(2 days, 6 hours ago)
Commons ChamberRead Hansard Text Watch Debate Read Debate Ministerial Extracts
John Slinger (Rugby) (Lab)
Tracy Gilbert (Edinburgh North and Leith) (Lab)
The Secretary of State for Work and Pensions (Liz Kendall)
This morning the nation fell silent to pay tribute to all those who have served and continue to serve in our armed forces, and those who have made the ultimate sacrifice. Today we honour and remember them. I quote the words inscribed on Lutyens’ beautiful Arch of Remembrance in Leicester from the hymn “O Valiant Hearts”:
“All they hoped for, all they had, they gave to save mankind—themselves they scorned to save”.
Some 4.3 million children are growing up in poverty—700,000 more than in 2010. That is why the work of our cross-Government child poverty taskforce is so urgent, and why we will use all levers available to increase family incomes, reduce family costs and give every child the best start in life.
John Slinger
I have had the privilege of assisting the brilliant volunteers at the Make Lunch organisation in Rugby, which provides holiday lunch clubs with play activities for entire families, including those with complex needs. Last summer it fed 25 families, last Christmas it bought slow cookers for families and this Christmas it is offering hampers. They treat families with dignity. As with food banks, is it not an indictment of the record of the last Government that such charitable support is needed in the first place?
Liz Kendall
Make Lunch sounds like an absolutely brilliant charity, and I ask my hon. Friend to pass on our great thanks for its fantastic work. That work is urgent, because the Child Poverty Action Group estimates that a quarter of children in my hon. Friend’s constituency are growing up poor. Our child poverty strategy will be published in the spring, but we will not wait to act. That is why the Budget announced a new fair repayment rate to slash universal credit deductions and give 1.2 million of the poorest households £420 on average a year, lifting thousands of children out of poverty.
Tracy Gilbert
Previous Labour Governments have tackled not only poverty but its root causes. Can my right hon. Friend outline how the child poverty taskforce will identify and tackle the root causes of poverty in my constituency and across the UK, to ensure a permanent end to child poverty?
Liz Kendall
I am sure that, like me, my hon. Friend thinks that it is unacceptable that an estimated one in six children in her constituency is growing up poor. We have taken immediate action to help the poorest families in Scotland through our fair repayment rate, which will benefit 110,000 households in Scotland. We are tackling the root causes of poverty with our reforms to make work pay, tackle exploitative zero-hours contracts and create more good-quality jobs in every part of the country.
Patrick Spencer (Central Suffolk and North Ipswich) (Con)
Child poverty is a scourge in British society, and I am grateful that the Secretary of State is bringing forward a child poverty strategy. Has she decided how to measure child poverty? May I warn her against using the much discredited relative measure, which, as we know, shows poverty decreasing during times of economic decline and increasing during times of economic growth? I implore her to use an absolute measure, which has a much better record of showing deprivation and long-term increases and improvements in living standards.
Liz Kendall
I am afraid I will disappoint the hon. Gentleman: we will look at relative poverty after housing costs, but we will go further and look to alleviate the very deepest poverty. It is appalling that hundreds of thousands of families are forced to rely on food banks—something that I know only too well from my time chairing Feeding Leicester. We will look at relative poverty, deep poverty and what it will take to give every child the very best start in life, by bringing together support from public services, charities and other groups. That is the way to bring down poverty and make the changes sustainable.
Jim Shannon (Strangford) (DUP)
Northern Ireland has some of the highest child poverty figures in the whole of the United Kingdom of Great Britain and Northern Ireland. I am sure that the Secretary of State wants to help. We have had a 70% increase in food bank usage in my constituency in the past 12 months, which is an incredible indication. Will she kindly tell me what discussions she has had with her counterpart in the Northern Ireland Assembly on what more can be done to help?
Liz Kendall
The Minister from Northern Ireland is a member of our child poverty taskforce. I hope to visit soon and the co-chair of the taskforce, the Secretary of State for Education, my right hon. Friend the Member for Houghton and Sunderland South (Bridget Phillipson), also plans to visit. We have introduced the new fair repayment rate to slash the level of universal credit deductions because, as food banks in my constituency have told me, that really pushes people into poverty. That is not what the Government should be doing, and that is why we have taken action. I look forward to coming to Northern Ireland to talk to the hon. Gentleman, his constituents and the organisations fighting poverty to see what more we can do.
Ian Roome (North Devon) (LD)
The Minister for Social Security and Disability (Sir Stephen Timms)
The application process for personal independence payment is being kept under review. An online process is being trialled and we are looking at further potential improvements.
Ian Roome
One of my constituents in receipt of PIP is sight-impaired, deaf-blind registered and cannot use a phone or fill out forms. Can the Minister tell me why PIP reassessments are being scheduled for people with incurable disabilities and terminal illnesses?
Sir Stephen Timms
The hon. Gentleman raises a very fair point. It is, of course, important that we keep the awards under review, because sometimes they go up as well as down and we want to ensure that the support being provided is appropriate for the claimant. We also need to ensure that the process is accessible—I agree with him about that. Help can be provided to manage the assessment process. If he would like to send me more details about his constituent, I would be glad to see what we can do to help.
