Oral Answers to Questions

Gill Furniss Excerpts

Monday 18th March 2024 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

Time and again, pensioners have been let down by this Government. They suspended the triple lock, breaking a key manifesto promise; their disastrous mini-Budget knocked hundreds of billions of pounds from pension pots; and their failure to get a grip on the cost of living means that pensioners are mainly living in cold homes over the winter and have a choice between heating or eating. Against this backdrop, is the Minister at all surprised that almost one in five pensioners are now living in poverty?

[Paul Maynard]

It is as if the shadow Minister has not noticed the almost £900 of cost of living payments made to pension credit recipients across the country over the last year. I know the Opposition have relied on last week’s Resolution Foundation report to criticise what we are doing, but this is what the report actually says:

“‘Pensioners used to be by far the most likely to be in poverty…now they are the least likely.’ This change in the relationship between old age and low income is one of the most profound social and economic changes this country has seen”.

We achieved that under this Government, not under our failed Labour predecessors.

Draft Occupational Pension Schemes (Funding and Investment Strategy and Amendment) Regulations 2024

Gill Furniss Excerpts

Wednesday 13th March 2024 General Committees

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

It is a pleasure to serve under your chairpersonship, Dame Maria.

The regulations will place additional duties on the trustees of defined-benefit pension schemes to help ensure good practice. As the Minister pointed out, the vast majority of those schemes are already well run by dedicated trustees who want to do right by their members, but we know that that is not universal and we support measures to ensure that people’s money is well looked after.

The defined-benefit pensions sector is an evolving industry. As has been highlighted, the last significant legislation relating to it dates back to 2004-05, a time when many defined-benefit schemes were open. The landscape has changed significantly, and it is vital that regulation keeps up. For instance, research shows that many large schemes are yet to set long-term objectives. The requirements in the regulations should, I hope, help to fix that.

Turning to the consultation, I am aware that, while many stakeholders were supportive of the objectives of the regulations, concerns have been raised about the extra administrative burden that they may incur. I am also concerned that underfunding could be a risk to scheme members and pension protection funds, and I would welcome the Minister’s reassurance on that point. Will he outline what discussions he has had with the Pensions Regulator on its implementation of the flexibility that it may well be awarded? Could we please have more guidance on what exactly will be required from each DB scheme?

We will not oppose the regulations and we hope that they are successful in promoting good practice across the sector. I thank the Minister for his explanation of the changes, and I look forward to his answers about extra guidance for affected schemes and to the questions that I have just raised.

State Pension Changes: Women

Gill Furniss Excerpts

Tuesday 12th March 2024 Westminster Hall

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

It is an honour to serve under your chairpersonship, Sir Gary.

I thank the hon. Member for Strangford (Jim Shannon) for raising this debate. He was kind enough to participate in my recent Westminster Hall debate on school libraries, and I am delighted to return the pleasure by attending his debate and responding for the Opposition. I also thank the many Members who have turned out today and spoken so eloquently, demonstrating so much understanding of this long-standing issue. I have to declare an interest because I too am a WASPI woman in my 50s. I put that on the record.

As we all know, many women get a rough deal from their pension. Women live around seven years longer than men, meaning our pension wealth needs to go further, yet on average we retire with pension savings of only £69,000 compared with £205,000 for men. Pensions were introduced at a time when the workforce was predominantly composed of men as the primary or sole breadwinner, with women expected to rely on their husbands’ pensions for an income in retirement. We were systematically denied the opportunity to achieve our own economic independence and security. Thankfully, legislation and societal attitudes have come a long way since the 1970s, but the impact of those historical practices continues to affect women’s economic status in retirement. Even today, women’s average pay is equivalent to 75% of a man’s and a lower salary will inevitably result in lower pension contributions and worse retirement outcomes.

[Christine Jardine (Edinburgh West) (LD)]

I thank the hon. Member for giving way and also congratulate the hon. Member for Strangford (Jim Shannon) on bringing the debate. On the inequalities the hon. Lady talked about, although many of us are not directly affected, there cannot be a family in this country that does not have a woman or a close relative who has been affected. Does she think that perhaps the Government need to reexamine whether they fully appreciate the scale of the problem and that they should listen to those of us who have been fighting this cause since the day we were elected, which is many years now?

