Housing Benefit (Under-occupancy Penalty)

Guy Opperman Excerpts

Wednesday 27th February 2013 Commons Chamber

[Dr Whiteford]

I say to the hon. Gentleman that perhaps those people in Reading would like to look north of the border, where building social housing has been the long-term solution to tackling the lack of affordable housing. This problem will not be solved by taking housing away from one needy group and giving it to another. As I have said, there will be a disproportionate impact on disabled people and most of the people affected by this policy are already among the most disadvantaged in our communities.

[Guy Opperman (Hexham) (Con)]

Will the hon. Lady give way?

[Dr Whiteford]

No, I want to make some progress. I say to the hon. Member for Reading East (Mr Wilson) that the real challenge for local authorities is how to house people who are likely to be on very low incomes. If people who are older or who suffer from ill health are moved out of their homes, that will create another headache and push people into more expensive private rented accommodation.

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[Dr Whiteford]

It is clear that rents in Scotland are not out of control as they are in London. Many of the problems with housing benefit have been fuelled by the vast over-inflation of the rental market in London and the south-east.

It is important that we remember that some of the disabled people who are subject to the bedroom tax are the same people who will lose their disability living allowance when it becomes the personal independence payment or whose support will be reduced significantly, and that some may lose their employment and support allowance, particularly if it is time-limited. Nevertheless, all those people will still have to deal with the same impairment or long-term health condition that they had before, and will still face the same physical, economic, attitudinal and communication barriers when they attempt to access the labour market and get on with their daily lives.

The Government have paid no heed to the cumulative impact of their measures on disabled people—a cumulative impact that will have disastrous consequences for thousands of people.

[Guy Opperman]

I am most grateful to the hon. Lady for giving way. May I draw her back to fundamental principles? I am listening to the argument that she is making with interest, but there is one fundamental point that the architects of the motion do not address. Is it accepted that the housing benefit bill, which is rising, needs to come down—yes or no?

[Dr Whiteford]

The reason that the housing benefit bill is so high is that we have had a recession that has pushed people out of employment. One of the trite suggestions that we have heard repeatedly from the Government in trying to defend this indefensible tax is that people should just pick up a few extra hours’ work here or there to meet the bedroom tax. Since the start of the financial crisis, underemployment has soared. Millions of people have seen the prospect of overtime vanish and their working hours cut. According to the TUC, there are 3.3 million people across the UK who are working part time, but who want to be working full time. That is twice the pre-recession level. When we look at the steep rise in housing benefit, we therefore have to look at the inflation in the housing market in some parts of the country and at the underlying economic drivers of unemployment and poor economic performance.

Welfare Benefits Up-rating Bill

Guy Opperman Excerpts

Tuesday 8th January 2013 Commons Chamber

[Greg Mulholland]

The hon. Gentleman is obviously not listening. I have said that it has been made clear that getting rid of that borrowing will take longer and be more challenging. However, let us also be clear that if Labour were in government, we would be like Greece. [Interruption.] Labour Members cannot apologise and they shout people down when things that are true are said. The reality is that difficult discussions had to be made when we found out last autumn that the situation was more difficult and that further cuts would have to be made over a longer period. That would be the reality whoever was in government.

[Guy Opperman (Hexham) (Con)]

Does the hon. Gentleman agree that this is about choices? Certain choices have to be made in what everybody accepts are very difficult circumstances. Nobody likes doing what we have to do today, but it is a job that we have to do if we are to sort this economy out.

[Greg Mulholland]

It is indeed about choices, and two parties are having to make those choices while the Labour party refuses to make any choices. Labour Members are saying nothing about what they would do or even telling us a single cut that they would reverse.

Ministers from the two parties have sat down and developed a reasonable strategy for reducing the welfare budget. I remind the House that it costs us more than £220 billion a year—more than we spend on health, education and defence combined. Labour Members conveniently forget that they went into the last election with a commitment to reduce that.

