to work. We are in a perverse situation, where people awaiting the processing of their asylum applications cannot claim basic human rights in the form of benefits, but are prevented from working. People have lots to contribute—we should allow them to work and contribute to our economy, which in the long term will result in both financial and social benefits for our whole society.

We need to focus on clearing the backlog of applicants through fair decisions. I have been involved in interviews with the all-party group on poverty with people who have been waiting years to hear whether they will be allowed leave to remain. That is inhumane. There is no need for that to happen. Finally, we need secure and safe legal routes, as Care4Calais and PCS have advocated through their safe passage visa scheme. Again, I will supply the Minister with a copy of the brilliant report that they produced advocating that.

The UK Government should work in partnership with devolved, regional and local governments to develop a comprehensive refugee integration strategy, which should implement the recommendations of the Windrush lessons learned review, including the creation of a migrants commissioner to ensure that those affected by immigration policy have their voices heard. If the Government are going to take seriously the dual tasks of reducing poverty and making migration policy work, they will need to better connect policy making across Government Departments and between national, devolved, regional and local governments, as well as working in partnership with civil society, which wants a fair and humane migration policy.

There is much more that can be said, but I am conscious that we have only half an hour this morning; I have referred to several pieces of research and evidence, with which I will supply the Minister and which give far more detail. What is clear is that the beneficiaries of a more joined-up, evidence-based and humane policy would be beneficial not just to migrant communities, but to each and every one of us, by ensuring that nobody in the UK, wherever they are from and whatever their situation, faces poverty and destitution.

11:14

[The Minister for Legal Migration and the Border (Tom Pursglove)]

It is a pleasure to serve under your chairmanship, Ms Rees.

I congratulate the hon. Member for Cynon Valley (Beth Winter) on securing this debate on the important issue of no recourse to public funds, and I thank colleagues for their interventions during the course of her remarks. A lot of points were made, which I will respond to on behalf of the Government, but first I will set the policy in context. I am sure that Members across the House are aware of the details of the policy of no recourse to public funds, but it is important to set out the context, and our rationale and approach.

A well-established principle is that migrants coming to the UK should be able to maintain and support themselves and their families, including children, without imposing an unreasonable burden on the welfare system. Successive Governments have taken the view that access to benefits and other publicly funded services should reflect the strength of a migrant’s connections to the UK and, in the main, become available to migrants only when they have become settled here with indefinite leave to remain. In practice, that has been done through granting permission to enter or stay with a no recourse to public funds condition attached.

Only the benefits listed in immigration legislation are classed as public funds for immigration purposes. Some benefits based on national insurance contributions, may still be accessed by migrants, such as contribution-based employment and support allowance. The Government’s position remains that those seeking to establish a life in the UK must do so on a basis that prevents a burden on the taxpayer and promotes integration.

I respectfully disagree with the central premise of the argument advanced by the hon. Member for Cynon Valley. Were we simply to scrap the no recourse to public funds policy, I would argue that, given the national support in place through Departments such as the Department for Work and Pensions and the local support provided by local authorities, far greater costs would be associated with such support were there to be broad eligibility for anyone coming to the UK. I do not think that that is proportionate or fair to the taxpayer generally. Later in my remarks, I will set out the safeguards in place to ensure that where people’s circumstances require it, there are routes in for people to get support.

[Beth Winter]

I referred to several reports, which I will provide copies of to the Minister. When we look at the cost-benefit balance, supporting people who come here, often from vulnerable and difficult situations, may bring an initial cost up front—although providing people with the basics of food, heating and so on is a moral and humane duty anyway, so I disagree fundamentally with his position—but in the long term it benefits our country financially, if that is the concern of the Government, as well as socially. To back that up, I will supply the evidence, which is overwhelming.

[Tom Pursglove]

Our approach is a balanced one. For example, many people come to the United Kingdom through the established visa routes, family routes and skilled work routes. The hon. Lady touched on the issue of safe and legal routes, and I am a strong advocate of the work that the Government have done to give sanctuary to more than half a million people since 2015.

One of the commitments we made during the passage of the Illegal Migration Act 2023 was to consult local authorities and to set a figure, an annual cap, for properly supported places that can be provided across the country so that people are able come here. In particular, we work with the United Nations High Commissioner for Refugees to support the most vulnerable people from around the world, with all the help and support around that. That is entirely right and proper, and I am very grateful to the local authorities who have offered places. We will help with the wraparound support that comes with it. In the next few weeks, I hope to be able to say more not only about the figure, but about laying the statutory instrument that will help to bring that cap into force in 2025, delivering on the commitment we made to ensure that those places are durable and sustainable, and provide people with the sanctuary that they need.

As a general principle, I go back to my earlier remark that we think it is right that people who come to the United Kingdom through most of the routes are able to sustain themselves without relying on the taxpayer. As I said, there are safeguards in to provide support. [Interruption.] I recognise that the Labour Members here are perhaps not in line with the position of previous Labour Governments on this issue, but that policy has been a consistent one under Conservative Governments, under the coalition Government and under Labour Governments.

[Ian Byrne]

The Minister has mentioned the burden on the taxpayer several times now. Why do the Government not give people seeking asylum the right to work, so that they can contribute to the tax system and society? His framing of this debate and the implementation of policy makes no sense to me.

