Personal Independence Payments

Baroness Sherlock Excerpts
Tuesday 23rd January 2018

(6 years, 3 months ago)

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Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I thank the Minister for repeating that Answer. I remind the House that these regulations were rushed through after the tribunal specifically to deny the higher-rate mobility component of PIP to people who were claiming on grounds of psychological distress, affecting people with Parkinson’s disease, schizophrenia or various other mental health conditions.

In the High Court judgment, Mr Justice Mostyn said that these new criteria were “blatantly discriminatory” against those with mental health impairments and that they “cannot be objectively justified”. Ministers should have known that. On 27 March this House voted for a regret Motion in my name objecting to these regulations precisely because they discriminate against people with mental health conditions. I then wrote to Damian Green, with the support of the right reverend Prelate the Bishop of Durham and the noble Baronesses, Lady Browning and Lady Bakewell, asking him to conduct a review mandated by that Motion. He declined to do so, so we ended up in the High Court.

I am glad that Ministers are not appealing the decision, but it leaves many questions, of which I can ask only two. First, will there be an appeal process for PIP claimants who are not contacted by the department but who believe they should receive back payments? Secondly, will applicants be entitled to a reassessment if they were given only the standard rate of the PIP mobility component after the regulations came through, where the cause of the claim was “psychological distress”?

If Ministers had, once again, only listened to this House, this confusion and distress for claimants could have been avoided. I dearly hope they do so next time.

Baroness Buscombe Portrait Baroness Buscombe
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My Lords, I shall respond robustly to what the noble Baroness opposite has just said by making it absolutely clear that this Government have been far more generous in supporting people with mental health conditions than the previous Labour Government, who put off any changes to disability support, particularly in relation to mental health conditions, until after the general election of 2010, which by then was too late.

This is not a policy change. We are going back to the heart of the policy intent and relates to those in psychological distress. We have accepted the Stevenson/Farmer recommendations, which shows that we are committed to supporting claimants with disabilities. We are also working with a range of disability charities to implement the judgment in the best way. We will look at appeals, to which the noble Baroness opposite made reference, but we want to make sure that we get the process right. We have already spoken with the charity Mind on how we implement the judgment. The Minister for Disabled People, Health and Work in another place talked only yesterday with a disability charity consortium to discuss the decision and to hear its views on implementation. We will reach out to claimants and look at every one of them.

To be clear, we are spending over £50 billion on disabilities. We are entirely committed to this issue—indeed, it is one of the Prime Minister’s top priorities. I can confirm that this was never a cost-saving measure. The judge in the case made references to cost saving but we do not agree with that. Indeed, we have focused on being more generous through the introduction of PIP and, as a result of the judgment, we will rightly become even more generous in supporting people with mental health conditions.

Poverty and Disadvantage

Baroness Sherlock Excerpts
Thursday 14th December 2017

(6 years, 4 months ago)

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Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I thank the noble Lord, Lord Bird, and all noble Lords who are speaking today. Before I speak, I want to correct something I said in the House on Monday. In asking a Question about why kinship carers were being hit by the two-child policy, I said that the House had voted to exempt them from the rule. In fact, the House did not divide because the Minister responded to our amendment by conceding the argument and promising to bring forward regulations to exempt kinship carers. I am pleased to put the record straight and I apologise to the Minister and the House.

I cannot analyse the causes of poverty in three minutes, so I am not going to try. I am just going to do one thing and I hope the noble Lord, Lord Bird, will forgive me. I want to make the case for why the welfare state is the best bulwark against poverty—the best preventer of it that we have. It was created alongside our NHS and with a similar aim: that as a nation, as a community, we will pool our risks and ensure that if anyone falls on hard times, we will not leave them to suffer alone.

Social security plays a variety of roles. There is a safety net which is meant to stop anyone from being destitute—although it is being severely tested at the moment. Other bits of the system have different functions: some, like tax credits, are there to make work pay; some, like child benefit or child tax credit, are a transfer from the population as a whole to those with dependent children, because we all recognise that children are our future; some, like DLA or PIP, are there to recognise that some people have extra costs because they are disabled or chronically ill, or have disabled kids. Some recognise that bad things can happen to anyone—so, if you lose your job, get widowed, have an accident or get sick and cannot work, JSA or ESA kicks in. Having contributory versions of those benefits is really important as a collective insurance process for which the welfare state can pay. Some recognise that there are life stages when you need extra help: for the birth of a child or at retirement age, when the state pension kicks in. Of course, the state pension accounts for 41% of our total social security bill; JSA is just 1%.