At the same time, the Liberal Democrats were clear that there were red lines that we would not cross. We clearly said that we would not accept getting rid of housing benefit for the under-25s; penalising people who have more children; a freeze on benefits; a reduction in benefits; or £10 billion in cuts. What we have now is a much smaller reduction in the budget, but one that is still significant and necessary. The solution is that everybody on benefits, apart, crucially, from those most vulnerable groups, as it is welcome that DLA, attendance allowance, disability carer and pension premiums in the ESA support group have been excluded and will continue to get benefits uprated by CPI—

Oral Answers to Questions

Guy Opperman Excerpts

Thursday 22nd November 2012 Commons Chamber

[Mr Vaizey]

I am happy to confirm to the hon. Lady that the Government are doing an enormous amount to help libraries. We have given responsibility for libraries to the Arts Council, which has set up a £6 million fund to support them, and we have appointed a new libraries adviser, Yinnon Ezra. We are piloting the compulsory membership of libraries for schoolchildren and we have the Seighart review on e-lending. We continue strongly to support libraries. This is not about legislation; it is about action.

[Guy Opperman (Hexham) (Con)]

Under the previous Government, broadband provision in Northumberland was woeful, disorganised and underfunded. That situation is slowly improving, which brings great benefits. Will the Minister meet me—rather than the sports Minister having that pleasure—and fellow representatives in Northumberland, to discuss how we can improve the provision of broadband in Northumberland?

[Mr Vaizey]

As a matter of principle I never refuse a meeting with an hon. Member under my portfolio, and I would be happy to meet my hon. Friend—in fact, I would be delighted.

Oral Answers to Questions

Guy Opperman Excerpts

Monday 23rd April 2012 Commons Chamber

[Chris Grayling]

The only young unemployed people in Haringey not entitled to access funding under the youth contract are those who have not been out of work for very long. I genuinely share the hon. Gentleman’s concerns about young black unemployment, and that is one reason why we have created for Jobcentre Plus the flexible support fund, which enables our local offices to target support, as it is indeed doing in Haringey, at organisations such as the Tottenham Hotspur Foundation, which is working with young black people. The figures that the Labour party keeps putting forward about long-term youth unemployment are completely distorted by the fact that it used to hide people in the training allowance, which did not show up in the figures, and we no longer do that.

[Guy Opperman (Hexham) (Con)]

14. What steps Jobcentre Plus is taking to use the flexible support fund to support claimants into work.

[The Secretary of State for Work and Pensions (Mr Iain Duncan Smith)]

Referencing that last answer, we are all rather proud of the flexible support fund. It is a bold scheme that changes the direction of travel for jobcentres, which until 2011 worked in a static and rigid way. We are getting more flexibility, and the flexible support fund allows advisers to target money at individuals who may need support in getting to job interviews or buying the right kind of clothing, which is a big and bold change.

[Guy Opperman]

How has the flexible support fund actually provided funding to local partnerships to address those barriers to work, and will the Secretary of State write to me with specific evidence relating to the north-east?

[Mr Duncan Smith]

Indeed I will write to my hon. Friend. We have looked again at the flexible support fund and increased its flexibility and what advisers can do. Let me give some examples. General advisers in jobcentres can give up to £300—raised by over £100—to whatever specific area they think needs it. Senior operational managers can give up to £500, district managers can give up to £50,000, and work service directors can give up to £100,000, so the scope is there for them to do that flexibly. Many awards have been made, for example £985 for a class 1 HGV driver’s licence, so there is scope. I advise right hon. and hon. Members on both sides of the House to remind their young unemployed and other unemployed constituents that there is scope for them to be supported if they have difficulties.

Work Experience

Guy Opperman Excerpts

Tuesday 13th March 2012 Westminster Hall

[Mr Marcus Jones (Nuneaton) (Con)]

It is a pleasure to serve under your chairmanship, Mr Howarth. I am delighted to have been able to secure this important debate on work experience. I am also delighted to see so many hon. Friends and hon. Members from throughout the House in the Chamber today, to debate a subject that not only is topical and relevant to the recent newsfeed but has seen the concept of work experience turned into a matter of political ideology, rather than of pragmatism in how to help our young people and create opportunity for them. I bring the subject to the House in all seriousness, and out of concern for many of our young constituents whose future well-being could lie in the debate around work experience. I therefore ask right hon. and hon. Members to approach the debate in the spirit of helping our young people into work from a pragmatic rather than what I might describe as an ideological standpoint.

