Disabled People and Economic Growth

Debate between Jamie Stone and Michelle Donelan

Thursday 22nd February 2018 Commons Chamber

[Michelle Donelan (Chippenham) (Con)]

I congratulate the hon. Member for East Kilbride, Strathaven and Lesmahagow (Dr Cameron) on securing this important debate.

I am delighted to speak in today’s debate on the role of disabled people in economic growth. Economic growth is built on investment, development and progress but most of all on people. People are the essential building block—manual workers, service workers, foremen or managers, entrepreneurs and innovators, females and males, all ethnicities, and the able bodied and the disabled.

I would like to stress today not only that disabled people should and do play an essential role in economic growth but that the wording of this motion is a little too crude. This is not just about needing disabled people to be in jobs to boost economic growth; most importantly, they deserve the same career opportunities, so this is a question of not just economics but equality.

Only half of working-age people in the UK who are disabled or who have a health condition are in work, while the employment rate for people without disabilities is 80.6%. We must rectify this inequality and ensure that employers see the benefits of diverse workforces and of hiring those who have overcome obstacles. We must empower and assist the disabled, so that they have the confidence and the tools to work on an even playing field.

That is why I fully back the Government’s commitment and strategy to get 1 million more disabled people into employment by 2027. I am delighted that 100,000 more people with disabilities were in work last year than in 2016. Working with employers is key to reaching this target, which is why the Government’s pledge to work with industry, alongside improved mental health training for work coaches, is so important.

Disabled people have overcome adversity and challenge and can often offer workplaces essential skills, such as determination. They also generally stay in roles for longer and have lower rates of absenteeism. However, studies show that, still, only half of employers have reported that they recognise the benefits for their organisation of employing somebody with a disability or health condition.

This is therefore about changing attitudes and cultures, especially in certain sectors. For example, the rate of employment for disabled people in science, technology, engineering and maths-related roles is severely low. The problem is twofold. It is about encouraging disabled people to believe they can do these jobs, but, crucially, it is also about ensuring that the jobs exist, so working with employers is essential.

The Disability Confident scheme, which has been mentioned today in the House, has done great work in this area, helping organisations to improve how they attract, recruit and retain disabled workers. As of 16 November last year, there were 5,359 employers signed up to the scheme, so we need to do work to ensure that more follow. Like many MPs, I am proud to be a Disability Confident employer.

One of the biggest hurdles in encouraging businesses to hire disabled people is the adaptations needed to their offices. Those hurdles are perceived to be high, as a Mencap review recently highlighted. There is also a lack of awareness that the Equality Act 2010 means that employers are under a statutory duty to make reasonable adjustments. I am keen to hear from the Minister about how we plan to challenge these perceptions and this lack of awareness.

Adapting businesses is also important when a staff member has an accident or becomes ill. Creating a suitable and welcoming environment for them to return to is essential. In fact, the Centre for Social Justice “Rethinking Disability at Work” report found that the disability employment gap is partly driven by the large number of disabled people who fall out of employment, with one in 10 disabled people in work falling out each year, compared with only one in 20 in the non-disabled work population. Retention is therefore key. That is why I welcome the proposed sophistication of the fit note scheme, which will enable employers to better understand and support their employees’ needs.

It is important to note that there are Access to Work grants that can pay for special equipment, adaptations or support worker services, and I am delighted that these are now being rolled out to the self-employed. However, we need to raise awareness of them. Access to Work grants have been taken up by 25,000 people on average per year, but the figures have stagnated for the last three years, indicating that we really need to promote awareness. In addition, 65% of the grants given are to people aged over 40, implying that we really need to reach a younger age group.

I have spoken a lot about employers, but it is also crucial to give disabled individuals the confidence and support to apply for jobs. Mind stresses the point that physically disabled people also need emotional and mental health support when re-entering the workplace, and it is important not to forget that physical disabilities and mental health challenges are not mutually exclusive.

[Jamie Stone]

Does the hon. Lady agree that a disabled person in rewarding employment could be encouraged or paid to take time to act as a mentor to people who might follow in his or her footsteps, to show how it can be done?

[Michelle Donelan]

I thank the hon. Gentleman for that excellent point, and I completely agree. Encouraging, inspiring and being role models for other people, and acting as mentors, is a wonderful idea, which we should pursue to encourage more people to have the self-belief and determination to progress their dreams and explore opportunities.

We should not treat physical disabilities and mental disabilities in silos; we need to treat them together to develop the best outcomes. I am delighted that the key focus of the White Paper, “The Future of work, health and disability”, includes that area and the roll-out of personal support packages with the recruitment of 200 community partners, 300 disability employment advisers, 100 small employers advisers and an extra 1,000 places in mental support services.

In conclusion, over the past two years, the disability employment gap has reduced by 1.9%, so we are on the right track. Finding work for an additional 1% of eligible employment and support allowance claimants in 2018-19 would save £240 million and provide a boost to the economy of £260 million. Therefore, getting more people with disabilities into jobs is essential. It would obviously be of great financial benefit to our country, but the main benefit would be to the disabled people themselves, and, in turn, it would make our society more equal. I shall end where I began and stress that it is an issue not just of economics, but of equality.

Community Bank Closures

Debate between Jamie Stone and Michelle Donelan

Thursday 8th February 2018 Commons Chamber

[Michelle Donelan (Chippenham) (Con)]

I commend my hon. Friend the Member for Hazel Grove (Mr Wragg) and the hon. Member for Stoke-on-Trent North (Ruth Smeeth) for securing the debate.