We always need to make it better and it is never just about money but I believe that our welfare state, along with our NHS, is a testament to our values of social solidarity. But if we value it, we need to pay for it. The last OBR Welfare Trends Report stated that coalition policies would cut £33 billion a year from social security spending by the end of this Parliament, and this Government’s policies another £11 billion by 2020-21. The IFS, using Treasury and OBR data, projects that inequality will rise over the next four years and that child poverty will rise by seven percentage points.

Ministers often say that the system is unsustainable, but the best test of sustainability is the cost of social security as a percentage of GDP, which has barely changed for decades. However, the OBR predicts that if these cuts go ahead until 2020-21, the money being spent on children and working-age people will account for the lowest share of GDP since 1990-91. Politics is about choice. When Lupton et al analysed the coalition policies, they found that the social security cuts and tax breaks balanced each other out; they contributed nothing to deficit reduction. So it is about choices. Trouble could be around the corner for any one of us. Let us be proud of our commitment to walk with each other along the road of life. Let us be proud of the welfare state.

Kinship Carers: Two-child Limit Policy

Baroness Sherlock Excerpts
Monday 11th December 2017

(6 years, 4 months ago)

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Asked by
Baroness Sherlock Portrait Baroness Sherlock
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To ask Her Majesty's Government why kinship carers who subsequently have their own child are not exempt from the two child limit.

Baroness Buscombe Portrait The Parliamentary Under-Secretary of State, Department for Work and Pensions (Baroness Buscombe) (Con)
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My Lords, the Government acknowledge the immense value of care provided by kinship carers. We are working to ensure that they are supported by enabling them to access benefit entitlement in the same way as parents. We have introduced a number of exceptions to the policy providing support for a maximum of two children, to protect claimants who are unable to make choices about the size of their family. These already protected certain groups, including kindship carers. The department will keep, and is keeping, the impact of its policies on kinship carers under consideration.

Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, the reason why kinship carers were exempted from the two-child policy is that this House voted that it should be so. The Minister will be aware of the case, raised by my honourable friend Melanie Onn, of Alyssa Vessey. When Alyssa was 18, her mother died suddenly so she gave up college to care for her three younger siblings. This year, four years later, she has had her own baby. She applied for tax credits and a Sure Start maternity grant but she was turned down under the two-child policy. The reason is that the Government chose to implement the exemption in such a way that if Alyssa already had her own child and then took on her siblings she could get benefits for them, but because she took her siblings on and then had her own baby she was denied that support. Can the Minister explain this? When will the Government put it right?

Baroness Buscombe Portrait Baroness Buscombe
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My Lords, I think the noble Baroness opposite is aware that we are very much cognisant of this particular case. Indeed, my honourable friend in the other place who is the Minister responsible for this area, Caroline Dinenage MP, has responded with considerable sympathy with regard to this particular case. However, the Government believe all children should be treated equally and encourage parents to take the decision to have more children based on whether they can afford to support additional children.

Improving Lives: The Future of Work, Health and Disability

Baroness Sherlock Excerpts
Thursday 30th November 2017

(6 years, 4 months ago)

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Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I thank the Minister for repeating the Statement and for advance sight of it.

I am sure that we all share the same ambition: to become the kind of society where all people, including people with a disability, can have the opportunity to fulfil their potential. For most that will mean the chance to take on meaningful work, but any strategy to support that aim must also be set alongside a commitment to give adequate support so that those who cannot provide for themselves through work can be assured of being able to live in comfort and dignity. I will briefly do three things: welcome the parts of the strategy which are going in the right direction, flag up concerns, and then ask the Minister some questions at the end.

I welcome the focus on disability employment, and some of the steps announced today will undoubtedly be helpful. I welcome the ongoing commitment to work with employers, and in particular the commitment to work directly with disabled people who experience barriers to work, to identify solutions. They are of course by far the best-placed people to understand what those barriers are. I welcome the attention given to what public sector employers and the Civil Service can do, and I encourage Ministers to go even further in that direction in leading the way. I am glad that Ministers are considering carefully the recommendations of both the Stevenson/Farmer review and the Taylor review, and I look forward to hearing more about those in due course. I also welcome the attempt to link up both sectors and different parts of society in trying to address the problem. In the end, only a cross-departmental approach and a cross-sectoral approach will make a difference.

