Welfare

Baroness Thomas of Winchester Excerpts

Monday 21st March 2016 Lords Chamber

[Lord Freud]

The welfare reform programme is massive and we are pushing ahead with it. At its heart is universal credit, which is now moving at a pace. As I speak, more than 400,000 people have made an application for universal credit. We have a lot more to do, and we have a lot to do to implement the Bill that we have just passed. I have to disappoint the noble Lord by saying that there are no plans to reconsider the changes to ESA WRAG that we put through in that Bill.

[Baroness Thomas of Winchester (LD)]

My Lords, it is excellent news that the cuts announced in the Budget have been abandoned, but there is an existing cut that urgently needs to be reversed. It has had less attention but is badly affecting working-age claimants of PIP. I refer of course to the 20/50 metre issue in the “moving around” section of the PIP assessment, which is resulting in 400 to 500 Motability cars a week having to be handed back. Will the Minister ask the new Secretary of State to look at this again, not least because reversing the cut would save money by helping many disabled people to get into work and pay taxes?

[Lord Freud]

At one level, the new Secretary of State will clearly look at his whole portfolio with a critical eye. At another level, there may be changes in who gets the higher-rate mobility component to allow them to qualify for the Motability scheme. More people are on the higher rate under PIP than was the case under DLA. Indeed, more people with mental health issues are going on to PIP than would have received DLA. So, while there is a change in who gets the top-level mobility component and is therefore entitled to the Motability scheme, the absolute number qualifying for the Motability scheme is now moving up. As I said, there are now 24,000 more people on the Motability scheme than there were in 2013.