(8 years, 11 months ago)
Commons ChamberMay I report to the Minister the progress in Birkenhead? A benefits adviser has been working in the food bank there, and the number of people having to come back for a second bag of food has dropped by 65%. Whenever the Secretary of State refers to this experiment, he talks about “benefit advisers”, while other senior people in the Department talk about “work coaches”. Might the Minister persuade the Secretary of State to say that his phrase is not an offensive one? If someone who is hungry thinks that the person at the food bank is a work coach, it might put them off going to the food bank in the first place?
Both terms are applicable. May I just say that we should not get bogged down in the terminology? The important thing is to make sure that people actually have support to get them back to work. As we just heard in the quote from my hon. Friend the Member for Torbay (Kevin Foster), our long-term plan is working. We want to make sure that as many people as possible are in work so that they do not have to resort to food banks.
(9 years ago)
Commons ChamberMay I also thank the Government for accepting the “Feeding Britain” report’s call for a yellow card system? Before they report to the House on a good warning system for people about the impact of sanctions coming down the road, they will need to begin the trials. Is there any chance of the Minister being able to tell us when the trials will begin and when they will be completed?
I thank the Chair of the Work and Pensions Committee for his question. We are working out the details and I would be very happy to discuss with him the details of when we will roll out the trials quite shortly.
(9 years, 4 months ago)
Commons ChamberMadam Deputy Speaker, if I leave the Chamber shortly after my speech, I shall come back immediately afterwards to listen to the rest of the debate. I know that there is a huge amount of interest in the Bill.
We now have a more political Chancellor than any I can remember in the whole of my time in the House of Commons, and he has laid traps for us in the Bill. I make a plea to my very hon. Friends not to fall into them. The Government have, however, exposed their soft underbelly in one respect, and we should attack them in that spot. There is a huge difference between giving notice that the terms of a contract will be changed at some point in the future and changing the terms for people who have already bought into it. In the long build-up to the election, as well as during and after it, we heard that the one group of people about whom the Conservatives, as a party and as a Government, cared most were the strivers, yet it is the strivers who will feel the worst effects of the Bill.
In tonight’s debate, I want us to unite and launch an offensive against part of the Bill that the Government will not be able to carry in the country. By doing so, we can change the debate on welfare, on work, on productivity and on all the other parts of the Government’s programme. There are more than 3 million people in this country who are in work but whose income is being supplemented by tax credits. They are among the strivers in our society who are going to be walloped by the Bill. Many of them will be a minimum of £1,000 a year worse off. Some will be much worse off than that. We should not be at sixes and sevens in voting for the various amendments tonight. The one message we need to hammer home is that the Government use one language outside the House and a different one to enact legislation inside it. They talk about strivers outside, but the Bill will affect 3 million in-work strivers and make them worse off.
Worse still, it is going to be difficult for us to vote against that particular measure in the Bill, because the Government could well try to enact it by means of a statutory instrument upstairs. If they dare to take the cuts against 3 million strivers outside this main Chamber, I hope we will all learn from the new contingent from Scotland, who do not accept the conventions of this House, and that we will crowd into that Committee Room and make it very difficult for them to get the measure through. We must send a message to the rest of the country that we are united in our opposition to this unbelievably vicious move against people who have responded to the Government’s plea to become strivers, who are in work and who will find themselves much worse off as a result of the Budget.
My plea to my very hon. Friends is this: please do not have what Aneurin Bevan might have called an “emotional spasm” and try to feel better by simply voting against this, that or the other. The one message tonight is that we must get behind the reasoned amendment tabled by the Leader of the Opposition. Later, we can discuss all the other disadvantages that the Government have put into the Bill, and we can vote against them if we wish to do so. The one message that must go out from the Chamber tonight is that the Government talk loudly about supporting strivers but, when it comes to it, they are proposing to make that group worse off without a second thought. It will be difficult for us to oppose what I see as by far the worst measure in the Bill, but I hope that we can send a united message and not be at sixes and sevens voting to our hearts’ content on all different aspects of the Bill. That is my plea. I shall return to the Chamber as soon as I can to listen to how others develop their own themes on the way in which the Government are making strivers worse off.
(9 years, 4 months ago)
Commons ChamberThank you, Mr Deputy Speaker.
Many parts of the Budget were suggested by Labour in recent months. Abolishing permanent non-dom status—that sounds very familiar to my hon. Friends. Increasing the minimum wage—again, we have repeatedly called for that. We welcome any action on low pay—by the way, the Conservatives opposed the creation of the national minimum wage in the first place—but this so-called national living wage is unravelling as it becomes clear that it is nothing of the sort. It is the rebranding of an increase in the national minimum wage—as I say, Labour created that in the first place—which, with the tax credit changes, will still leave working families worse off.