However, there are some significant problems with the document published today, or at least the context for it. First, I could not find in my first reading enough detail to allow us to assess whether the Government are putting enough resources behind this strategy to make a difference. Secondly, I am a bit worried about the timescale, which seems to have been pushed quite a long way back. The Government’s previous commitment was to halve the disability employment gap by 2020. Their new commitment is about getting more disabled people into work within 10 years. We are seeing the results of that, as far as I can understand the timeline; perhaps the Minister can help me. There is a timeline for what will happen, but some of the hardest actions here have no hard deadlines; for example, the commitment to engage in further reform of the work capability assessment; the response to the Taylor recommendations on SSP and the right to return after absence; and the Stevenson/Farmer proposals on extending certification of fit notes. I hope that I am misreading it, but it looks as if most of those are in the section headed “Future actions”, which could be run until 2027. That simply will not be soon enough. I very much hope that it will not be the case.

Thirdly, I am concerned that in some areas the actions do not deal with the core problem. The most obvious of those is the work capability assessment. The Government consulted on a proposal to split parts of the assessment but there was not unanimous support for that from respondents. In fact, there is now a widespread view that the WCA simply is not fit for purpose. Leonard Cheshire said in response:

“We’ve consistently highlighted that work capability assessments are not fit for purpose and the system needs a complete overhaul”.


Precisely. That is a widespread view, and I am afraid that what is being done today will not address that fundamental problem.

I am also concerned that there is nothing about the impact of social security reform on the ability of sick and disabled people to prepare for work, to get jobs and to keep them. In fact, there have been repeated cuts in support for disabled people, of which only the most recent was the decision not to bring across into universal credit the severe disability premium, which was worth £3,200 a year for a single person. The Government have always refused to conduct a cumulative impact assessment. One of the problems with that is that they do not know what the consequences have been for disabled people of their decision repeatedly to cut or to change the social security system. If there is a strategy on the one hand to support people getting jobs, but a completely independent approach to social security, which is Treasury-driven and keeps cutting the benefits that help people to manage work, inevitably the two are not sitting together. So I do not think that the Government have been able to look at this whole position in the round.

I would like to ask the Minister some questions. First, how much extra money is being announced today other than that scored previously to support the moving of disabled people into work? Secondly, can the Minister be more precise on timings? When will the Government consult on reform to SSP and on legislating to extend the authorisation of fit notes? Thirdly, what is there in this strategy to support disabled people who are not either in jobs or on disability benefits like ESA? I think, for example, of the issue raised by Mencap of the hundreds of thousands of people with mild or moderate learning disabilities, who do not get any help from either ESA or social services but are struggling to get work.

Will the Government commit to a fundamental overhaul of the WCA at some point during the lifetime of this strategy? I would like to see it done straight away, but I would be grateful if they could at least commit that that will happen. Finally, what work is being undertaken to test the processes for applying for universal credit to ensure that they are suitable for all disabled people before the system is rolled out any further? If that does not work, any attempts to help people to apply for jobs will fail if they cannot get the support they need to be able to maintain them when they get there.

We all want to see disabled people supported into work. However, for this to become a reality, the Government need to put their money behind their promises and push themselves to be ever more ambitious. I look forward to the Minister’s reply.

Lord Addington Portrait Lord Addington (LD)
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My Lords, I thank the Minister for repeating the Statement. It is also time that I declared a few interests that are relevant here: I am president of the British Dyslexia Association and chairman of a company called Microlink PC. That is important because Microlink provides assistive technology and designs support for those who are disabled and in work or education, starting with education.

As I went through this document and scanned the original one it became clear that we have hit the buffers, the point at which a great idea hits the practicalities and starts to fracture in terms of what can be done. My own disability—and the one that the group that I work for is concerned with—is regarded as an education disability. In fact, we are the biggest disability group, as those in the neurodiverse group make up 15% of the population. Very little in this document refers to this group. Our problems relate not to accessing buildings but to accessing systems involving, for example, computers or paperwork. This document does not really seem to have got hold of that. It has missed a group. It has also missed a group when it comes to access problems when dealing with, for example, form-filling and work and pensions support. Therefore, when the noble Baroness talks about assistive technology, will she make sure that every single government website is accessible through the assistive technology of voice recognition? If she cannot answer that, she has effectively already broken the terms of the Equality Act for this group.