--- Later in debate ---

[Gill Furniss]

Yes, I absolutely agree with the hon. Member and certainly we are aware of the gender pay gap, which is getting bigger and bigger. I have referred to the fact that women generally live longer than men, so they lose out at that end as well, in that they get only half a pension if they are widowed.

Many of us have taken extended maternity leave to be with our children during their formative years, and we shoulder a disproportionate burden of care. By the time they are 46, half of all women will have taken time out of the workplace for care purposes, including stepping up to look after elderly relatives, meaning they will miss out on vital contributions to their workplace pension. Even if they are one of the three quarters of working-age women in employment, there is a 33% chance they are in part-time employment, increasing the likelihood that they will miss out on the benefits of auto-enrolment under the current regulations.

Under the last Labour Government, pensioner poverty halved. Yet on this Government’s watch it has risen so that one in five pensioners now live in poverty. That is scandalous.

[Gavin Newlands]

The hon. Member has made some strong points so far. She is talking about the last Labour Government. The last Labour manifesto promised £58 billion over the course of the next Parliament to give compensation to WASPI women. Will that be in the upcoming manifesto for the next election?

[Gill Furniss]

I am not here today to announce our manifesto or any of our manifesto commitments.

[Gavin Newlands]

I thought the hon. Member might say that.

[Gill Furniss]

However, I can say that I have been meeting the WASPI women regularly since I took this role just a few months ago. I am honoured to be in what I believe is a friendly and honest dialogue with them, and I will continue to do that throughout the coming months and beyond, should I be in the same position.

[Alan Brown]

If the hon. Member’s dialogue is a friendly and honest one, she should be able to say whether the Labour party agrees with the principle of compensation for the WASPI women.

[Gill Furniss]

I believe I have already answered that. I am not here to announce our manifesto. I am here to debate like those who have already and I am here to listen, but I cannot announce our manifesto.

[Patricia Gibson]

I thank the hon. Lady for giving way; she has been very generous. I just want to ask her on a personal level—forget the Labour party, forget the Government, forget all of that—

[Gill Furniss]

Oh yes, that is going to happen.

[Patricia Gibson]

On a personal level, does she think that WASPI women should receive the full compensation they are due?

[Gill Furniss]

As I said, I am not going to announce our manifesto commitment. Like the hon. Lady, I am here to press the Government who are now in power and have the ability to act. [Interruption.] As a WASPI woman, the hon. Lady would probably be able to guess, would she not? That is all I will say on that subject at the moment.

Two thirds of pensioners living in poverty are women. For many of us, a lifetime of inequalities will continue into retirement. The sadness of the situation lies in how many WASPI women have lost their lives during the time the Government have wasted not doing what they should do. Many women left their careers to look after elderly relatives or to cope after years of manual work, safe in the knowledge that they could get by on their savings for a handful of years until they reached their state pension on turning 60, but found to their horror that their state pension had changed, seemingly without warning.

Over the years, I have heard harrowing stories from both constituents and friends who are truly struggling, torn between whether to heat or to eat and unable to cope with the costs of their mortgage or rent. Pensioners are among those hit hardest by the cost of living crisis, and the Government’s failure to get a grip on the situation has led to rampant inflation and food prices spiralling out of control.

Although I support the policy of state pension age equalisation, it is painfully clear that the way in which it was carried out was shambolic at best. Groups such as WASPI were formed not to reverse the policy of state pension age equalisation, but to mitigate its effects. I commend the group for its work in securing an investigation by the Parliamentary and Health Service Ombudsman and its subsequent legal victories, including securing changes to the report. As we speak, the PHSO is still investigating actively. Although I do not wish to speculate on what their findings might be, it is a fact that they found that the DWP committed maladministration in how it decided to inform 1950s-born women of the changes.

