Guaranteed Minimum Pensions Increase Order 2019

Baroness McIntosh of Pickering Excerpts

Thursday 14th February 2019 Lords Chamber

[The Parliamentary Under-Secretary of State, Department for Work and Pensions (Baroness Buscombe) (Con)]

My Lords, in moving this order, I will speak also to the Automatic Enrolment (Earnings Trigger and Qualifying Earnings Band) Order 2019. In my view, the provisions in both these orders are compatible with the European Convention on Human Rights.

I shall be brief. The Guaranteed Minimum Pensions Increase Order 2019 deals with an entirely technical matter that we attend to each year. This order provides for defined benefit occupational pension schemes which were contracted out to increase by 2.4% members’ guaranteed minimum pension that accrued between 1988 and 1997, in line with the increase in the consumer prices index the previous September.

The Automatic Enrolment (Earnings Trigger and Qualifying Earnings Band) Order 2019 reflects the conclusions of this year’s annual review of the automatic enrolment earnings thresholds required by the Pensions Act 2008. In conducting the review, the Secretary of State has considered both the automatic enrolment earnings trigger, which determines the point when someone becomes eligible to be automatically enrolled into a qualifying workplace pension, and the qualifying earnings band, which determines those earnings of which the enrolled employee and their employer have to pay a proportion into a workplace pension.

Automatic enrolment has been hugely successful in achieving its aim of getting millions of people saving into their pensions. Last year was a significant one for the policy, with a number of key milestones being reached. In February, the last group of smallest employers took on their duty to automatically enrol all staff, meaning that all established employers and new businesses are now subject to automatic enrolment. This was shortly followed by the first phased increase in minimum contributions from 3% to 5% in April 2018. We now have 1.4 million employers who have complied with their automatic enrolment duties, and have just reached the commendable milestone of 10 million people successfully enrolled into a workplace pension. It is also extremely encouraging that, despite the significant changes last year, rates of stopping saving—for example, through opt-outs and cessations—have remained consistently low since the increase. This year will bring another key milestone for the policy. In April, the second planned increase in minimum contribution levels, to 8%, will occur, with contributions rising to 3% and 5% of band earnings for employers and employees respectively.

This order sets a new lower and upper limit for the qualifying earnings band and will be effective from 6 April 2019. The earnings trigger is not changed within this order and remains at the level set in the automatic enrolment threshold review order for 2014-15, so no further provision is required. As signalled by the Minister for Pensions and Financial Inclusion in his Written Statement on 4 December 2018, this order will, as previously, align the lower and upper limits of the qualifying earnings band with the national insurance lower and upper earnings limits for the 2019-20 tax year of £6,136 and £50,000 respectively. This will ensure continued stability during the next phased increase in minimum contributions this April, providing consistency for payroll systems and helping employers manage costs.

The order does not change the earnings trigger, which remains at £10,000—striking a balance between bringing in those most likely to benefit from pension saving and affordability for employers. Those earning below the £10,000 earning trigger who feel they can afford to save still have the option of opting in and benefiting from employee contributions if they earn above the lower earnings limit.

Automatic enrolment has enabled many people who previously would not have been saving towards their retirement to contribute towards a pension. We are seeing increasing numbers of young workers, with over 70% of 22 to 29 year-olds enrolled in a workplace pension, and pension participation rates for women in the private sector are now comparable to those for men. It is estimated that by 2019-20, an extra £17.7 billion a year will go into workplace pensions as a result of automatic enrolment. Due to anticipated wage growth and with maintenance of the existing trigger, the effect is a real-term lowering of the trigger. We expect that an additional 40,000 individuals will now meet the earnings criteria and be brought into the automatic enrolment population, the majority of whom will be women.

It is important to be clear that the proposal outlined in the 2017 review of automatic enrolment to remove the lower earnings limit is setting the direction for the future of the policy and is not reflected in a current-day change. The Government stand by the proposals in that report and continue to work towards our ambition of automatic enrolment reforms in the mid-2020s. Our ambitions for automatic enrolment will be delivered in a way and at a pace that maintains the stakeholder consensus, while finding ways to help individuals, employers and the Exchequer manage the higher costs associated with the proposed changes. We will in due course consult formally on the best approach to implementation, including when and how to introduce any new legislation.