To carry on in that vein, we all know that each group considers the problems they have to be the most serious, but other groups will emphasise the importance of other activities. However, one important question is: are people being maintained in work? Access to work—it is one thing that I can give a rousing cheer to—is probably the best kept secret. It is the most underused thing in the Government’s arsenal. Expanding that to support for maintaining people in work and allowing them to expand or change their roles will encourage people to stay on.

We have also been talking about mental health. A person with a disability generally suffers more stress, and stress can trigger or create mental health problems. Are we making sure that people are maintained and supported in jobs and allowed to expand their roles? Once again, I am not absolutely sure about that. There is a great deal of emphasis on getting people into work but not on maintaining them in work and giving them a career into the future. I would like to know where the emphasis is there.

So we seem to be missing a large group—dyslexics, dyspraxics and dyscalculics—and, to a lesser extent, those with high-functioning autism. They do not seem to have been referenced here, probably because, to be perfectly honest, they are a lower priority in the Department of Health. How will we access these groups? How will we make sure that individual support is available and that people can get the right support? Nearly 20 years ago when the noble Baroness, Lady Hollis, was the Minister in charge in this area, I had a ritual dance with her when we talked about the interview. Are the Government going to allow the person who conducts the interview to call in an expert? The interviewer will be awfully well trained but will an expert be brought in? If not, things will go wrong. Unless the noble Baroness can give me an assurance that some expertise will be structured in, the problems will continue. Expertise is needed to deal with the individual cocktail of needs in individual cases. Unless we can start to address these questions, we will continue to fail in this area.

Universal Credit

Baroness Sherlock Excerpts
Thursday 23rd November 2017

(6 years, 5 months ago)

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Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I thank the Minister for repeating the Statement and for advance sight of it. We welcome the concessions, modest though they are. However, we also need to recognise the limitations of what is on offer compared to the scale of the problem, an issue to which I shall return in a moment. The decision to remove the waiting days is particularly welcome. That period was increased to seven days by the Government as a cost-saving measure and it has significantly added to the pressure on universal credit claimants. So that is good news, although it is disappointing that that will not start until next February.

It is good that people who are in receipt of housing benefit when they begin to claim universal credit will have their housing benefit payments run on for two weeks. However, I have a number of questions about that. There is quite a lot of ambiguity in the documentation—one hopes it is not studied ambiguity, but certainly it is not clear quite what a lot of these things will mean. First, can the Minister confirm that that payment will be available to anyone moving on to universal credit, not just those who are going to get moved on en masse by the DWP in what it calls the managed migration programme? I am sure the answer is yes. If it is not, that would of course mean that if you happened to live in a universal credit area and something changed in your life—you had a baby, you started a new job, you got married or divorced—you would be forced on to universal credit, and you would need that money every bit as much as someone who was moved on in a year’s time. So will the Minister clarify that?

Secondly, if it is available to those who are “migrating naturally”—as the jargon has it—as opposed to in a group, what will someone get in housing benefit? Is it two weeks of whatever they happen to be getting? For example, if I were in low-paid work and getting a little bit of housing benefit, do I get two weeks of that, even though the reason why I am going on to universal credit might be that I have lost my job and normally I would get all my rent paid? Is it two weeks of my little bit or two weeks of the amount that I would be entitled to? Who will pay that? Is it the local authority? Is it actually a run-on of housing benefit or is the DWP paying an equivalent amount from the centre? If it is the latter, will anyone have to apply for it?

On the advances, it is good that from January 2018 new claimants will be able to borrow a 100% advance on their first month’s universal credit and that all advances can then be repaid over 12 months, as I believe is the case already for those transferring in from benefits, rather than six months for new claimants. When this is discussed in another place, though, Ministers often sound as if they think that giving people access to money is the same thing as giving them money. My bank gives me ready access to money. Unfortunately, that is called an overdraft; it is not in fact extra money. The Government have created a problem by forcing poor people on to a system where they have to wait six weeks—now five—for money, and the solution that they have come up with is to make them take on more debt. In effect, the system moves them from a six-week wait to a five-week wait and a large extra amount of debt. If you can borrow twice as much money but over twice as long a period, you are still paying back the same amount each month. The fact that UC is less generous than before also means that for a whole year, as well as getting less money, you have to survive on even less because you have to repay each month some of the debt that you were given to enable you to get through the first month.