I come to the debate as a parent with two young children. Despite their ages, I am not prevented from being a little concerned about their future and what the employment market will look like by the time that they step into the big, wide world of work, whether from school, college or university. I suspect that many of my thoughts are not far removed from those of most parents throughout the country, which is why I wish to consider briefly what the Government are already doing to tackle youth unemployment, and to put that into the context of the importance of work experience, which will be the focus of the majority of my comments.

[Guy Opperman (Hexham) (Con)]

I congratulate my hon. Friend on securing this important debate. Does he agree, on pragmatism, that MPs can lead the way? I employ an apprentice, as part of my team working in the House of Commons, but we can also have work experience in our constituency offices—we had 40 in the Hexham office over last summer.

[Mr Jones]

My hon. Friend is absolutely right. MPs can certainly show the way practically and, as I will come on to, by supporting people who are willing to give work experience opportunities to our young people.

Youth unemployment is not a new phenomenon in this country, and it has been on an upward trend since 2004, when we were in a better economic position, although getting young people into work should be a priority for any Government regardless of the economic situation. Tomorrow we will see the latest unemployment figures, and we wait to see the figures on youth unemployment with bated breath. The current figures indicate that we have more than 1 million young people unemployed and out of work, which equates to 22% of young people in the country.

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[Mr Jones]

My hon. Friend is absolutely right. It is incumbent on Members of the House to support work experience and any tool that we can put into the toolbox to reduce the shocking number of young people who currently lack opportunity.

To return to our 1 million unemployed young people, if we compare our situation with that in many European Union countries, we will probably see our figures compare reasonably favourably. We should, however, never be satisfied or content to have one in four young people unemployed. For that matter, we should never be content to have any young people out of work. Recently, we have started to see policies put in place by the Government to increase opportunity for our young people. For example, places for apprenticeships have increased by 50% over the past year, to 440,000; my constituency, I am glad to say, has had a 56% increase in apprenticeship take-ups, more than half by young people. The youth contract, starting in April, will also see many more opportunities, including financial incentives for businesses to take on young people, which I hope will mean the creation of up to 160,000 opportunities—as quoted, I believe, by the Department for Work and Pensions, in particular given the £2,275 wage subsidy to support young people.

Under the youth contract, a number of opportunities are coming along in April, but we should also realise that, although we have many opportunities and however many schemes we have, there is always a cohort of young people who struggle to take up such opportunities, often because the education system has failed them and sometimes because they have low self-esteem or no experience or track record in employment. They might have previously experienced employment but had a poor experience.

[Guy Opperman]

Does my hon. Friend agree that the advance of academies and free schools, such as the enterprise school being set up in Newcastle, next to my constituency, will provide greater skills and address youth unemployment problems?

[Mr Jones]

My hon. Friend is absolutely right. For far too long a cohort of young people has been failed by the education system in this country, and we need to ensure that such people have the maximum opportunity to gain a high-quality education. Hopefully, we will reduce the number of people who need work experience. Until that happens, however, it is incumbent on us all to support the principle of work experience, because we need to reach that cohort. Figures from the International Labour Organisation show that, of the young people out of work in this country, more than 50,000 have never had a formal job and 20,000 have poor or no formal qualifications. If we are to reach out to that cohort of young people and if we are serious about getting them back into work and engaging them to become part of the mainstream work force, work experience is an essential tool to have in the toolbox.

Disability Living Allowance

Guy Opperman Excerpts

Wednesday 9th March 2011 Westminster Hall

[Hywel Williams]

I agree entirely with the hon. Gentleman. The provision in the public and private sectors of residential care needs to be looked at, but should that be done by reforming DLA in the way proposed? Would that be a blunt instrument? Are there other ways that that can be done?

[Guy Opperman (Hexham) (Con)]

As someone who lost to the hon. Gentleman in the 2005 general election—I represented, in a poor standard, the Welsh Conservatives in the former constituency of Caernarfon—I am particularly enjoying his passionate reverie of the 1970s. It is beyond question that he represents his constituency very well indeed. We all accept that there is likely to be a degree of cuts ahead. Does he accept the need for this issue to be reformed?

[Hywel Williams]

We can take a look at DLA, but that is the budget that I would cut almost last, because of its targeted nature and its efficiency and because of the needs of those who receive it and a host of other reasons. I accept the hon. Gentleman’s general thrust—everything should be open to review and reform—but I would start elsewhere before addressing the provision under discussion.