I will always listen to and engage respectfully with campaigners fighting to right historical injustices, from WASPI women to the Allied Steel and Wire workers. Although I have not been in my role long, I have met representatives of the 1950s-born women on multiple occasions, and I had already met them at previous Labour party conferences. I will be honoured to continue going forward with them and keeping that dialogue open over the coming months and beyond.

I know that the Minister, like me, has been in his role for only several months, but I am sure it is apparent to him that the injustice these women have faced is clear. The poverty that many of them continue to face is also clear. These women desperately need a resolution to the maladministration to which they have been subjected. I therefore urge the Minister to act now to put that injustice right as quickly as possible, and I look forward to continuing the dialogue with the WASPI women going forward.

[Sir Gary Streeter (in the Chair)]

I remind the Minister to leave at least two minutes for Jim Shannon to have the final say.

Draft Occupational Pension Schemes (Collective Money Purchase Schemes) (Amendment) Regulations 2023

Gill Furniss Excerpts

Tuesday 27th February 2024 General Committees

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

As usual, it is a pleasure to serve under your chairpersonship, Mrs Harris. The Minister has covered all the technical details, so I will not repeat them, even though they are important to why we will not be opposing the draft instrument.

As we have heard, the instrument makes technical amendments to clarify two areas of regulations relating to collective defined contribution pension schemes. The first is to mitigate the impact on members when reductions to benefits need to be made. The second is to provide clarity on the categories of flexi-access drawdown fund to which accrued rights in a CDC scheme that is being wound down can be transferred.

We will not be opposing the measure, and we hope that it represents a step forward in getting CDC schemes up and running. To date, only one pension scheme has been granted CDC authorisation—the Royal Mail collective pension plan, which my former colleague Jack Dromey worked very hard to secure. The journey up to this point has been challenging, and I commend those in Royal Mail and the union representatives who were able to reach that milestone agreement. It is important that the remaining regulatory hurdles are cleared as soon as possible so that they can actually launch the CDC scheme. I welcome recent progress in that area, particularly from the Department for Work and Pensions side. However, I understand that new tax legislation and guidance is still outstanding. I hope that will be resolved in the upcoming Budget. From his conversations with colleagues in the Treasury, could the Minister confirm whether that is the case?

To conclude, we support efforts to get CDC schemes off the ground as soon as possible, so, as I have said, we will not oppose the draft instrument. I know that many in the pension sector are eagerly awaiting the launch of the Royal Mail scheme; I hope that that is now in the very near future, and I look forward to seeing its progress.

Oral Answers to Questions

Gill Furniss Excerpts

Monday 5th February 2024 Commons Chamber

[Mr Speaker]

The good news is that Mrs Shannon is still giving him advice. I call the shadow Minister.

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

One of the simplest ways to get people saving for the future is by ensuring that they are enrolled in a pension scheme, but all too many are currently excluded from auto-enrolment, particularly women, who are twice as likely to miss out. The Government have known about this problem for years. They first proposed widening the criteria in 2017. Last year, thanks to a private Member’s Bill, the Minister was given the power to do just that, but still we have seen no update on when this will be implemented. Can the Secretary of State shed light on when these vital changes will take place?

[Mel Stride]

The hon. Lady draws attention to savings for women. I have already stated that 40% of women invested in workplace pensions back in 2012, and that has skyrocketed to 86% today. There are now 2.3 million employers providing pensions through the auto-enrolment route, and there is £29 billion more in workplace pensions in 2024 than was the case in 2012. The hon. Lady refers, I think, to the 2017 review, which I have already referred to. That is currently under review.

Draft Occupational Pension Schemes (Amendment) (Equal Treatment) (Northern Ireland) Regulations 2023 Draft Pensions (Pension Protection Fund Compensation) (Northern Ireland) Regulations 2023 Draft Pensions Act 2004 (Amendment) (Pension Protection Fund Compensation) Regulations 2023 Draft Pensions Act 2004 and the Equality Act 2010 (Amendment) (Equal Treatment by Occupational Pension Schemes) Regulations 2023

Gill Furniss Excerpts

Tuesday 21st November 2023 General Committees

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

It is a great pleasure to serve under your chairpersonship, Sir George. I thank the Minister for his explanation of the statutory instruments and welcome him to his place. I look forward to working collaboratively with him on issues where there is cross-party consensus, and I believe there is much we will agree on in regard to pensions.