Debbie Abrahams (Oldham East and Saddleworth) (Lab)
Yesterday, it was reported in the Sunday papers that a blind woman with additional complex needs had her PIP assessment over the phone, which was approved, but was then sent a letter to confirm that. The charity Sense says that over half the people it surveyed feel humiliated by the process. I know my right hon. Friend is very keen to get this right, so will he expand a little more on the type of things the Department is changing?
Mr Speaker
Before the Minister replies, may I ask Members to look at the Chair, as third party, when they are asking or answering questions? I am being cut out. Those are not my rules but those of the House on how we should address each other, so if anybody has a problem, please have a word with the Clerks.
Sir Stephen Timms
My hon. Friend raises a very important point. Indeed, she and I worked on an excellent Select Committee report on health assessments for benefits, which provides some very important and valuable recommendations to the Department. We will continue to look at this issue. I am not familiar with the case that she refers to, but I will dig out the details. Clearly, it is vital that the process should be accessible to people with sight impairments or any other impairments. I completely agree with her.
Andrew Pakes (Peterborough) (Lab)
The Secretary of State for Work and Pensions (Liz Kendall)
The legacy we inherited is almost 1 million young people not in education, employment or training—nearly one in eight—with all the long-term consequences we know that can bring for their future earnings, job prospects and health. That is why our new youth guarantee will ensure that every young person is earning or learning, which is better for them, better for the economy and better for our country as a whole.
Andrew Pakes
The DWP has described Peterborough as a national youth unemployment hotspot. In September, the youth claimant count was running at nearly double the national average. Places like Peterborough college, through its Jobsmart provision, are already pulling together a coalition to respond to that challenge. I welcome the Government’s youth guarantee and “Get Britain Working” plans to ensure that young people in places like Peterborough are given the opportunity to earn or learn. Will the Secretary of State please confirm a timetable for the publication of the White Paper?
Liz Kendall
The “Get Britain Working” White Paper will be published imminently, backed by £240 million of investment announced by the Chancellor in the Budget. I look forward very much to talking to my hon. Friend and the organisations that are working so hard locally, because I believe that the man, or even woman, in Whitehall can never know what is best in Peterborough, Leicester or Leeds.
Mr Richard Holden (Basildon and Billericay) (Con)
A small business in my constituency to which I have spoken over the last few weeks has raised concerns about the impact of the national insurance rises in the Budget on, in particular, those in lower-paid work, who in many cases are young people starting their jobs. What impact do the Government think that those rises will have on young people and youth unemployment?
Liz Kendall
Just last week I visited a very large employer in my constituency, Tesco, and saw the fantastic work that it is doing with the King’s Trust to ensure that more people get into work and stay in work. It is determined to work with us and our local schools, and employment and other providers, because they know that rather than writing off nearly a million young people, which led to the situation that we inherited, this new Government have a plan to get people into work, enable them to get on in work, and ensure that every young person has the chance in life that he or she deserves.
Mr Speaker
I call the new shadow Secretary of State, and welcome her to her post.
Helen Whately (Faversham and Mid Kent) (Con)
May I say how nice it is to be sitting opposite the right hon. Lady again, albeit, regrettably, having swapped places with her? I enjoyed our exchanges on social care during the last Parliament, and appreciated our constructive conversations during the pandemic, although, given how well she knows the care brief, I suspect that she was gutted, as I was, to see the incoming Government abandon the care cap and scrap more than £50 million of funding for social care training. The consistent feedback from jobcentres was that the biggest barrier to young people taking up job opportunities in social care was lack of career progression, hence our reforms to create a career path for care workers and investment in training. Has the right hon. Lady spoken to her counterpart in the Department of Health and Social Care about the impact of those social care cuts on her ambitions to get more young people working or learning?
Liz Kendall
I, too, welcome the hon. Lady to her post. As she has said, while we will always have our political differences we have also worked closely and constructively on issues that matter across the House, such as the terrible problems facing social care during the pandemic. I will continue that work, and I hope that the hon. Lady will as well, in her new role.
The hon. Lady asked about the impact of what is happening in social care on people’s opportunities and chances to learn. I have already had many discussions with, among others, members of integrated care boards, and they are passionate about the opportunities that exist to get more people into work and enable them to get on in their work, including jobs in social care. Joined-up working between the Department of Health and Social Care and the Department for Work and Pensions will be at the heart of our plans to get Britain working, because, unlike some Opposition Members, we do not find it acceptable for 2.8 million people to be locked out of the workforce owing to long-term sickness. We have a proper plan to get Britain working and growing again.
Helen Whately
The right hon. Lady will know that under the Conservative Government youth unemployment fell by 380,000, and that we were tackling inactivity with our WorkWell programme, helping people to stay in work or return to work, which I am delighted to see the right hon. Lady continuing. Unfortunately, however, as a result of her Government’s Budget and Employment Rights Bill, businesses will slash the number of their employees. Moreover, the Government have just broken another promise and hiked up university fees. What advice would the right hon. Lady give a young person who is currently out of work and education, and must choose between worse job prospects and more expensive university degrees thanks to her Government’s choices?
Liz Kendall
The hon. Lady’s party left nearly a million young people not in education, employment or training, and almost a record number of people—2.8 million— out of work owing to long-term sickness. They failed to introduce reforms to join up work, health and skills properly, and they have not learnt from those mistakes. I am proud that this Government are investing an extra £240 million to get Britain working again, giving people the opportunities that they need to work and build a better life.
