Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, whether they intend to abolish the benefit cap following their research which found that only five per cent of affected households moved into work as a result of it.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
The benefit cap continues to provide a work incentive and fairness for hard-working taxpaying households, whilst providing a reasonable safety net of support for the most vulnerable. The Government firmly believes that where possible it is in the best interests of children to be in working households and the benefit cap provides a clear incentive to move into work.
The lower benefit cap had a positive impact with an additional 5.1% of households moving into employment as a result of it. An additional 2.6% of households left the cap as a result of their benefit entitlements being updated to include an exempting benefit and an additional 1.8% of households left the cap by moving property, at Census Output Area (COA) level, to reduce their rental costs.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government whether they will publish the advice provided to them as part of the statutory review of benefit cap levels.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
Under S96A of the Welfare Reform Act 2012, the Secretary of State is required to undertake a review of the benefit cap levels at least once every five years. There is no statutory requirement to publish any advice given to inform that review; and as such there are no plans to do so. This has been the policy under this and previous Governments.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the Joseph Rowntree Foundation and the Trussell Trust report An Essentials Guarantee: Reforming Universal Credit to ensure we can all afford the essentials in hard times, published on 27 February, what assessment they made of the recommendation contained in that report to "introduce an Essentials Guarantee" to ensure those on Universal Credit are not going without essential items.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
The Government is committed to a sustainable, long-term approach to tackling poverty and supporting people on lower incomes. As seen in measures announced by the Chancellor in the Autumn Statement, the Government have committed to a series of measures to ensure support for UK citizens. Raising the Universal Credit award by 10.1% to bring rates in-line with national inflation and ensure claimants are supported.
The current rates of income-related benefits such as Universal Credit do not represent a minimum requirement, and are not described as such in legislation or Government literature. The Government specifies the rates which are applicable to different benefits, and these may vary according to claimants' circumstances.
There is no objective way of deciding what an adequate level of benefit should be as every person has different requirements. Income-related benefit rates are not made up of separate amounts for specific items of expenditure such as food or fuel charges, and beneficiaries are free to spend their benefit as they see fit, in the light of their individual commitments, needs and preferences.
The Government understands the pressures people are facing with the cost of living, which is why, in addition to the £37 billion of support we have provided for cost-of-living pressures in 2022/23, we are acting now to ensure support continues throughout 2023/24.
We will be delivering further cost of living payments, worth up to £900 for claimants on means-tested benefits, £300 for pensioner households and £150 for those on disability benefits.
For those who require extra support, the Government is providing an additional £1 billion of funding, including Barnett impact, to enable the extension of the Household Support Fund in England in the next financial year. This is on top of what we have already provided since October 2021, bringing total funding to £2.5 billion. In England this will be delivered through an extension to the Household Support Fund backed by £842 million, running from 1 April 2023 to 31 March 2024, which local authorities use to help households with the cost of essentials. It will be for the devolved administrations to decide how to allocate their additional Barnett funding.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the Joseph Rowntree Foundation report An Essentials Guarantee: Reforming Universal Credit to ensure we can all afford the essentials in hard times, published on 27 February, which found that "95 per cent of people on Universal Credit facing debt deductions are going without essentials", what steps they are taking to prevent debt from being (1) generated, and (2) sustained, in the social security system.
Answered by Viscount Younger of Leckie - Parliamentary Under-Secretary (Department for Work and Pensions)
The DWP takes significant steps to ensure the accuracy of all benefit payments, and figures released in May 2022 showed the overwhelming majority of benefit, nearly 95%, was paid correctly. There are a number of measures in place to minimise the risk of debt, such as a quality checking regime and the use of HMRC’s Real Time Information.
Where errors do occur with UC payments, the DWP takes steps to detect them at the earliest opportunity. Where debt does arise, and a person feels they cannot afford the proposed rate of recovery, they are encouraged to contact the DWP. When they do, we work with them to review their financial circumstances and, in most instances, agree a temporary reduction in their rate of repayment.
We remain committed to His Majesty’s Treasury’s Breathing Space policy, which provides those with problem debt (where applicable) the right to legal protections from creditor action for a period of 60 days.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what assessment they have made of the adequacy of the current levels of benefits given the increased cost of living.