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[Richard Fuller (Bedford) (Con)]

It is a great pleasure to speak in this debate, and I congratulate the hon. Member for Arfon (Hywel Williams) on securing it. I wish to declare an interest—I am chairman of two domiciliary care service companies. They are not in receipt of disability living allowance, but they deal with adjacent issues. I welcome the debate. In particular, I welcome the Minister to her place.

The fundamental question that went through my mind when the announcement was made was what it said about our attitude towards the decency with which we allow people to lead their lives. What does it say about how we are prepared to protect the most vulnerable in our community at this difficult time, with the significant financial challenges inherited by the Government? That was made real for me by the visits of constituents; families who care for their sons, daughters, mothers, fathers, cousins and uncles, and who have to create that sense of independence every day for their loved ones in care homes.

In particular, it is my pleasure to recognise the campaigning work of Mr and Mrs Ogaza from my constituency—Mrs Ogaza is here today—on behalf of not only their son Paul, but other families. I thank the Minister for taking the time to meet me not once but twice—the second time to listen to Mrs Ogaza—and for her visit to a care home in Shefford, near my constituency. That is emblematic of how much she is trying to reach out and listen, and to understand this complex area. Indeed, that complexity is at the root of the Government’s attempts to deal with the question of decency. There is nothing decent about the system that is in place if it provides a patchwork of services for recipients in different parts of the country. There is nothing decent about a system that does not ask our care home providers tough questions to ensure that they are actually providing the services that we would like.

[Guy Opperman]

Is not the biggest test for the future to have a road map where things are clearly signposted and understood? Whatever the reason for the system being in the state that it is in, comprehension and utilisation would then be much clearer.

[Richard Fuller]

My hon. Friend is absolutely correct. He echoes a point that was made by my hon. Friends the Members for Banbury (Tony Baldry) and for Loughborough (Nicky Morgan). This is an opportunity to provide a clear map of the requirements and also to identify, not in a naming and shaming way but in a positive way, what local authorities and care homes should provide and where evidence shows that they are falling short.

I believe that this is the second debate on disability living allowance that the hon. Member for Arfon has secured. Is that correct?

Social Security

Guy Opperman Excerpts

Thursday 17th February 2011 Commons Chamber

[Stephen Timms]

The whole country eagerly awaits the next Labour party manifesto, but I must urge the hon. Lady to be patient on that front.

We welcome the 4.6% increase in the basic state pension this year, for which the order provides, in line with RPI for next year, not the triple lock or the lower CPI. But this is something of a smokescreen to cover up the true nature of the Government’s intentions, which we have been able to smoke out a little in this debate.

Why does the Minister think that CPI would be a better measure of inflation for pensioners than RPI? I am yet to be convinced of that. For pensioners and low-income families, a strong argument can be made that average inflation is more than either RPI or CPI, because of fuel and food. That point was certainly made in the representations that many of us will have received in recent weeks. In opening the debate, the Minister mentioned the views of the Royal Statistical Society. In its letter to my hon. Friend the Member for Leeds West, it said:

“while the consumer price index (CPI) is acceptable for macroeconomic purposes and for international comparisons within the EU we do not believe its coverage is generally appropriate for inflation compensation purposes”.

That looks like a strong criticism by the society.

[Guy Opperman (Hexham) (Con)]

When answering the question asked by my hon. Friend the Member for Poole (Mr Syms), you said you would—

[Madam Deputy Speaker (Dawn Primarolo)]

Order. All hon. Members are doing this, not just the hon. Gentleman. When addressing the shadow Minister, if they refer to him as “the right hon. Gentleman”, we will not have the problem of whether the Chair is planning the election manifestos of all the political parties for the next election.

[Guy Opperman]

The right hon. Gentleman mentioned “a period of time”. How long would that be?

[Stephen Timms]

If that were the proposition, we would be happy to debate it and consider it, and perhaps work with the Government on it. Sadly, that proposition has not been made. The proposition before the House is that the change should be made for ever, and that is what I object to. It is not just me: the Civil Service Pensioners Alliance—

Oral Answers to Questions

Guy Opperman Excerpts

Monday 22nd November 2010 Commons Chamber

[The Minister of State, Department for Work and Pensions (Steve Webb)]

I can only agree entirely with the hon. Gentleman on the manifesto on which he stood for election, which stated that we have to cap the rents that we are paying. His analysis assumes a static situation in which rents do not change. The Department puts more than £21 billion into the local housing allowance. If we changed the rules for that, we would change the market. We are trying to put pressure on rents so that they will go down, which will improve the situation.