Lewis Atkinson (Sunderland Central) (Lab)
Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
Tonia Antoniazzi (Gower) (Lab)
The Parliamentary Secretary, His Majesty's Treasury (Emma Reynolds)
We have launched the next phase of our pension credit campaign on radio, TV and print media, and the Government have written to 120,000 pensioners on housing benefit who may be eligible but are not currently claiming pension credit. After less than five months in government, we are bringing forward the merger of housing benefit and pension credit, which the Conservatives announced 13 years ago but failed to deliver.
Lewis Atkinson
Under the previous Conservative Government, many eligible pensioners in Sunderland Central did not receive the pension credit that they were due. When I speak to organisations such as Age UK Sunderland, they tell me that that was often because people did not know how and whether to claim. How many pensioners are now taking up pension credit thanks to the actions taken by this Government?
Emma Reynolds
We have seen a 152% increase in pension credit claims since late July, with over 74,000 pension credit claims up to mid-September. We know that many local authorities and, indeed, Members of this House—including me last Thursday—are helping pensioners on low incomes to ascertain whether they are due pension credit.
Jamie Stone
There will be people who are eligible for pension credit living in very remote areas, where connectivity is less than great. It is an appalling thought that they might miss out on what they are due. May I suggest to the Department that the way to reach out to those people might be through a database, followed by a mailshot?
Emma Reynolds
In addition to merging housing benefit and pension credit, which will help some of the people whom the hon. Gentleman has in mind, the Secretary of State and I have asked the Department to look at what can be done to make the application form simpler. The Department will report back to us by the end of the month, and we will update the House in due course.
Tonia Antoniazzi
I welcome the Government’s campaign to get people to sign up for pension credit, and I urge every pensioner in Gower to sign up and attend my pension credit event on 22 November. Does the Minister agree that we should highlight the fact that pensioners who go over the threshold could still be eligible because they receive another benefit, such as attendance allowance, or because higher housing costs are taken into account when applying?
Emma Reynolds
Yes, indeed. Assessing somebody for pension credit is a complex procedure, so we urge all those on low incomes to check whether they are eligible. We have seen an increase in the number of people applying online with the help of local authorities, Members of Parliament and charities, and we urge everybody who thinks that they might have an eligible family member to encourage their loved ones to apply.
Kirsty Blackman (Aberdeen North) (SNP)
Temperatures are set to drop to zero across Scotland by next weekend. Many pensioners are scared to put on their heating, with the Big Issue reporting a three-month delay in claims for pension credit. Can the Minister let us know what she is doing to ensure that those claims are processed as quickly as possible so that people can get the money into their pockets?
Emma Reynolds
I thank the hon. Lady for her question. We want people who are eligible to get support, and we have redeployed 500 staff to process those claims. I can assure her that that is something that we are focused on.
Danny Kruger (East Wiltshire) (Con)
The withdrawal of the winter fuel payment from 10 million households, including 70% of disabled pensioners, is a huge change, as is using pension credit to distribute the benefit to the minority of people who will still get it, yet the Government have rushed this change through without giving their own statutory advisory committee the chance to properly scrutinise it. Ministers have not even responded to the chair of the committee, who wrote to them several weeks ago with suggestions on how to mitigate the effect of the policy. On top of that, they have failed to provide a full impact assessment to show what the effect on poverty would be. Will they finally produce a full impact assessment of this policy, and when will the Minister respond to the chair of the advisory committee?
Emma Reynolds
I welcome the hon. Gentleman to his place. In answer to his questions, we have published an equality analysis, which he can find on the Government’s website. Owing to the legislation, we do not have to produce an impact assessment, but there is an equality analysis. I urge him to have a look at that. All I would say to him is that the new Leader of the Opposition argued in 2022 that winter fuel payments should be means-tested. I wonder how the hon. Gentleman might means-test the winter fuel payment, if he had the chance.
Danny Kruger
The Minister mentions the equality assessment. That was a high-level equality assessment that was only dragged out of the Government in response to a freedom of information request. The fact is that they are avoiding accountability for this policy and avoiding scrutiny by the House. The Government are saying that the impact of the cut on the poorest pensioners will be mitigated by pension credit, and we have heard from the Minister about the very small numbers who are taking up pension credit in response to this announcement. Their own figures predict that fully a third of eligible pensioners—that is 750,000 of the poorest people in the country—will not get pension credit and will not get the winter fuel payment.
That is what the Government are banking on. That is how they are making the savings that they predict from this policy: by cutting benefits to some of the poorest people in our country—[Interruption.] The Minister shakes her head, so she might want to put me right. Does she want all eligible pensioners to claim pension credit? [Interruption.] The Secretary of State says yes. If she does want that, does she then accept that the Government’s savings from this policy will be completely wiped out?
Steve Darling (Torbay) (LD)
On Armistice Day, it is important that we as a Chamber reflect on the Royal British Legion and its “Credit their Service” campaign. This is a campaign to ensure that when benefits are calculated, military compensation is disregarded. In the light of this, will the Secretary of State give serious consideration to disregarding military compensation when calculating pension credit?
Emma Reynolds
I associate myself with the hon. Gentleman’s comments and those of my right hon. Friend the Secretary of State. I will look carefully at what the hon. Gentleman has suggested and get back to him.