The Government are also aware of concerns that have been raised by Members of your Lordships’ House and in the wider public around the differences in administering pension tax relief and its impact, particularly on low-income earners. I take this opportunity to assure noble Lords that the Minister for Pensions and Financial Inclusion is actively engaging with his counterparts in the Treasury to explore this issue.

I will conclude on this point. The proposed package of changes in these orders provide crucial stability and simplicity for employers during the second phased increase of minimum contributions, while continuing to increase overall pension savings nationally by £5.5 billion in 2019-20. I therefore commend the order to the House and I beg to move.

[Baroness McIntosh of Pickering (Con)]

My Lords, I welcome these orders for the reasons that my noble friend has given. However, I am concerned that a couple of categories are being left behind.

By definition, those on zero-hours contracts cannot benefit from schemes such as this, or from bonuses, paid holidays, sick leave, overtime and other such perks of work. In my last five years as an MP, for the first time I had a job centre in my constituency, whereas for the previous 13 years I did not, and so had to go outside my constituency for information on job vacancies and the number of unemployed. My experience was that there are specific categories, including women returning to work. I was delighted to hear my noble friend say how many younger new employees will benefit from this order. However, many women who have had children and wish to return to the workplace, or young people at the start of their career—I fell into this category when I first went into the workplace—are struggling to work and often have two, if not three, paid jobs. They could be working in a shop as a cleaner for part of the time and working in a bar the rest of the time, and obviously students will fall into that category as well.

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[Baroness Buscombe]

I thank the noble Lord. Unless it is somewhere among my notes, I do not appear to have the answer to that. If between now and the closing of my speech I cannot find it, I will write to him. I trust that he will bear with me on that.

My noble friend Lady McIntosh of Pickering and the noble Baronesses, Lady Janke and Lady Drake, asked a number of questions about auto-enrolment, with particular reference to women, people who are not in jobs, zero-hour contracts, the gig economy and so on. I want to respond to those questions and to the question of the state pension age, particularly in relation to women born in the 1950s.

I turn, first, to multiple jobholders and the earnings trigger. The proposal to remove the lower earnings limit and removing entitled worker status in legislation will ensure that multiple jobholders who are eligible for automatic enrolment or who choose to opt in will qualify for employer contributions in all jobs and will be able to pay their own contributions from the first pound of earnings. This will give multiple jobholders the opportunity to build the same retirement savings as individuals who have only one job. It is the Government’s ambition to make these changes in the mid-2020s in the light of learning from the phased contribution increases and following full consultation with stakeholders in order to develop a consensus and find ways to make this affordable. I remember touching on this matter last year, and I again stress that we need to progress at a measured pace. As I said in my opening speech, we have to think about the cost to both the Exchequer and employers in supporting the scheme, but we will obviously continue to engage on this matter with stakeholders.

With regard to the gig economy in particular, in December 2018 the Government published a report entitled Enabling Retirement Savings for the Self-Employed: Pensions and Long-Term Savings Trials. This sets out our intention to test a number of approaches and interventions through trials with industry partners. It also invites organisations from a range of sectors, including invoicing software providers and accounting organisations, to work with the Department for Work and Pensions in co-designing and testing interventions.

On those working in the gig economy, the department will consider with BEIS and the Pensions Regulator the implications of recent rulings in this area. The Government’s December 2018 Good Work Plan set out the vision for the future of the labour market and ambitious plans to implement the recommendations arising from the Taylor review of modern working practices. The Government commit to legislate to improve the clarity of the employment status tests, reflecting the reality of modern working relationships. We will ensure that any changes are also considered in relation to auto-enrolment so that there is coherence and clarity for individuals and businesses on who is eligible for automatic enrolment.

I recall that my noble friend Lady McIntosh referenced people working in different situations and those returning to work. There is continuing progress in that regard. She also mentioned her nearest jobcentre. We are constantly improving the training of our work coaches to provide assistance in signposting support and helping those who want to go back into work or wish to build their confidence in order to do so. I think my noble friend will find that terrific progress is being made in that regard.

Only yesterday, the Secretary of State for International Development announced a new initiative to support particularly women and carers in returning to work. The Secretary of State for my department, the right honourable Amber Rudd MP, when Home Secretary, launched a similar project last year to help women and carers return to work. In fact, those two cross-government initiatives represent some £2 million. We are constantly working cross-government on this issue. Given the issues of multiple jobs, and the gig and zero-hours contracts economy, it is important that we keep a flexible eye on the changing world of work, as well as working across government with BEIS.