[Tom Pursglove]

I suspect that we will disagree quite strongly in principle on this. I would argue that the policy on asylum seekers’ right to work achieves the right balance. People who come to the United Kingdom in small boats, via a route organised by evil criminals who put them to sea in unseaworthy vessels, are exploited them in the process. They hand over their money to evil criminal gangs, who have no regard to whether they get here safely. We have a moral responsibility to put that criminality out of business. Any additional pull factors give the evil criminal gangs responsible for that trade an additional marketing tool to sell a vision of what coming to the UK looks like. That cannot be right. Nor is it right when we consider the many people who come to this country by applying and going through the proper process and following the rules, entirely appropriately. We should not undermine that process. It is an important part of our borders and migration system, and has for many years been how we manage migratory flows.

If somebody’s asylum claim is not dealt with and concluded within a 12-month period, they are able to take roles on what is now the immigration salary list, previously the shortage occupation list. I think that provides an appropriate level of balance.

[Beth Winter]

Will the Minister give way?

[Tom Pursglove]

I am conscious that there are still a lot of points still to get through, but I will gladly give way to the hon. Lady on this occasion.

[Beth Winter]

Again, I strongly disagree with the Minister on this issue. People who are forced to try to reach these shores on small boats are not getting on boats because of pull factors; they are doing it because of push factors. They are extremely, extremely desperate. Anybody who tries to reach this country on a dinghy, bringing their children with them, must be extremely desperate. If we had a humane migration policy that provided legal and safe routes to come here, people would not be losing their lives. People are dying because they are being forced to use these routes. Should we not be welcoming people here? We have shortages of nurses and of workers in other sectors and industries. Wales advocates being a nation of sanctuary. What is wrong with people coming here to contribute to our society, which would benefit us economically?

[Tom Pursglove]

I definitely do want people to come here, but through legal routes and in a managed and proper way, rather than in small boats making perilous crossings of the channel. We have a responsibility—a moral duty—to put that criminality out of business. Yet again, in the last fortnight, we have seen a young girl lose her life in the channel in the most tragic of circumstances. We have to put a stop to that, and we are determined to do precisely that.

It is recognised that some migrants may be at greater risk of poverty and destitution, and that is why there are rightly safeguards in place. It is important to protect vulnerable migrants, and appropriate safeguards flow from that responsibility and our recognition that people can find themselves in the most challenging circumstances. In practice, that means that migrants with permission under the family or private life routes, or the Hong Kong British national overseas route, can apply for free to have their NRPF condition lifted by making a change of conditions application. An individual on those routes can apply to have their condition lifted if they are destitute or at risk of imminent destitution, if there are reasons relating to the welfare of a relevant child, or if they are facing exceptional circumstances affecting their income or expenditure.

For all immigration routes other than family or private life and the Hong Kong BNO route, the general expectation is that the person will return to their home country should they become unable to meet their essential living needs in the UK. If there are particularly compelling circumstances that make leaving the UK impossible, discretion can be used to consider whether they justify access to public funds. The latest data published in March 2024 for quarter 4 of 2023 shows that 71% of the decisions taken on change of conditions applications were granted. That demonstrates that the system works and is practical.

It is worth adding that the Government are providing additional support for those with NRPF. For example, subject to the relevant income thresholds, those with NRPF can access free school meals and early years education for two-year-olds. Statutory benefits, including statutory sick pay, statutory maternity pay and contribution- based jobseeker’s allowance, are accessible to all those who have made significant tax contributions, including those with NRPF.

The Department of Health and Social Care leads on the Healthy Start scheme, but I will gladly ask the relevant Minister to provide a written update to the hon. Member for Liverpool, West Derby (Ian Byrne). We continue to have ministerial and official engagement with colleagues from across Government about NRPF, specific benefits, inclusion or otherwise and eligibility. I would very much welcome receiving the reports that the hon. Member for Cynon Valley mentioned. I am not convinced that we will agree on everything, but we will most definitely look at them. We keep the policy under review, so I would welcome the opportunity to reflect on those reports.

Local authorities may also provide a basic safety net of support, regardless of immigration status, if it is established either that there is a risk to the wellbeing of a child or a genuine care need that does not arise solely from destitution—for example, where a person has community care needs or serious health problems. If it is helpful and the hon. Lady would like to share the details of the case she raised—I am not sure from her remarks whether a change of conditions application has been made—I will be very happy to ask my officials to look at the particular circumstances and get back to her.

I have dealt with the asylum seeker right to work and the situation with regard to safe and legal routes. There will be opportunities to debate those matters separately in the coming weeks and months. I definitely expect to make progress on the cap in the coming weeks and months, as I said in the debate in this Chamber on Monday.

[Beth Winter]

Will the Minister comment on the suggestion about better joined-up working, including with the regional and devolved Administrations? Is that something he will look at?

[Tom Pursglove]

I am very happy to take that point away. The Government’s general principle is that it is important that we have a system that provides balance. I set out the safeguards, but I am definitely very happy to engage not only with colleagues across the UK Government but with counterparts in the devolved Administrations. The immigration system generally is a reserved matter, but there are undoubtedly aspects that relate to their work, and I am always willing to engage on those matters. Our approach is that we and they can suggest agenda items, and then we debate them and talk constructively.

Motion lapsed (Standing Order No. 10(6)).

11:30

Sitting suspended.