Torcuil Crichton (Na h-Eileanan an Iar) (Lab)
The Minister for Employment (Alison McGovern)
After 14 years of Conservative Government, 8 million adults and 4.3 million children were left in poverty. Among other things, £240 million was recently announced in the Budget to support better work so that people can get the dignity of a good job and the security of a proper wage. Details will soon be available, as the Secretary of State mentioned, in our “Get Britain Working” White Paper.
Torcuil Crichton
I thank the Minister for that answer and the assurance from the Dispatch Box that the maximum level of debt repayment from a household’s universal credit is to be reduced from 25% to 15% each month. That is great news for Scottish families, who could benefit by an average of £420 a year. Much of that debt management is carried out at the DWP centre in Stornoway in my constituency, and some 65 of the 80 staff there are involved in responding to calls nationally. That is a good example of job dispersal, and their service is high quality and is now involved in reducing poverty. I encourage the Minister to come and meet the staff there, to meet clients and to see the operation for herself.
Alison McGovern
My hon. Friend mentions the new fair repayment rate, which is another crucial part of the Budget and a downpayment on the action that we will take on poverty. I am fond of an invitation to Scotland, and I will happily accept that one.
Mike Martin (Tunbridge Wells) (LD)
The Minister for Social Security and Disability (Sir Stephen Timms)
The Department has adopted an iterative approach, updating the universal credit system to reflect user needs as they develop. The new Government are committed to reviewing universal credit to make sure that it is doing the job we need it to.
Mike Martin
One of my constituents spent six hours fully awake during an operation that went wrong, as doctors battled to save her life. Obviously, this affected her mental health, and she was deemed unfit for work by her GP and by a clinical psychologist. She then went through a half-hour telephone assessment for her universal credit health check, which deemed her fit to work, so she does not get universal credit and it was not backdated to the operation. Does the Minister think that that sounds right? If not, will he review the case?
Sir Stephen Timms
I am grateful to the hon. Gentleman for drawing my attention to that. What he has described sounds very odd indeed, and I will be happy to look at the details if he will let me see them. We are absolutely committed to making sure that universal credit does the job that we need it to, including for people in the situation that his constituent has found herself in.
Graeme Downie (Dunfermline and Dollar) (Lab)
Last week, I was made aware of a constituent who is a carer for his wife, who experienced a stroke in 2016. The constituent is a veteran who lives with chronic obstructive pulmonary disease and was awarded carer’s allowance in 2017. Late last year, the DWP began demanding the return of more than £51,000 in alleged universal credit overpayments, and this April, under the previous Government, the DWP began taking it from his state pension without warning. Will the Minister meet me to discuss this case in more detail so that I can help my constituent?
Sir Stephen Timms
As my hon. Friend will know, there have been some very troubling cases of carer’s allowance overpayment. I am not sure whether carer’s allowance is part of the overpayment he describes, but I will be very happy to meet him to discuss what has gone wrong in this case.
Lewis Cocking (Broxbourne) (Con)
The Minister for Employment (Alison McGovern)
Jobcentres serving the Broxbourne constituency and elsewhere will change following the “Get Britain Working” White Paper, which has already been mentioned. This fundamental reform will have three parts: a new public employment service to get more people into work and to help them get on in work; a joined-up work, health and skills plan; and a guarantee for young people aged 18 to 21.
Lewis Cocking
The Budget has made it even harder for small businesses in my Broxbourne constituency to create jobs. What can the Minister do to make sure that jobcentres connect with local businesses to help those who are looking for work to find sustainable employment?
Alison McGovern
I thank the Minister for his question—[Interruption.] Honestly, I am still getting used to being on this side of the House.
The hon. Gentleman is absolutely right that jobcentres everywhere need to be locally responsive to employers, and that we need to provide an excellent service to local employers. If he has further thoughts on how we can make that work in his constituency, I would be very happy to discuss it with him.
Munira Wilson (Twickenham) (LD)
The Minister for Social Security and Disability (Sir Stephen Timms)
The last Labour Government dramatically reduced child poverty, and we want to repeat their success. The child poverty taskforce is exploring how to harness all available levers, including social security reform, and it will publish its strategy next spring.
Munira Wilson
The Prime Minister has said that he wants to break down the barriers to opportunity and tackle child poverty. He has also said that
“insecurity is the enemy of opportunity.”
Given that by the time the child poverty taskforce reports next spring, a further 16,000 children will have been dragged into poverty, and given the devastating impact that poverty can have on a child’s education, their health and their vulnerability to the criminal justice system, why will the Minister not do the right thing and scrap the two-child benefit cap to lift 300,000 children out of poverty immediately?
Sir Stephen Timms
The strategy will be very clear about how we will tackle the scourge of child poverty, and the hon. Lady is absolutely right to highlight the importance of doing that. Labour voted against the two-child limit, but we will not promise change until we know how we are going to pay for it. That will be addressed in the work of the taskforce, with the results published in the spring.
Warinder Juss (Wolverhampton West) (Lab)
Alistair Strathern (Hitchin) (Lab)
Damien Egan (Bristol North East) (Lab)
The Parliamentary Under-Secretary of State for Work and Pensions (Andrew Western)
No specific assessment has been made of the impact of the household support fund on low-income households in 2025-26, although we hear routinely from local authorities across the country about the impact of the fund in supporting those who are struggling. An evaluation of the fourth iteration of the scheme, running from April 2023 to March 2024, will be published shortly, exploring the benefits of the more than 19 million awards made during this period.