On zero-hours contracts, individuals can still opt in, but the removal of the lower earnings limit in the 2020s will help to address the issues for this group.

We stand by our mid-2020s timescale. As our AE review confirmed, automatic enrolment should continue to be available to all eligible workers, regardless of who their employer is. Making saving the norm for young people, by lowering the age for automatic enrolment so that an extra 900,000 people can benefit from a workplace pension, is certainly a goal. We want to support all those automatically enrolled—particularly those with low earnings in multiple jobs—to save more for retirement by removing the lower earnings limit, so that their contributions are calculated from the first pound of earnings. Also, we recognise the diversity of the 4.8 million classified as self-employed, for whom a single saving intervention might not be effective. We will work to implement our manifesto commitment by testing targeted interventions aimed at the self-employed—as set out in the review report—to identify the most effective options to increase pension saving among self-employed people.

Automatic enrolment has always been implemented methodically, backed up by comprehensive analysis to help us understand its affordability for employers and individuals. We will work to maintain the consensus that has underpinned automatic enrolment’s success, including by giving employers and savers time to plan. In that way, we can help avoid any risk of deterring individuals from continuing to save—so keeping the number of those opting out to a minimum—or any risk of undermining employer engagement with reforms. The latter point is hugely important: we have to keep employers on board.

I want to make further reference to women. Automatic enrolment was designed specifically to help groups such as women and low earners, who have historically been less likely to save. The decision to maintain the trigger for 2019-20 is estimated to bring an additional 40,000 individuals into workplace pension saving, as the noble Lord opposite has referenced; of these, three-quarters are expected to be women. In 2012, 60% of eligible women in the private sector did not have a workplace pension. As of 2017, this had fallen to 20%, and I trust the figure continues to fall.

The earnings trigger determines who is eligible to be automatically enrolled. I hope noble Lords will forgive me if I repeat myself. We believe that maintaining the figure at £10,000 continues to strike a balance so that those who can most afford to save are automatically enrolled in the workplace pension. Lowering the trigger could result in diverting income away from the day-to-day needs of the lowest earners, risking and impacting significantly on their living standards. For those low earners in a position to contribute, the option remains to opt in. If they earn above a lower earnings limit, they will also receive employer contributions.

I would like to make particular reference to carers, as mentioned by the noble Baroness, Lady Drake, whom I recall referring to this a year ago. The 2017 automatic enrolment review concluded that there should be no change to the way carers are currently treated through automatic enrolment. Those who provide informal care are not subject to automatic enrolment as they have no employer to enrol them. However, bringing in individuals not subject to a contract of employment would be a fundamental change to the framework of automatic enrolment, which works through an employer-employee relationship. Carers in receipt of carer’s allowance are automatically credited with a class 1 national insurance credit, which helps to protect their future entitlement to a state pension. Individuals who provide informal care for 20 hours per week are eligible to apply for carer’s credit, which also helps to protect future entitlement to a state pension.

Of course, there is an issue with regard to women born in the 1950s—I include myself in that coterie. People are living longer and are healthier for longer. We welcome this, but it is right that arrangements for the state pension system reflect changes in average life expectancy. As we continue to build a country that works for everyone, we need an affordable and fair state pension-age arrangement for current and future generations of pensioners. The average woman reaching state pension age last year will get a higher state pension income over her lifetime than an average woman reaching state pension age at any point before. Women retiring today can still expect to receive the state pension for 23.5 years on average; that is almost three years longer than men, even after equalising women’s state pension age with men’s. Women will spend on average around two years more in receipt of their state pension, because of their longer life expectancy.

Transitional arrangements are in place. We committed £1.1 billion to lessen the impact of the 2011 changes for the most affected. This means that no one will see their state pension age change by more than 18 months, compared to the 1995 Act timetable. We have had to make tough choices, but we have calculated all of this with care. It is about maintaining a sustainable pensions system. We strongly believe that, with the new state pension, the change in life expectancy and the increase in the number of women working for longer and so on, we have struck the right balance on this.

The noble Baroness, Lady Janke, referenced black and minority ethnic individuals and asked what the impact of freezing the trigger is. I can tell the noble Baroness that the analysis underpinning the automatic enrolment earnings thresholds review suggests that freezing the trigger has had no adverse effect on the proportion of black and minority ethnic individuals in the group eligible for automatic enrolment.