Answered by Baroness Stedman-Scott
The government understands the pressures people are facing with the cost of living and has taken further decisive action to support people with their energy bills. The government’s Energy Price Guarantee, running from October 2022- March 2023, will save a typical British household around £900 this winter, based on what energy price would have been under the current price cap – reducing bills by roughly a third. This is in addition to the over £37bn of cost-of-living support announced earlier this year which includes the £400 non-repayable discount to eligible households provided through the Energy Bills Support Scheme.
From 10 April 2023 we are uprating State Pension and benefit rates by 10.1%. In order to increase the number of households who can benefit from these uprating decisions the benefit cap will also be increased by 10.1%. These increases are subject to Parliamentary approval.
To ensure stability and certainty for households, the government is providing £26bn in cost-of-living support for 2023/24. This includes Cost of Living Payments for the most vulnerable. In 2023/24, households on eligible means-tested benefits will get up to a further £900 in Cost-of-Living Payments. A £300 payment will be made to pensioner households and individuals in receipt of eligible disability benefits will receive a £150 payment. Also included is the amended Energy Price Guarantee which will save the average UK household £500 in 2023-24.
For those who require extra support, the Government is providing an additional £1 billion of funding, including Barnett impact, to enable the extension of the Household Support Fund in England in the next financial year. This is on top of what we have already provided since October 2021, bringing total funding to £2.5 billion. In England this will be delivered through an extension to the Household Support Fund backed by £842 million, running from 1 April 2023 to 31 March 2024, which local authorities use to help households with the cost of essentials. It will be for the devolved administrations to decide how to allocate their additional Barnett funding.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what steps they are taking to reduce (1) the waiting time for, and (2) the size of the loans available through, the Department for Work and Pensions and the Department for Levelling Up, Housing and Communities’ budgeting loans scheme.
Answered by Baroness Stedman-Scott
98 per cent of claims for Social Fund Budgeting Loans are currently made online and the current target for notifying a decision is 8 working days. During 2020/21 the achieved target was 4.68 working days. We expect the performance figures for 21/22 to be published in the New Year. We continually review the delivery of different benefits.
The maximum amount for a Budgeting Loan application is £348 if you’re single, £464 if you have a partner and £812 if you or your partner claim Child Benefit. This ensures that help is available for intermittent expenses that are considered difficult to budget for, whilst ensuring that repayments are affordable as far as possible.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the the report by the North East Child Poverty Commission report Getting the building blocks wrong: Early childhood poverty in the North East, published on 12 October, what assessment they have made of the merits of undertaking levelling up impact assessments of all major government policy and spending decisions, including those taken by the Department for Work and Pensions.
Answered by Baroness Stedman-Scott
No assessment has been made.
However, the Department for Levelling Up, Housing and Communities has set 12 ambitious levelling up ‘missions’ to anchor ambition and provide clarity over the objectives of public policy for the next decade. These include missions on skills and living standards.
Missions will deliver real change to peoples’ lives by improving living standards by spreading opportunities and enhancing economic growth, restoring local pride, spreading opportunity and empowering local leaders across the country.
Missions will also serve as an anchor for the private sector and civil society. This policy stability and consistency will unleash innovation, investment and collaboration.
To ensure transparency and accountability, the missions are specific and measurable, and are supported by a set of metrics.
The Department for Levelling Up, Housing and Communities will report on progress towards delivering the missions through an annual report laid before Parliament. The obligation to publish the annual report will be established in statute, creating a regular point for Parliament and the public to debate and scrutinise progress towards levelling up.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the Department for Work and Pensions annual official statistics 'Children in low income families: local area statistics 2014 to 2021', what assessment they have made of the reasons for the increase in (1) the number of, and (2) the proportion of, children living in relative poverty in every local authority area of the North East between 2014/15 and 2020/21.
Answered by Baroness Stedman-Scott
The Department for Work and Pensions has made no assessment.
Ministers in the Department for Work and Pensions engage regularly with their Ministerial counterparts in other Departments, taking a collective approach to the policies and interventions that can make a difference.
The Government is committed to reducing child poverty and supporting low-income families. We will spend over £242bn through the welfare system in 2022/23 including £108bn on people of working age.
From 10 April 2023 we are uprating State Pension and benefit rates by 10.1%. In order to increase the number of households who can benefit from these uprating decisions the benefit cap will also be increased by 10.1%. These increases are subject to Parliamentary approval.
With over 1.22 million job vacancies across the UK, our focus remains firmly on supporting parents to move into, and progress in work, an approach which is based on clear evidence about the importance of employment - particularly where it is full-time - in substantially reducing the risks of child poverty and in improving long-term outcomes for families and children.