So I ask for some clarification. Will this higher advance of 100% be offered to all claimants, not just to those coming over through natural or managed migration? Will it be an entitlement? At the moment, the DWP can refuse to give you an advance if it thinks either that you cannot afford to repay it or that you have money anyway or could get it. Will everyone be allowed to do it?

Most obviously, why did the Government not just move to two-weekly payments? There is already provision in DWP guidance for some people to ask, and to be allowed, to be paid fortnightly. Why did they not let everyone choose to do that instead of creating this five-week problem? Most people will not benefit from the housing benefit extra bit and will just get a six-week wait reduced to a five-week wait.

My other big point concerns the rollout. The Minister explained that the Government will slow down the rollout of universal credit, but the various things that she mentioned come on at different times. Some things start in January, there are other bits of help in February and the housing help starts in April. Why do the Government not pause universal credit for, say, six months, so that at least by the time it starts again, all those bits of help are in place? Otherwise, if you have the misfortune to find that it comes to your area in January, February, March or April, you will not benefit from some of them, although that is not your fault. Why do they not just pause it?

The Government pledged that universal credit will be simple to access, make work pay and lift nearly 1 million people out of poverty. In the excellent debate we had last week led by my noble friend Lady Hollis, we heard that it is failing on all fronts. During that debate, with the exception of a few touchingly loyal Members on the Government Benches, Members raised a whole range of problems about universal credit, of which only the most obvious was the six-week wait. None of those have been addressed at all. There was nothing in the Budget Statement to improve the taper or restore work allowances to make work pay, nothing to deal with the mess for self-employed people on UC.

The Minister mentioned in the Statement the problem of cliff edges in the previous system, but there is nothing to deal with passported benefits. A consultation out at the moment suggests that if a family earns over a certain amount, it immediately loses all entitlement to free school meals, so an extra hour’s work can mean that you lose free school meals for all your kids. That is the very definition of a cliff edge. Crucially, there is nothing to deal with the year-on-year cut in the real-terms value of universal credit, which has been frozen, along with most other working-age benefits. So I am sorry to say that there is nothing to stop the inexorable rise in inequality—especially child poverty, which the IFS has modelled so carefully.

I really do welcome these measures, but they are modest. They are worth about £300 million a year in the context of many billions of pounds of cuts. I fear that universal credit is like a great big liner. As it steams along, the Government have put a bit of water on the fire on the deck that everybody was pointing to while not, I am sorry to say, doing anything to stop the ship heading for the rocks, having already been holed by the Treasury in successive, very significant cuts. I urge the Minister to turn her attention next to the substantial problems within universal credit.

Lord Kirkwood of Kirkhope Portrait Lord Kirkwood of Kirkhope (LD)
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My Lords, I am happy to follow the noble Baroness, Lady Sherlock, and I agree that the statement that we had in the Budget deals only with the journey on to—the gateway into—universal credit. I welcome the Statement. To be realistic, if the Government had not said something, it would have been impossible to resist the pressure to delay the further rollout of universal credit, and I do not agree that that would be sensible—I never have.

I have two questions for the Minister. For the reasons that the noble Baroness, Lady Sherlock, set out at length, the delivery of these changes will be difficult. Can she assure us that they will land, be locked in and operate to the benefit of claimants in future, without fear of further disruption, letdown and distress? It is a very tall order. Some of these changes start next month. Given the background to the operational implementation of universal credit, it is not unreasonable to be suspicious about the implementation of the immediate changes that have been announced, welcome as they are. Can the Minister assure us that she personally will ensure that they all work and will make claimants’ lives easier, and that she will report to the House regularly on the success or otherwise of the rollout?

But these are only gateway measures; they are only easing the transition to universal credit. The noble Baroness, Lady Sherlock, is quite right: the rising costs and fixed benefits that low-income households are facing will condemn some of these families to a very bleak future. That necessitates my second question: will the Government start planning to use some of the £3 billion annual savings within UC alone—never mind the other ongoing cuts and freezes—to ease people’s road into work by increasing work allowances and tapers? If we do not do something of that kind, it will be very difficult successfully to promote the programme of progression through work into sustainable longer-term jobs and careers.