I shall answer a question asked by the noble Lord, Lord McKenzie, about increasing the contribution rate as part of the 2017 review, with reference to the 8% and automatic enrolment. Millions of people are now saving, or saving more, as a result of automatic enrolment. As the noble Lord will be aware, the first planned increase in contribution rates took place on 6 April last year, with the second increase, to 8%, coming this April. It is certainly encouraging that since the increase to 5% in April 2018 there has been no increase in rates of stopping saving. However, as the review of automatic enrolment in 2017 revealed, there is no consensus about future contribution rates, and whether, when and to what level they might increase. As such, it is important that we understand the effects the second planned increase will have and carry out further work on the adequacy of retirement incomes. We will then take this forward to look again at the right overall level of saving and the balance between prompted and voluntary savings in due course. I shall allow my noble friend to ask a further question while I search for another answer on communications.

[Baroness McIntosh of Pickering]

I congratulate my noble friend on her generous and comprehensive response. I was delighted to hear her response to a question about opt-outs being down. However, I am slightly concerned that paragraph 12 says there has not been an impact assessment, but the Government have identified an estimated £79 million more in employer pension contributions. Do the Government share my concern that that might encourage more people to opt out? Also, I know that the burden on small businesses of the cost of administering the state enrolment scheme has been an issue. Is that something the Government are hearing less about, or does it continue to be a concern expressed to her department?

Mesothelioma Lump Sum Payments (Conditions and Amounts) (Amendment) Regulations 2019

Baroness McIntosh of Pickering Excerpts

Thursday 14th February 2019 Lords Chamber

[Lord Wigley (PC)]

My Lords, I am delighted to follow the noble Lord, Lord Alton, and will take advantage of the opportunity to pay tribute to him for the immense work on this matter that he has undertaken in recent years. I too welcome the uprating. On the points raised by the noble Lord, I agree entirely that research should be undertaken. But we should also look at all possible ways to eliminate the causes of asbestos-related diseases.

We are aware of the incidence of asbestos in schools: three-quarters of schools in the United Kingdom have asbestos in them and, every year, some teachers die as a result of asbestos-related diseases. I wonder how many perhaps unidentified children have been affected by this. I do not know how much research has been done on this, but clearly anything that can be done to avoid the disease is better than a cure.

None the less, I welcome the fact that some £130 million has been paid since 2014 in compensation to about 1,000 sufferers—about £40 million of this has come from the insurance industry. But I take very much to heart the point made by the noble Lord, Lord Alton, that research is vital in these areas. The other sphere that could do with more research is MoD buildings. A number of them have been affected by asbestos, and families of servicemen have been hit by the disease.

I move on to the pneumoconiosis order, which I also welcome very much. The circumstances in which we are discussing this are so similar to those in 1979, when the original Act went through. I suspect that I am one of the few people in the Chamber who was involved at that time. There was a striking similarity—a Government without a majority striking a deal with a small party to get this through—and I was so pleased to be in the right place at the right time to help with it. The 40th anniversary reminds us of the tremendous contributions that have been made by this Act—not only to the slate-quarrying community, whose lobbying brought about the Act, but to a number of other workers in industries such as cotton and in kiln-related work, who were also able to get compensation.

The Act arose because, while coal miners had in general been helped by the 1975 tripartite agreement between the NCB, the NUM and the Government, that agreement did not cover other workers suffering from industrial lung diseases. The 1979 Act has paid out millions of pounds by now, and is still being called upon by a whole range of industries. Therefore, it is appropriate that it should be uprated in this way.

There are still some misgivings about other health conditions undoubtedly stimulated by working in such dusty environments. Conditions such as emphysema and chronic bronchitis are not accepted as lung diseases—although they are in all probability generated in many circumstances by that exposure to dust.

There are a couple of points I will put to the Minister; if she cannot answer them now, I would be grateful if she could write to me. First, what is the position of quarrymen who may have worked for periods of time in overseas quarries—such as in the United States or Spain—with regard to entitlement to compensation? The second relates to those who may have worked in the United Kingdom but who may be living in another EU country. How will the changes of Brexit impact on their entitlement to receive such compensation? That said, I support these regulations.

[Baroness McIntosh of Pickering (Con)]

My Lords, I am always glad to follow the noble Lord, Lord Wigley, who had knowledge of the original Act. I congratulate my noble friend on introducing this instrument.