Getting people both into work and progressing in work is key to levelling up for the whole of the UK, and DWP is playing a central role in this. To help people into work, including parents, our Plan for Jobs is providing broad ranging support for all Jobseekers with our Sector Based Work Academy Programmes (SWAP), Job Entry Targeted Support and Restart scheme. We are also extending the support Jobcentres provide to people in work and on low incomes. Through a staged roll-out, which started in April 2022, around 2.1 million low-paid benefit claimants will be eligible for support to progress into higher-paid work.
The government is also increasing the National Living Wage by 9.7% to £10.42 an hour from April 2023, representing an increase of over £1,600 to the annual earnings of a full-time worker on the National living wage, benefitting over 2 million low paid workers.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government, further to the Department for Work and Pensions official statistics 'Children in low income families: local area statistics 2014 to 2021', what assessment they have made of the reasons for the increase in (1) the number of, and (2) the proportion of, children living in absolute poverty in every local authority area of the North East in every year since 2017/18.
Answered by Baroness Stedman-Scott
The Department for Work and Pensions has made no assessment.
Ministers in the Department for Work and Pensions engage regularly with their Ministerial counterparts in other Departments, taking a collective approach to the policies and interventions that can make a difference.
The Government is committed to reducing child poverty and supporting low-income families. We will spend over £242bn through the welfare system in 2022/23 including £108bn on people of working age.
From 10 April 2023 we are uprating State Pension and benefit rates by 10.1%. In order to increase the number of households who can benefit from these uprating decisions the benefit cap will also be increased by 10.1%. These increases are subject to Parliamentary approval.
With over 1.22 million job vacancies across the UK, our focus remains firmly on supporting parents to move into, and progress in work, an approach which is based on clear evidence about the importance of employment - particularly where it is full-time - in substantially reducing the risks of child poverty and in improving long-term outcomes for families and children.
Getting people both into work and progressing in work is key to levelling up for the whole of the UK, and DWP is playing a central role in this. To help people into work, including parents, our Plan for Jobs is providing broad ranging support for all Jobseekers with our Sector Based Work Academy Programmes (SWAP), Job Entry Targeted Support and Restart scheme. We are also extending the support Jobcentres provide to people in work and on low incomes. Through a staged roll-out, which started in April 2022, around 2.1 million low-paid benefit claimants will be eligible for support to progress into higher-paid work.
The government is also increasing the National Living Wage by 9.7% to £10.42 an hour from April 2023, representing an increase of over £1,600 to the annual earnings of a full-time worker on the National living wage, benefitting over 2 million low paid workers.
Asked by: Lord Bishop of Durham (Bishops - Bishops)
Question to the Department for Work and Pensions:
To ask His Majesty's Government what recent discussions have taken place between the Secretary of State for Levelling Up, Housing and Communities and the Secretary of State for Work and Pensions on child poverty.
Answered by Baroness Stedman-Scott
The Department for Work and Pensions has made no assessment.
Ministers in the Department for Work and Pensions engage regularly with their Ministerial counterparts in other Departments, taking a collective approach to the policies and interventions that can make a difference.
The Government is committed to reducing child poverty and supporting low-income families. We will spend over £242bn through the welfare system in 2022/23 including £108bn on people of working age.
From 10 April 2023 we are uprating State Pension and benefit rates by 10.1%. In order to increase the number of households who can benefit from these uprating decisions the benefit cap will also be increased by 10.1%. These increases are subject to Parliamentary approval.
With over 1.22 million job vacancies across the UK, our focus remains firmly on supporting parents to move into, and progress in work, an approach which is based on clear evidence about the importance of employment - particularly where it is full-time - in substantially reducing the risks of child poverty and in improving long-term outcomes for families and children.
Getting people both into work and progressing in work is key to levelling up for the whole of the UK, and DWP is playing a central role in this. To help people into work, including parents, our Plan for Jobs is providing broad ranging support for all Jobseekers with our Sector Based Work Academy Programmes (SWAP), Job Entry Targeted Support and Restart scheme. We are also extending the support Jobcentres provide to people in work and on low incomes. Through a staged roll-out, which started in April 2022, around 2.1 million low-paid benefit claimants will be eligible for support to progress into higher-paid work.
The government is also increasing the National Living Wage by 9.7% to £10.42 an hour from April 2023, representing an increase of over £1,600 to the annual earnings of a full-time worker on the National living wage, benefitting over 2 million low paid workers.