Warinder Juss
I agree that the payment of winter fuel allowance should be means-tested, because many pensioners who receive the winter fuel allowance simply do not need it. However, there are pensioners who are not entitled to pension credit who will struggle to heat their homes. Can the Minister please confirm the extent to which the household support fund will assist those pensioners in my Wolverhampton West constituency?
Andrew Western
The household support fund is intended to support a wide range of households in need, including pensioner households. There has been no ringfencing of funding for specific groups since October 2022, meaning that local authorities have the flexibility to support pensioners who are just above the pension credit threshold. In the 2023-24 financial year, 26% of household support funding went towards meeting energy costs.
Alistair Strathern
I welcome the Government’s decision to provide more than £1 billion in new funding for the household support fund, extending it all the way through next year, and to give much more notice to the local authorities that deliver it. The funding is so important not just to countless vulnerable residents, but to great local organisations, such as the Need Project food banks in my constituency. How will the Department work with local authorities to make the most of the notice and to ensure the funding goes as far as possible?
Andrew Western
My hon. Friend is absolutely right. As a former local authority leader, I know that above all else, certainty will allow councils to design and deliver sustainable plans for local welfare assistance. The Government’s commitment to funding the HSF until March 2026 offers that certainty and time to plan with greater confidence. To that end, we will confirm individual allocations for the forthcoming one-year extension to the HSF as soon as possible, and ahead of the scheme beginning on 1 April.
Damien Egan
Because the household support fund is devolved to local councils, there are lots of different examples of how the funding is spent, so how will the Minister ensure that the money from councils goes to the people who really need it?
Andrew Western
Like me, my hon. Friend is a former local authority leader—albeit a directly elected mayor, and with a far greater mandate, therefore, than I ever enjoyed. Like me, he will appreciate the importance of empowering local areas to respond to local need. That said, all councils must develop delivery plans to show how they are targeting the funds to support the most vulnerable, to ensure that the spirit of the HSF is upheld in helping low-income households with the cost of essentials.
Brendan O'Hara (Argyll, Bute and South Lochaber) (SNP)
The Parliamentary Secretary, His Majesty's Treasury (Emma Reynolds)
The last Labour Government lifted more than 1 million pensioners out of poverty, and this Government remain absolutely committed to supporting pensioners. We know that there are low-income pensioners who are not claiming pension credit, and we urge them to apply. This will passport them to receive other benefits too.
Brendan O'Hara
These are extremely worrying times for millions of pensioners who simply cannot fathom why one of the first acts of this new Labour Government was to remove their winter fuel payments. The Minister will be aware that last month the SNP Scottish Government opened applications for the pension age disability payment, which could be worth up to £434 a month for pensioners with disabilities or long-term health conditions. It will be piloted in Scotland next year. Will the Minister join me in welcoming this initiative and encouraging those who are eligible to apply for it?
Emma Reynolds
It is good to see that the SNP Government are focusing on that issue now, because during their 17 years in government, we have seen increases in pensioner poverty across Scotland.
Rachael Maskell (York Central) (Lab/Co-op)
Pensioners in poverty now have just 40 days to apply for the winter fuel payment via the pension credit system. Will the Minister look at extending the deadline so that more people can claim pension credit and get the winter fuel payment?
Emma Reynolds
I reassure my hon. Friend that we have redeployed 500 additional staff to process the claims. We are working at pace to process them, but 21 December remains the deadline.
Samantha Niblett (South Derbyshire) (Lab)
The Secretary of State for Work and Pensions (Liz Kendall)
As a lifelong champion of unpaid family carers, I am proud that the first Labour Government in 14 years have given unpaid carers the biggest ever cash boost to the amount they can earn while still receiving carer’s allowance. That means family carers can earn an extra £2,000 a year and still keep their allowance. That is the difference this Labour Government are making: supporting families who do the most important thing, which is caring for the people that they love.
Samantha Niblett
I have spoken to many people in my constituency of South Derbyshire who are taking on caring responsibilities for loved ones. I know how hard that is and I am so grateful for the job they do, but it is often a thankless task. I am glad that the Government have taken action to support people in our communities who take on caring responsibilities, but it is disproportionately women who do so. Will the Secretary of State outline how the increase in the threshold will benefit women and allow them greater freedom to work?
Liz Kendall
My hon. Friend is right: 60% of unpaid carers are women, but women spend more hours caring, so they are disproportionately represented when it comes to receiving carer’s allowance. This is a small, but significant and important, step forward. It is a signal that the new Government understand that as people live for longer and care for longer, we will have to do more to help families balance work and caring responsibilities. That is the truth of family now: it is as much about caring for our elderly and disabled loved ones as it is about caring for our own wonderful children.
Clive Jones (Wokingham) (LD)
The Parliamentary Under-Secretary of State for Work and Pensions (Emma Reynolds)
Estimates for pensioners who are eligible for but not receiving pension credit were published in early October. The estimates show that more than 800,000 pensioners—individual pensioners, not households—are entitled to pension credit but are not claiming it.
Clive Jones
As the Minister will know, the Chancellor’s cruel decision to tie winter fuel allowance to pension credit, despite knowing that the uptake of pension credit is very low, will force thousands of vulnerable pensioners to choose heating or eating this winter. With 16,577 pensioners in Wokingham expected to be affected by the cuts, will she extend the deadline to apply for pension credit and consider pledging further support to increase take-up?