This has been a very poignant debate, and there is very little I can add to the contributions of those who have spoken with such knowledge. Like the noble Baroness, Lady Thomas of Winchester, I have a close family friend who succumbed to the disease. I was surprised that someone who had worked from a very young age for the Merchant Navy had this disease; where I grew up, he would not have been alone in doing so, because in those days the Merchant Navy offered huge opportunities for learning a trade—as did the Royal Navy. I know that it is not my noble friend’s direct responsibility, but could she reassure us today that the engine rooms of ships in the Merchant Navy do not now pose any danger from asbestos? I would like that reassurance going forward.

I was very disheartened when my noble friend very honestly told us that we can still expect a number of cases each year. The question I will ask her is simple—what is the length of time between the making of the claim and receipt of a payment? This also touches a little on the debate earlier. How would someone such as our family friend know that they are eligible for this compensation if they have not been contacted by their employer? Is there a mechanism in place for this? With those two questions, I would like to give these regulations a fair wind.

[Lord Freyberg (CB)]

My Lords, I welcome the Minister’s helpful comments and the opportunity to debate these regulations. Over the last 10 years, we have seen strides forward in the fight against mesothelioma. Thanks to a great deal of political support and work by colleagues in this House—I pay tribute to the noble Lords, Lord Alton, Lord Giddens and Lord Wills—and by Mike Kane, Tracey Crouch and the late Paul Goggins in the other place, much has been done to raise awareness of the disease and to improve life for people affected by it.

Because of the long period between exposure to asbestos and the appearance of symptoms, it can be extremely difficult for people with mesothelioma to trace a liable former employer or insurance company. In recognition of this, the Mesothelioma Act 2014 was passed to ensure that victims of mesothelioma who were unable to trace a liable insurer could claim compensation from a scheme funded by a levy on insurers. I thank colleagues who supported the Act and who have helped keep mesothelioma on the agenda. Since the launch of the scheme, £130 million has been paid in compensation to around 1,000 people. Like other noble Lords, I declare an interest: my late sister Annabel contracted mesothelioma in her early 50s—she had two young children at the time—and was a grateful recipient of compensation from an earlier version of this scheme that the Minister highlighted in her comments.

Benefit Rate Freeze

Baroness McIntosh of Pickering Excerpts

Monday 30th October 2017 Lords Chamber

[Baroness Buscombe]

I absolutely understand where the right reverend Prelate is coming from, but I want to make it clear that we are doing all we can to help those most in need and, for example, maintaining payments for people with additional needs. That is why we will be spending a further £2.5 billion this year to support pensioners and carers and to maintain the value of payments to people faced with the extra costs of disability needs. In addition, we are giving extra support to lone parents and children.

[Baroness McIntosh of Pickering (Con)]

My Lords, does the Minister agree that memories are extremely short? Does she remember a time when a different Government were in power and pensions were put up by a miserly 75 pence a week?

[Baroness Buscombe]

I certainly remember that well. It is completely right that we do all we can to support pensioners.

Children: Parental Separation

Baroness McIntosh of Pickering Excerpts

Wednesday 27th April 2016 Lords Chamber

[Baroness Altmann]

I can indeed assure the House that there are no such plans.

[Baroness McIntosh of Pickering (Con)]

My Lords, does my noble friend support the idea of child contact centres being made available in every local authority area to enable parents who are not of wealthy means to have contact with their children? Were one fortunate enough to have a Private Member’s Bill on this in the next Session, would my noble friend support it?

State Pension Age

Baroness McIntosh of Pickering Excerpts

Wednesday 2nd March 2016 Lords Chamber

[Baroness Altmann]

I stress to the noble Baroness and noble Lords that if there are any issues they would like to raise with the independent reviewer—lessons to be learned from the past or issues that should be considered for the future—they should do so. It is an independent review, looking at all the relevant factors.

[Baroness McIntosh of Pickering (Con)]

My Lords, will the Minister assure the House today that the Government would accept any ruling or recommendation from the independent reviewer that that category of women—I have to declare an interest as I fall within that so-called group of women, and I served as shadow Minister for women’s pensions for a year—were not given 10 years, which is deemed to be the appropriate time to prepare for a later retirement age?

[Baroness Altmann]

The independent review will be considering long-term changes to the state pension age. It will not be recommending any changes before what is currently legislated for up to 2028.