My constituency is formed of four market towns and a lot of villages, so it will be no surprise to Members that we have seen a number of bank closures in the past few years. In fact, there are no branches left at all in Bradford on Avon and Corsham. Locally, a key part of the problem has been insufficient transport infrastructure to get people into those towns, particularly from surrounding villages such as Neston, and an above-average ageing population.

Nationally, the banking industry estimates that branch visits have fallen by roughly a third since 2011. I understand and recognise that banks are businesses and that branch closures happen for commercial reasons. Fundamentally, advances in technology—online and mobile banking—have significantly reduced demand. Cheques are still the main reason customers go into a branch, but cheque usage has declined severely—by 13% between 2014 and 2015 alone. Things have changed: I remember back in the day my Mum paying in the supermarket with a cheque and cheque guarantee card. Now she uses Apple Pay on her iPhone!

To explain the decrease in demand, we must consider the purpose of banks. For some people, as Members have suggested, banks are more than a normal service. They are a part of the community, offering people a personal relationship and an opportunity to chat. They can prevent loneliness. That is why, for some, closures are not just an inconvenience or a sting: they can actually hurt. I know that that has been the sentiment in my constituency.

That view of banks, however, is decreasing, especially among younger generations, hence the need to specifically help and consider the elderly when banks close. I must note at this point, as other Members have, that provisions are already available to reduce the impact of bank closures. The industry’s access to banking standard, launched in 2017, makes a commitment to provide information about branch closures, along with options locally to continue to access banking services. It also includes specialist assistance to customers who need specific help. Importantly, it commits to providing a minimum of three months’ notice of branch closures. However, I do not think that three months is long enough for people to change their habits or prepare themselves. I ask the Minister to call on the banks to operate a six-month policy, which would be fairer and more adequate. It is vital that when banks make decisions on closures they review the transport network and infrastructure, and ensure that provision is available so that banks are accessible in the area.

Mobile banking is a perfect example of a halfway house, costing only 19% of a physical branch. RBS group and Lloyds have built a large network of mobile banks across the country, and HSBC has just started to do the same. They help in areas where there is no accessible alternative provision, and they can be used as transitional arrangements to enable people to adapt and have more time.

[Jamie Stone]

I take on board completely the point about mobile banks, but there are issues with them. The public have to queue up outside in inclement weather and get soaking wet, and they do not have the ability to handle paper transactions.

[Michelle Donelan]

I do not believe that mobile banks are the answer; I am proposing that potentially they are a part of the solution. I agree on the point about cold weather. That is a very valid and worthy consideration.

I have worked locally with Lloyds to reduce the impact and to manage the transition of the loss of branches in Bradford on Avon and Corsham. I am pleased to say that we have a provisional agreement for a mobile bank trial in Corsham. Madam Deputy Speaker, I am sure you will agree with me that the case for such a trial is just as valid in Bradford on Avon. I am sure the Minister, as a local Wiltshire MP, also agrees.

Turning to the impact of bank branch closures, each case is different in every circumstance. When severe, it can suggest, alongside closure, a lack of investment in training and support for older and vulnerable people. That is why I reiterate that a three-month notice period is not long enough. It takes time to build some people’s confidence in the security of digital banking. Alongside Lloyds bank and Barclays, I have run three fraud workshops, which were heavily attended, particularly by the elderly community. Support to vulnerable residents and the elderly is crucial. It is important to remember that about 4 million people—mainly the elderly—are not online at all. However, we must not write off older people as incapable of using the internet. We must support and manage them, and give them the tools and skills to make progress. More than 600,000 people aged over 80 already have online banking. They put me to shame, as I joined only last year.

Another stumbling block to digital banking can be deprivation, which can render people unable to own a computer or a smartphone. Mobile blackspots and patchy internet services are both common in the villages in my constituency. Banks should ensure that an alternative option is accessible, such as mobile banking or sufficient public transport to the nearest branch, and I again make the point that Bradford on Avon really needs mobile banking.

Post offices are not the answer, but they are part of the solution and can play an essential role. Our post offices have been struggling for years, but incorporating banking into their services is proving to increase their footfall and helping to engage people in their services again. The Post Office currently offers basic banking services to many bank customers and is expanding that to business customers. As has been noted, awareness is the key problem, but it is also about changing consumers’ habits. I was pleased that at the autumn Budget of 2017, the Treasury wrote to the Post Office and UK Finance to stress the importance of raising public awareness. I would like to hear the result of that from the Minister.

In conclusion, it is important that we do not resist technology, but that we accept and embrace change to enable progress, grow our economy and compete on the international stage. However, I want to be realistic. I believe that it is inevitable that all branches will eventually close. The supply of them has reduced by 60% in my lifetime, so I think that we should encourage a sustainable hub model to emerge—a one-stop shop—where post office and banking facilities can be offered, as well as debt advice and potentially even a citizens advice bureau. That will help to safeguard our high streets. The transition period is so important, along with the support available. Banks need to lead the way in training and supporting people who are currently unable to support themselves through their digital skills. We must also encourage the roll-out of mobile banking.

I hope I have outlined today that the banking world is changing, but that there is a process whereby we can improve the transition, so that everybody in society can continue to embrace technology. We must support our community.