Today’s statutory instruments are wholly necessary to maintain the same legislative framework following the expiry of certain EU laws on 31 December, so we will not oppose them and my speech will be short. Action is needed given that, under section 4 of the European Union (Withdrawal) Act 2018, the principles of EU law will sunset at the end of this year. The purpose of the regulations is to ensure that the effects of the Hampshire and Hughes judgments will be preserved in domestic legislation. I would be grateful if the Minister confirmed that the regulations are intended to ensure only that everything stays in its current state after the relevant EU laws are sunsetted. Will any businesses need to make any adjustments?

I also want to note some concern that the regulations are being brought forward only weeks away from 31 December, when the relevant EU laws cease to apply. Has all the necessary EU legislation within the Minister’s brief now been enacted in domestic law ahead of that deadline?

As I said at the outset, the regulations are necessary and we will not oppose them. It is my understanding that they ensure simply that there is no ambiguity in this area when the equivalent EU laws are sunsetted at the end of this year. However, I will be interested to hear the Minister’s response to the specific points I have raised.

Oral Answers to Questions

Gill Furniss Excerpts

Monday 13th November 2023 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

New figures on pension credit update have shed light on the catastrophic failure to get money to the people who desperately need it. Up to 880,000 pensioners are now missing out. Thousands of households would be so much better off and able to keep the heating on and food on the table this winter. Underpinning the figures is a huge drop in uptake among the under-75s, with a fall of up to 20%. With so many new pensioners seemingly unaware of their entitlement to pension credit, will the Government stop burying their head in the sand and get a grip now?

[Guy Opperman]

It is good to welcome the hon. Lady to the Dispatch Box; I have not previously had the chance to answer her questions. We have undertaken TV campaigns, internet campaigns and campaigns on the radio, in print and on social media—the great Len Goodman assisted us in that regard before his passing—so there is fantastic support across all aspects. The hon. Lady should be aware that pension credit applications were up 75% in the year to May, and we have never had so many people as we are now seeking to encourage to apply. Absolutely, the Government are fully behind the pension credit campaign.

Disability Benefits: Assessments

Gill Furniss Excerpts

Monday 4th September 2023 Westminster Hall

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

The hon. Member has made some fantastic points. Figures show that only 11% of applicants are successful in challenging the PIP award as part of the mandatory consideration process. Applicants who take their appeal to tribunals, where a judge makes a decision, are awarded their enhancement nearly 80% of the time. Does that not say that judges are becoming the doctors? Surely that is the wrong way round.

[Elliot Colburn]

I am grateful to the hon. Lady; she makes a good point. She has glimpsed a bit further into my speech, but if she is happy to bear with me I will certainly cover that point.

Without adding too much to the list of asks for the Minister, what does he think about giving a greater role to specialists who are more known to the claimant?

I want to move on to talk about the assessment process and the wider system. Often, claimants, faced with something with which they have previously had little or no contact, will talk about a sense of interrogation or mistrust between them and the assessor—I have heard those words from claimants many times. As I say, almost every conversation I have had with a constituent or one of the petition creators has been prefaced with a line about nervousness, stress or other emotions in the lead-up to the assessment, alongside any physical or mental difficulties that a claimant may have. All too often, perhaps unintentionally or unwittingly, they are left feeling like they are a case number rather than a person.

Let me bring up another example, which is also about a PIP claimant with mobility-based problems. They turned up for their assessment and the lift in the assessment centre was broken. Despite their mobility issues and fearing that if they were not able to attend there might be consequences, they attempted to climb the stairs. After a significant amount of time, they managed to arrive for their assessment, but it had caused them a great deal of pain and a lot of stress, and the fact that they were able to get up the stairs was then used against them in the report.