[Guy Opperman (Hexham) (Con)]

T6. The whole House will welcome the news that unemployment is on the decline and look forward to the introduction of the Government’s Work programme. However, my right hon. Friend will be aware of the particular issues facing the north-east. What steps is he taking to ensure that there is support in the meantime for those seeking employment in the region?

[Chris Grayling]

My hon. Friend will be aware that I am always extremely concerned about the employment situation in the north-east. I was therefore extremely pleased this summer to see an increase in private sector employment of 17,000 in the region. I was disappointed, however, that the number of people claiming jobseeker’s allowance barely changed, which simply underlined for me the need for the Work programme to deliver real change in that area. However, the introduction of the new enterprise allowance and some of the other measures that we are taking to support small businesses, as set out in the Budget by my right hon. Friend the Chancellor of the Exchequer, will help to continue the process of job creation in the private sector in the north-east, which is what we all want.

Housing Benefit

Guy Opperman Excerpts

Tuesday 9th November 2010 Commons Chamber

[Mr Alexander]

I will answer the hon. Gentleman’s question directly. The former Chancellor of the Exchequer, my right hon. Friend the Member for Edinburgh South West (Mr Darling), introduced an option for dealing with extreme cases in the March budget—excluding a proportion of the highest rents from the calculation of the median. I am sure that given his past employment, the hon. Member for West Suffolk (Matthew Hancock) will be aware of that change. As I have previously stated, I have no objection in principle to a cap, if it is introduced on a staged timetable. I commend to him the speech that I gave at the Institute for Public Policy Research as recently as Friday. However, we have to ask whether a national cap is the most appropriate plan, or whether a regional cap would target the very highest claims in all regions.

[Guy Opperman (Hexham) (Con)]

rose—

[Mr Alexander]

I am keen to make a little progress.

I rather fear and suspect that the focus on the cap in some interventions owes more to Andy Coulson than to the Secretary of State. As I have already made clear, despite the fact that it will yield £65 million, it is only one part of a package of more than £1.8 billion-worth of proposed housing benefit changes resulting from the cumulative impact of the June Budget and the spending review.

Perhaps the Secretary of State will be able to answer some specific questions. Why is it necessary to introduce a cap on rent levels from April next year, and the change in the maximum rate to the 30th percentile in October? Is there not a real risk that some households will be displaced twice within a short period, with all the costs and individual traumas that that would entail?

Let us look at the reality of the matter for a moment. Many households will be making their housing arrangements now without full knowledge of what the proposals will mean. They may be arranging for their children to go to a local school, to sign up for child care support or to buy a season ticket for travel to work. It must be right to give individuals enough notice and clarity about what the first tranche of measures will mean for them to be able to ascertain whether they will be able to avail themselves of the discretionary housing payments that the Government claim will be available.

What estimate has the Department made of the impact of the changes on homelessness? Does the Secretary of State accept the figures provided by London Councils, which expects that 82,000 households will be forced from their homes? What estimate has he made of the cost of the changes to local government? Shelter has said that the costs of introducing all the rushed changes will be as much as £120 million. Does he have an alternative figure that he would like to share with the House?

The Mayor of London’s own director of housing has stated that the introduction of the cap in London alone will lead to a 48% rise in homelessness acceptances, which will mean £78 million being spent in London on temporary accommodation. Yet the Budget Red Book estimates savings of only £65 million a year. Given those figures, why would the Government introduce a policy that could end up costing the taxpayer more than it is intended to save?

I now move from the cap, about which people have been so keen to talk in the newspapers for so many days, to the change to the 30th percentile, which is perhaps more deserving of that level of publicity. Liz Phelps of Citizens Advice UK has remarked that the change

“will potentially affect people across the country. It will mean lower rates…It is very crude, short-term thinking. It will cut the DWP budget but it will explode the homelessness budget. We will see a lot more rent arrears, a lot more debt and acute poverty, and then more homelessness.”