Amendment of the Law

Baroness McIntosh of Pickering Excerpts

Monday 23rd March 2015 Commons Chamber

[Rachel Reeves]

Under the last two Conservative Governments, unemployment reached 2.5 million. There was a global financial crisis during the period of the last Labour Government, and as a result, unemployment rose, but it has risen even further under this Government, from 1.5 million, when Labour left office, to 1.7 million in February 2012. The OBR’s Budget forecast last week showed a £600 million increase in the forecast for social security spending in just one year, and since 2010, the Government have spent £25 billion more on social security than they set out to spend.

Under the Government, the number of people paid less than the living wage has soared by 44%, while house building has fallen to its lowest levels since the 1920s. It is for those reasons that housing benefit spending—the second-largest area of DWP spending, after pensions—was more than £2 billion higher in 2014-15 than in 2009-10. It was due largely to the rocketing numbers of working people not paid enough to cover their rent. In this Parliament, the Secretary of State has spent £1.8 billion more than he planned on housing benefit for working people and, on current Government forecasts, the cost of working people’s rising reliance on housing benefit to pay their rent will reach £14 billion by the end of the decade, if left unchecked—£488 for every household in the country.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

I think there is some common ground between us, particularly on zero-hours contracts for women who choose to work part time, but could the hon. Lady not congratulate the Government on regulating part-time zero-hours contracts, especially given that the Office for National Statistics has knocked the figures Labour used? This is often something that working mothers choose.

[Rachel Reeves]

According to the ONS, the number of zero-hours contracts has increased from 1.4 million to 1.8 million in the last year. This is a huge challenge for working mothers and others. We want to ban the exploitative use of zero-hours contracts so that if someone does regular hours, they will be offered a regular contract and so that their hours cannot be cancelled at the last minute without compensation. If we make those changes, I hope we can stem the increase in the number of zero-hours contracts, giving more people the security of paid work they know will happen week after week.

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[Miss Anne McIntosh (Thirsk and Malton) (Con)]

It is a privilege to be called in this debate, Mr Deputy Speaker, and, in particular, to follow the right hon. Member for Sheffield, Brightside and Hillsborough (Mr Blunkett). I pay tribute to his lengthy service in the House and his major achievements. He will be greatly missed, not just in the House, but in Yorkshire.

I welcome this Budget, which is good for individuals, families, businesses, pensioners and farmers. Obviously, the best news is that more jobs are being created in Yorkshire than in France, as the Chancellor mentioned. I wish to make a special plea on behalf of one category: older women who are too young to retire but who may see too few opportunities to work. I recognise the help being given in this Budget to farmers and make a plea that the particularly welcome rule enabling self-employed farmers to spread their average earnings over five years be introduced this month, before Dissolution. Farming and fisheries are the two most dangerous industries, so may I also make a plea that we need better mobile phone coverage in rural areas, to reduce the risk of accidents on farms away from the house?

Let me dwell for a moment on the reform of the common agricultural policy fiasco in 2005, which led to huge fines and penalties in the European Union for late payments. I welcome the fact that common sense has broken out and that in this month we will revert to paper applications, with only initial registration online. I ask that digital by default be laid to rest this year and that we press forward to make sure that the mapping is easier in future years.

I ask that the vouchers the Government are going to make available in urban areas for upgrading to superfast broadband also be made available in rural areas. Too few farms and rural businesses yet have the benefits of a decent speed and a stable connection for broadband. It is not acceptable that farms and rural businesses have only the basic legal entitlement of 5 megabits and subsidised satellite services, and that the promise of 100 megabits will not reach the farms. Will we therefore see the vouchers extended to rural areas?

I ask the Minister who is summing up to address the issue of the costly failure— £155 million—of the Rural Payments Agency computer. It raises a wider issue relating to contracts under successive Governments: why do we see failures in areas such as the Child Support Agency and, more recently, the RPA? When Governments can supply that big a contract, what are we doing wrong? Can we also make sure that the spectacle of disallowance and EU fines will become a thing of the past? Will the Government confirm tonight that the additional extension of one month offered by the European Commission for basic farm payments will be accepted and agreed? Will we ensure that payments are made on time? The extension to 15 June is welcomed by the farmers.

I welcome the fact that this Budget is good news for savers. The individual savings accounts—ISAs—will encourage savings and investments, and the review of capital investment allowance will be welcome. This is a prudent and responsible Budget, setting a steady course to cut our debt, reduce the deficit and, in the words of my right hon. and learned Friend the Member for Rushcliffe (Mr Clarke), achieve a surplus by 2017-18.