Emma Reynolds
I refer the hon. Gentleman to my answer to my hon. Friend the Member for York Central (Rachael Maskell): the deadline remains 21 December. Thanks to the Government’s steadfast commitment to the triple lock, more than 12 million pensioners will see their pension increase by more than 4% in April next years, up to £470. Over this Parliament, they will be better off by around £1,900, thanks to the triple lock. Low-income pensioners can also apply for the warm home discount scheme and, thanks to the extension of the household support fund, local authorities can target that support on low-income pensioners. In the longer term, the warm homes plan will transform homes across the country by making them cleaner and cheaper to run.
Mrs Emma Lewell-Buck (South Shields) (Lab)
The Minister for Employment (Alison McGovern)
As well as putting in place breakfast clubs that mean children are ready to learn, and as well as the fair payment rate—we have discussed that—which will stop families being tipped into destitution by debt, the ministerial taskforce, chaired by the Work and Pensions and Education Secretaries, will publish the child poverty strategy in spring 2025, using all available levers across government to bring about an enduring reduction in child poverty in this Parliament, as part of a 10-year strategy for lasting change.
Mrs Lewell-Buck
We know that the previous Government presided over shameful levels of child poverty, including nearly 500,000 children who are eligible for free school meals but who are missing out. Will my hon. Friend, alongside the Education Secretary, urgently look at the proposal by Feeding Britain for auto-enrolment to free school meals as part of the single application process for families claiming UC?
Alison McGovern
One person who has never looked the other way when people were facing poverty in this country is my hon. Friend. Through her innovation, she has ensured that household food insecurity is measured properly, and I pay tribute to her efforts. I have listened to what she said about Feeding Britain, and I will take that as an input into the child poverty taskforce. I hope that she and Feeding Britain will meet me to discuss how we can take that forward.
Tom Hayes (Bournemouth East) (Lab)
The Minister for Employment (Alison McGovern)
Helping parents to have fulfilling and sustainable work helps our economy and prevents child poverty. As we have mentioned several times, the “Get Britain Working” White Paper will rewrite employment policy and set our ambition for an 80% employment rate, but we will not get there without parents.
Tom Hayes
In recent weeks, I have met the DWP in Bournemouth and advice agencies including the citizens advice bureau for Bournemouth, Christchurch and Poole. Advice agencies welcome the record increase in carers allowance that was announced in the Budget. They and in-work parents with disabled children have also asked about the transition from child tax credit to universal credit. That may be a matter for the “Get Britain Working” White Paper, but can the Minister say how the Government will further support such parents to work and earn, and flexibly meet their families’ needs?
Alison McGovern
I thank my hon. Friend for bringing this matter to the House, and I pay tribute to all those he has worked with to understand the challenge that we face. He is right that we will take this forward through the “Get Britain Working” White Paper. Citizens Advice is playing an important role in supporting that work, and the work of the child poverty taskforce.
Alan Gemmell (Central Ayrshire) (Lab)
The Parliamentary Under-Secretary of State for Work and Pensions (Emma Reynolds)
I am leading the Government’s landmark pensions investment review, which aims to increase pensions investment in the UK economy and improve retirement outcomes for future pensioners. An interim report will be published soon. Phase 2 of the review, which will focus on pension adequacy, will be launched later this year.
Alan Gemmell
David Carson and Patricia Kennedy, constituents of mine in Central Ayrshire, face massively reduced pensions payments from their pre-1997 contributions to their Hewlett Packard pension, because current legislation index-links contributions from 1997 only. What assessment has the pensions review made so far of the challenges facing pension schemes, and will the Minister meet me to discuss David and Patricia’s case? The issue affects some hundreds of thousands of people.
Emma Reynolds
I thank my hon. Friend for raising that case. I would be very happy meet him, or any other hon. Member who has such cases in their constituency; however, the pensions review will look more at how current pension schemes can improve outcomes for future pensioners. We are looking at driving scale in consolidation of defined contribution pension schemes and local government pension schemes, and at a shift away from cost to value. I know that there is interest in that from across the House, and I hope that we can work on it across the parties.
Rebecca Smith (South West Devon) (Con)
The Parliamentary Under-Secretary of State for Work and Pensions (Emma Reynolds)
The Government remain absolutely committed to supporting pensioners. We are urging pensioners to check their eligibility for pension credit to ensure that as many people as possible have access to the support to which they are entitled.
Rebecca Smith
Ninety-seven-year-old Joyce from my constituency was worried about losing her winter fuel payment, so she contacted my office. It sounds like the Minister has had a similar experience. Fortunately, my team was able to assist Joyce. We ran a full benefits check, and helped her to secure pension credit, and therefore her winter fuel payment entitlement. However, does the Minister think that it is right that the oldest and most vulnerable should have to resort to getting their MP to help them claim pension credit?
Emma Reynolds
I am glad to hear that the hon. Lady was able to help her constituent. We are looking at the form, as I mentioned in a previous answer, and we will update the House soon on those developments.
Sarah Olney (Richmond Park) (LD)
The Parliamentary Under-Secretary of State for Work and Pensions (Emma Reynolds)
The Department does not have a pension credit application target. Published application numbers show that we received around 74,400 pension credit claims in the eight weeks from the end of July to mid-September.