Once the difficulties of getting people on to universal credit are overcome, and people are in a steady state of receiving their universal credit payments monthly, the next big political battle will be trying to get the Government to be more realistic about the money available to support people when they are on universal credit.

Mental Health at Work

Baroness Sherlock Excerpts
Wednesday 1st November 2017

(6 years, 5 months ago)

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Baroness Buscombe Portrait Baroness Buscombe
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I entirely agree with the noble Lord and thank him for giving me early notice of his question. The West Midlands commission has undertaken important research into mental health and its impact on the public sector. Government officials are working positively with the West Midlands Combined Authority to explore ideas and undertake work that will support positive action on mental health in the region. The noble Lord is right to say that different things have to be looked at, including different ways of improving people’s health and well-being. Indeed, as the immediate past chairman of the advisory board of the Samaritans, this is something very close to my heart. However, I cannot confirm an answer to his question referring to costs, so I will write to him.

Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I, too, welcome this report. The authors state at the beginning:

“We start from the position that the correct way to view mental health is that we all have it and we fluctuate between thriving, struggling and being ill and possibly off work”.


I have to say that I love that; it is a really positive way to understand mental health. I realise that the Minister will need to take time to reflect on the recommendations in the report, but when she comes to respond, will she acknowledge that her department has a couple of specific responsibilities? The first is that it is an enormous employer with more than 80,000 staff: and, secondly, it runs programmes with the unemployed. Will she ask her department to think about recommending how it might go about modelling with its own employees a healthy environment for mental health? More specifically and perhaps more challengingly, will she reflect again on the programmes for assessing whether people who are suffering with mental health problems should be in work? I ask this because there have been a number of concerns that the nature of the assessments is actually making people’s mental health worse rather than better.

Benefit Rate Freeze

Baroness Sherlock Excerpts
Monday 30th October 2017

(6 years, 5 months ago)

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Baroness Buscombe Portrait Baroness Buscombe
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My Lords, we do care, and that is why we are incentivising people into work. All our research shows that workless families are most likely to drive children into poverty. In terms of our reforms, we introduced 15 hours of free childcare for working families. From September this year, we have doubled that from 15 to 30 hours a week in England, worth on average up to £5,000 a child. Since April 2016, the universal credit childcare element has covered up to 85% of eligible childcare costs compared with 70% with working tax credits.

Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, these benefit freezes are not reforms; they are simply a cut. Benefits used to rise in line with inflation every year until the Government decided that in future they would not. They have been frozen in cash terms, so all that happens is that people have the same amount of money to pay for food and rent in 2020 as they did in 2015 while inflation goes up. That simply cannot be right. These are people who are too sick to work, who have small children or who are in work but cannot earn enough to pay for the running costs of their household. Therefore, I ask the Minister again: do the Government care about the poorest in our society? If they do, what are they going to do about it, because fine words butter no parsnips?

Baroness Buscombe Portrait Baroness Buscombe
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My Lords, as I have said to noble Lords opposite, we do care, but we are absolutely clear that work is the best way to get children, in particular, out of poverty. That is why we want to incentivise work, which is the best route, but we need to focus on making sure that people see their wages rise and take home more of their pay packet once they are in work. Our reforms include increasing the national living wage for workers aged 25 and over, cutting income tax for over 30 million people and extending free childcare for working parents.

Grenfell Tower: Tenants

Baroness Sherlock Excerpts
Wednesday 5th July 2017

(6 years, 9 months ago)

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Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, may I unpack this a little bit? I add my welcome to the Minister; I am just sorry that her first outing in this brief is in the circumstances, but I look forward to engaging with her on other subjects.

My noble friend is trying to explain that if, as the Government have promised, they rehouse families who were living in Grenfell Tower nearby at the same rent, because they are having to rehouse a lot of people very quickly in an expensive area, there is a reasonable chance that somebody will end up in a bigger house than they would normally have. At that point, the bedroom tax will kick in and they will end up having their benefit cut.

I understand the Minister wanting to say that local authorities have discretionary funds. The only problem with that is that they are temporary and discretionary. If the family is going to move into a permanent house, they want the reassurance that they can stay there for as long as they want—as long as the kids are in school—to carry on being able to make a new home. I know that her department is trying very hard to work with these families, but will she look again at this and try to find a permanent solution?