This is probably the last contribution that I will make to any formal debate in this House. It has been an enormous privilege to have served 18 years here. I have spent five years as MP for Thirsk, Malton and Filey; 13 years as the MP for the Vale of York, for which I was the first and last Member; and for 10 years before that I was a Member of the European Parliament.

The icing on the cake was being elected by colleagues, from across the House, to chair the Environment, Food and Rural Affairs Committee, which so perfectly reflects the interests and concerns of those living in Thirsk, Malton and Filey—food, farming, fisheries, the environment, the countryside and rural communities. We have been wonderfully served by exceptionally dedicated and extremely effective staff led by the Clerks, with superb special advisers, assistants and others. I have also been blessed with parliamentary colleagues on the Committee, some of whom are in the Chamber today. Together we have formed a dedicated team, really pressing for proper scrutiny of an extremely important Department, which I hope will survive and grow bigger in the next Government.

As I face early release, I pay tribute to my predecessors, including my right hon. Friend the Leader of the House who is also leaving. I wish my successor the very best of luck. I pay personal thanks to my husband for allowing me to do this job, to my supporters for standing by me, and to my electors locally for returning me at successive elections.

Oral Answers to Questions

Baroness McIntosh of Pickering Excerpts

Monday 9th March 2015 Commons Chamber

[Mr Harper]

If the hon. Gentleman had listened to my answer, he would have heard me say that the level of discretionary housing payments relating to the removal of the spare room subsidy would be maintained in 2015-16, as the Chancellor said in the autumn statement. I listened carefully to the hon. Gentleman’s point of order about questions and answers last week. I think that my answer did relate to his question, and perhaps he should have listened to it.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

What happens when district councils do not use the whole discretionary housing payment fund? Is it carried over? What steps is my hon. Friend taking to ensure that authorities spend the full amount that they are entitled to spend?

[Mr Harper]

That is a good question. Last year, two thirds of local authorities did not spend all the money that the Government allocated to them. If the money is not spent, it returns to central Government and to whence it came—that is, to the taxpayer

Oral Answers to Questions

Baroness McIntosh of Pickering Excerpts

Monday 3rd November 2014 Commons Chamber

[Mr Harper]

I do not know the specific circumstances of that case. If what the hon. Lady describes is the case, it is clearly not acceptable to expect somebody to travel at such short notice and I will look into the matter for her. As I said, however, both the assessment providers are making considerable progress in the number of assessments they are making and communicating to the Department, and departmental decision makers are making considerable progress in making decisions.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

While people are awaiting the assessment for PIP, what special help is given to those with mental health conditions who want to get into the workplace to assist them to do so?

[Mr Harper]

We are looking at a number of options to help people. My hon. Friend will be aware that the national health service has made some announcements about the extra help it will be putting in place for people with mental health conditions from April—this will be a significant improvement. We are also running some pilots, examining access to psychological therapies and linking those up with support in getting into work. So she will see that more support is available for those with mental health problems, both now and going forward.

Oral Answers to Questions

Baroness McIntosh of Pickering Excerpts

Monday 1st September 2014 Commons Chamber

[Steve Webb]

The hon. Gentleman raises an important point. A review of legacy pension schemes is under way, under the auspices of the Association of British Insurers, and the issue of excessive exit fees is part of it. In most cases, the terms of schemes will allow people to access their budget flexibilities, but there may be some where the contract and scheme rules impose a charge, and that is a contract that people have entered into.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

Locally, auto-enrolment seems to be working smoothly for those on monthly salaries, but it is incredibly difficult for those on weekly wages. Are the Government familiar with that? Is the Minister able to assist in that regard?

Oral Answers to Questions

Baroness McIntosh of Pickering Excerpts

Monday 23rd June 2014 Commons Chamber

[Mike Penning]

What we are doing is making sure we speed up the process on our side and the contractors doing the assessments speed up their side. As I have said before, if necessary there will be a cash incentive for them to make sure that they deliver, which will be paid only when they deliver faster.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

I congratulate my right hon. Friend on reducing the time taken to handle these claims, but what is he doing to reduce the time taken for the appeals mechanism procedure, so that that part can be speeded up as well?

[Mike Penning]

The appeals process is a matter for my colleagues at the Ministry of Justice, and I intend to write to them today, but fewer people are going to appeal, particularly on PIP—it is much lower than predicted—and there has been more than an 80% reduction on work capability assessment. There is more to be done, but if the judges have less work to do on appeals, I will be very happy about that.