Sarah Olney
In the weeks following the Chancellor’s announcements on the winter fuel allowance, the number of pension credit applications doubled, then nearly tripled. Now the DWP is delaying releasing any more data on this subject. I am concerned that the Government know that they will not be able to process the applications on time, and that the information is not being put into the public domain. Will the Minister tell me exactly how many pension credit applications have been submitted since 16 September, and whether the backlog will be cleared before older people start having to make a choice between heating and eating?
Emma Reynolds
I gently say to the hon. Lady that we are not delaying the publication of statistics. A new set of statistics will be published soon. As I said in previous answers, we have redeployed 500 additional staff to helping to process pension credit applications. We urge all those who have loved ones who are pensioners, or who are pensioners themselves, to apply if they think that they are eligible.
Calum Miller (Bicester and Woodstock) (LD)
The Secretary of State for Work and Pensions (Liz Kendall)
The Budget took the first steps in this Government’s plan to drive up opportunity and drive down poverty in every corner of the country: it included an additional £214 million for our plan to get Britain working, a new fair repayment rate in universal credit to help over 1 million of the poorest households, and the biggest ever package to reduce fraud and error in the system, ensuring that every pound of taxpayers’ money is wisely spent. There is much, much more to do, but in the Department for Work and Pensions, change has begun.
Calum Miller
My constituent Kevin had to stop work in 2018 due to a medical condition. He is desperate to find a job, but has consistently found that he is not eligible for support from his local jobcentre. Kevin asked me, “How does someone who has fallen out of work get back into work?” Will the Secretary of State or a Minister meet me to discuss Kevin’s case, and see if, together, we can answer his question?
Liz Kendall
The hon. Gentleman raises an extremely important point. It is not right that his constituent, who wants to work, has suffered from a mental health problem but does not have the support that he needs. In parts of the country, steps have been taken to help provide the healthcare and other support that people need, but we need to go further, faster. My hon. Friend the Minister for Employment will indeed meet the hon. Gentleman. Let’s get cracking on this and see what we can do.
Josh Dean (Hertford and Stortford) (Lab)
The Minister for Employment (Alison McGovern)
There have been changes to ensure that referrals are GDPR-compliant, but I will happily discuss this issue with my hon. Friend. The very best jobcentres are closely linked with local support organisations, and we must ensure that that is the case everywhere.
Helen Whately (Faversham and Mid Kent) (Con)
The Conservatives are the party of work and aspiration, and once again, we left office with unemployment at a historic low. We all know that Labour always leaves unemployment higher than when it came into office, but rarely has it seemed in such a hurry to achieve that. Its first Budget will, according to the Office for Budget Responsibility, cost the country 50,000 jobs in the next few years alone. What assessment has the right hon. Lady made of the cost to her Department of those job losses?
Liz Kendall
May I gently say this to the hon. Lady? She should be apologising, because we have record numbers of people out of work due to long-term sickness; one in eight young people is not in education, employment or training; and people are locked out of the world of work because the Conservatives failed to make proper plans to get people into work and on in their work. Until Conservative Members face up to their responsibilities, and to the cost to the taxpayer of their mistakes in not getting people with long-term sickness into work—£25 billion extra over the course of the forecast period—they will remain on the Opposition Benches.
Helen Whately
I wonder if the Secretary of State did not hear my earlier question; I said that I was grateful that she is continuing the work that we did in government, through the WorkWell programme, to help people in ill health into work by joining up healthcare and employment. However, the point I was just making, to which she did not respond, was that 50,000 jobs will be lost as a result of Labour’s Budget. That is not the only thing frightening the life out of businesses at the moment—
Mr Speaker
Order. The hon. Lady can keep pointing at me, but this is topical questions, and I have all these Back Benchers to get in, so questions really need to be shorter.
Helen Whately
Thank you, Mr Speaker. The Budget is not the only thing frightening the life out of businesses at the moment. Labour’s Employment Rights Bill is a wrecking ball for the UK labour market. Labour’s own impact assessment predicts that businesses could cut staff—
Mr Speaker
Order. I did make the suggestion that you might come to the end of your question, but you decided to carry on reading, so I will have to stop you. I call the Secretary of State.
Liz Kendall
I am very proud of a Budget that invests in the long-term growth that this country needs, that gives a pay rise to the 3 million lowest-paid workers, and that invests in the NHS so that people can get back to health and back to work. That is the change that this country desperately needs.
Ben Goldsborough (South Norfolk) (Lab)
The Minister for Social Security and Disability (Sir Stephen Timms)
My hon. Friend is absolutely right. If a person is paid four-weekly, they receive 13 payments a year, so in one of the 12 monthly assessment periods each year, they are paid twice. That means that they probably get no universal credit that month, which completely messes up budgeting. I would be delighted to meet USDAW, and perhaps my hon. Friend, to discuss what we can do through our review of universal credit.
Steve Darling (Torbay) (LD)
I am sure all Members in this Chamber are aware of the Women Against State Pension Inequality campaign and the parliamentary ombudsman’s findings. Will the Secretary of State commit to making a statement in the House before Christmas on progress with her review of the ombudsman’s report?
The Parliamentary Under-Secretary of State for Work and Pensions (Emma Reynolds)
As the hon. Gentleman will know, the ombudsman took six years to consider a range of complex cases, and we are looking at their complexity. I was the first Minister in six years to meet representatives of the WASPI campaign. We hope to be able to update the House in the coming weeks.