Baroness Buscombe Portrait Baroness Buscombe
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I thank very much the noble Baroness for her question and her welcome. I absolutely understand where she is coming from. First, I make it absolutely clear that all emergency and temporary accommodation is rent free for everyone affected. The noble Baroness will know that it is very difficult for us to compel local authorities to ensure that there is no shortfall but, that said, we are doing everything in our power to ensure that that simply does not happen.

As for the benefit cap and the removal of the spare room subsidy, it is for the Department for Communities and Local Government to manage the accommodation, but we can say that those placed in temporary accommodation are not subject to the removal of the spare room subsidy. We have already relaxed the benefit rules for anyone affected by the Grenfell Tower fire, and our staff are handling people’s claims with sensitivity. All I can say is that we are doing everything that we can in our power to ensure that people will not have to suffer a shortfall if they are moved on a permanent basis into a larger property.

Bereavement Benefits

Baroness Sherlock Excerpts
Thursday 6th April 2017

(7 years ago)

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Lord Henley Portrait Lord Henley
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My Lords, I am aware of the letter that my noble friend refers to. My right honourable friend will answer it in due course. I can give an assurance that we have consulted on these matters—my noble friend will be aware of this because she was a part of it—legislated on them and consulted on them again. We made changes to the regulations before we introduced them and we have made a commitment in the impact assessment that there will be a further review. Nevertheless, I will convey my noble friend’s concerns to my right honourable friend, and I am sure that, his door always being open, he will be more than happy to see her.

Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I also signed the letter and was pleased to do so. There is genuine feeling around the House that the Government have made a mistake on this. What will happen in practice is that a six year-old who lost her father last year will be supported until she leaves school; if her father dies next year, that support will stop after 18 months. That cannot be right. I know that I gave the Minister a hard time a few weeks ago when the regulations were in Grand Committee, but I do not blame him; I know that he did not make the decision. I think that we are now at the point where the whole House recognises that the Government have made a mistake. These cuts were simply part of an attempt to cut £12 billion off social security. The House does not believe that the Government should be taking money away from bereaved children. Will he please tell his Secretary of State that?

Lord Henley Portrait Lord Henley
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My right honourable friend will obviously listen to what the noble Baroness has had to say, but I reject her allegation that these are cuts. There will be no savings to the taxpayer in the first two years; thereafter, as was made clear in the impact assessment, there will be some savings. The important point to get over is that we have increased the initial payment, which was frozen by the previous Government in 2001 and remained frozen for many years, from £2,000 to £2,500. We then make payments for 18 months to those with children. Obviously, no element of money will resolve the problems that individuals who have lost one or other parent will have. This is designed to help with the immediate costs of that bereavement. That is why we think that, by increasing the initial payment, we have made a very real change and provided some support for those with children.

Local Authorities: Relationship Support Services

Baroness Sherlock Excerpts
Wednesday 5th April 2017

(7 years ago)

Lords Chamber
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Lord Henley Portrait Lord Henley
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I am grateful to my noble friend for that question and I can give her an assurance that we will be evaluating phase one of the programme, which has been completed, and then phase two, about which I have just given details. We aim to publish an evaluation of phase one later in the summer, whenever that might be, and in due course we will consider an evaluation of phase two.

Baroness Sherlock Portrait Baroness Sherlock (Lab)
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My Lords, I should like to return to the answer given by the Minister to my noble friend Lady Lister. Perhaps he should go back to his own paper entitled Improving Lives: Helping Workless Families, which came out yesterday. Paragraph 33 cites evidence that problem debt and financial burdens can put pressure on relationships. It attributes those issues to persistent low income and income shocks. Will he think again not only about the damage that has been done by cutting £12 billion off social security for those out of work? Also, given that this is aimed at workless families, if the DWP wants to get them back into work, why is the department persisting in cutting in-work benefits, the very things that make work pay? Before the Minister tells us more about the living wage, perhaps I may remind him of what he knows already. Most of the living wage for the poorest people goes straight back to the Treasury in taxes and lower benefits. Will the department look again at its strategy and make work pay?

Lord Henley Portrait Lord Henley
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There is no need for the noble Baroness to try to answer my question because I will answer it in my own way.