Paul Davies (Colne Valley) (Lab)
Sir Stephen Timms
My hon. Friend is absolutely right to highlight that research from Carers UK. The Budget increased the earnings threshold, so people will be able to earn £10,000 a year from work and still claim carer’s allowance, and an extra 60,000 carers will become entitled to the allowance. It is a very big step forward.
Mike Martin (Tunbridge Wells) (LD)
Sir Stephen Timms
As I mentioned earlier, we are committed to reviewing universal credit. The way it works means that in each assessment period—each month—there is a new calculation based on the income that the person has received, as reported by His Majesty’s Revenue and Customs. However, I would be very happy to meet the hon. Gentleman to talk about how the system needs to be improved further.
Torsten Bell (Swansea West) (Lab)
Sir Stephen Timms
My hon. Friend is absolutely right. The threshold will increase on 7 April next year, and all current claimants will receive an annual uprating letter in the spring that will set out the new limit. As I mentioned a moment ago, 60,000 new unpaid carers will also become eligible for the allowance at that point.
Rosie Duffield (Canterbury) (Ind)
Given the new Government’s collective condemnation of the two-child limit over the eight years since it was introduced, which includes condemnation from many Government Members on Select Committees, will they at the very least commit to scrapping its heinous, sexist and frankly disgusting rape clause element?
Alison McGovern
The hon. Lady raises some of the worst aspects of the consequences of 14 years of Conservative Government. We will consider all those issues through the child poverty taskforce.
Dan Aldridge (Weston-super-Mare) (Lab)
Sir Stephen Timms
I congratulate my hon. Friend on being the Labour Member for Weston-super-Mare. I have met Liz Sayce, who will carry out the review, and she is raring to go. The terms of reference and timelines have not yet been set, but they will be in the next few weeks. As soon as they are, the details will be placed in the Library.
Suella Braverman (Fareham and Waterlooville) (Con)
Kevin is a pensioner in Waterlooville who has chronic obstructive pulmonary disease and struggles to breathe in the cold. His personal budget puts him, on average, about £55 above the poverty line, but he is one of many thousands of people who will be hit by the Government’s cruel cut to the winter fuel allowance. Political point scoring aside, what practical advice does the Minister have for Kevin to get him through the harsh winter ahead?
Emma Reynolds
I would suggest a number of things: the warm home discount scheme is available for those on low incomes, including pensions; we have extended the household support fund that local authorities can and should use to help people on low incomes; and in the longer term, the warm homes plan will help to make homes across the country more energy efficient and cheaper to heat. I will also say that thanks to the Government’s commitment to the triple lock, pensioners will be about £1,900 better off over this Parliament.
David Burton-Sampson (Southend West and Leigh) (Lab)
Emma Reynolds
As I said in answer to a previous question, we are looking at the form. Some 90% of applicants now apply online, but we note that the paper form is long and we are considering how we can simplify it.
Josh Babarinde (Eastbourne) (LD)
Eastbourne veteran Pauline was awarded military compensation for injuries that she sustained in the service of our country, but she said that that has caused her pension credit entitlement to plummet from £70 to just £10.42 a week. Will the Minister meet me to discuss her case and ensure that no veteran is penalised for their service to our country?
Emma Reynolds
The hon. Member is the second person to raise that issue and I happy to meet them both.
Euan Stainbank (Falkirk) (Lab)
How many current Department employees cannot receive further sponsorship due to the previous Government’s changes to the skilled worker visa salary threshold?
The Parliamentary Under-Secretary of State for Work and Pensions (Andrew Western)
My hon. Friend asks an important question and I will be delighted to follow up with him in writing.
Nick Timothy (West Suffolk) (Con)
According to the census, 72% of Somalis here live in social housing, compared with 16% of the population overall. In answer to my written question, the Department says it is “exploring the feasibility” of publishing benefits claimed by nationality, which is important for a proper debate on benefits policy and immigration policy. Can the Minister confirm that that work is going ahead and tell us when the data will be published?
Andrew Western
The hon. Gentleman will be aware that nationality and country of origin are not factors in assessing benefit eligibility. We may look at that in future, but I would be delighted to follow up with him in writing about how we will take it forward.
Mr Mark Sewards (Leeds South West and Morley) (Lab)
When I speak to my constituents, from Lofthouse to Farnley, they are extremely concerned about the amount of money being lost to fraud and error in benefits. Can the Minister confirm a timeline and a plan to get back the £35 billion that has been lost since the pandemic?
Andrew Western
My hon. Friend is right to raise that issue. The spiralling nature of fraud in this country since the pandemic and on the last Government’s watch is totally unacceptable. We will bring forward a fraud, error and debt Bill in the coming months, which is part of a much broader package—the largest-ever package brought forward by any Government—to take out more than £7.6 billion of fraud over the forecast period.
Martin Wrigley (Newton Abbot) (LD)
Citizens Advice tells me that the DWP continues to start action on alleged overpayments more than six years after the event. That is longer than bank records are kept to prove otherwise. Does the Secretary of State think that that is fair and right?
Sir Stephen Timms
I am not sure whether the hon. Gentleman is asking specifically about carer’s allowance or about other benefits, but if benefits have been overpaid, the Department has an obligation to recover the money. What is important is that overpayments are identified sooner and that people are notified when there is a problem, so that we do not get the very large sums that have accrued in overpayments in the past.