We will support steps to tackle tax avoidance—again, we have consistently pressed the Government on that—but this Chancellor has a poor record on hitting tax avoidance targets, with the amount of uncollected tax increasing to £34 billion last year and his so-called tax deals continually failing to bring in the revenues he predicted. In yesterday’s Budget, the Conservatives broke their manifesto promise to deliver £5 billion of savings by 2017-18. The Chancellor made that promise at the last general election, and he is now saying that we might perhaps get it by the end of this Parliament. We will file the supposed £5 billion of tax avoidance measures in the “believe it when we see it” category.
May I say how much I welcome my hon. Friend’s statement that Labour welcomes the Government’s announcement yesterday to move towards a living wage? Will he confirm in the Chamber what he has said elsewhere—that we will engage very constructively, looking imaginatively at the Red Book, to try to make this more comprehensive and to extend it to the public sector? Does he accept that the more success we have in developing this idea with the Government, the fewer people will be eligible for means tests, and that our aim is not to change means-tested benefits in line with such increases, but to make sure that people can earn enough not to be eligible for means-testing?
My right hon. Friend is right that we should be thoughtful about the Government’s proposals. It is sometimes difficult to see through the political fog of the games that the Chancellor is trying to play and the tactics he is trying to use. Oh, the look of innocence on his face! My right hon. Friend is right that it is important to take on questions of welfare reform and work through them methodically. We will not oppose everything just for the sake of it. My right hon. and learned Friend the acting Leader of the Opposition was right to say yesterday that while that might be the temptation, we will look at the proposals and be reasonable about those we can support.
We welcome the steps taken in the Budget to reduce pension tax relief for the highest earners, and of course the rise in the personal allowance threshold, as we support steps to cut taxes and try to get a better settlement for those in work.
(9 years, 4 months ago)
Commons ChamberI am glad that my hon. Friend believes that, because so do I. The purpose of what I have set out today, after a great deal of consideration over the past few years and a full consultation on the matter, is to arrive at a situation in which we are able to help those children and families in the greatest difficulty and try to move them out of poverty so that they sustain their lives out and beyond poverty.
I welcome the Secretary of State’s statement. I re-emphasise his point that whatever definition we have will drive policy and resources, but might I make two pleas? First, when he fixes the life chances definition, he should not be too modest about his own contribution. Under the Labour Government, he and my hon. Friend the Member for Nottingham North (Mr Allen) published a report showing that the life chances for most children, particularly poor children, can be over by the age of five. We need to concentrate on that and not to be concerned immediately with technical education, however important that may be. Secondly, this Government and the previous Labour Government have been largely successful, through their welfare-to-work scheme, in moving people from benefits to work. The welfare-to-work mark 2 agenda should be about how we move many of those who are trapped on low pay up the pay scale so that they earn decent wages, with the dignity that comes from that, while also drawing less in tax credits.
I welcome the right hon. Gentleman’s comments. He knows very well that, as I have already said to him, I am very happy to engage with him and his Committee on these matters. As he says, at the beginning of the previous Parliament, we called on him and the hon. Member for Nottingham North (Mr Allen) to do some work for us, and I have remained absolutely wedded to the proposals that they brought forward. In fact, the Social Justice Cabinet Committee that I now chair is tasked with ensuring that those early intervention measures are driven through all Departments. My right hon. Friend the Education Secretary is already acting on much of that with the early educational markers and by driving attainment much earlier on in areas such as maths and literacy, which will be part of our measure. The right hon. Gentleman will, I hope, note that I talked about publishing, alongside that, life-chances measures for areas such as debt, drug and alcohol abuse, and family breakdown. Those measures will help to guide us on when we intervene to make the changes necessary.
(9 years, 5 months ago)
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My hon. and learned Friend is absolutely right. We are determined to bring about life change to improve people’s lives in the poorest communities. I made the point that more households in social housing are in work than ever before, and that is life change. They are taking control of their lives.
May I congratulate the Secretary of State on the public relations success of winding up the media with the idea that these would be the worst figures ever published? Might that ingenuity now be applied to developing indices on life chances? What taxpayers are interested in is whether we can prevent poor children from becoming poor adults. Might he ask the Select Committee on Work and Pensions to undertake that inquiry and report to the House and then to his Social Justice Committee, so that the Government might act on it before the year is out?
May I just correct the right hon. Gentleman on one small fact? I have not spent my time winding up the media. With respect, I think he needs to look at those on his Front Bench, and some of their friends, who have spent the whole time winding up the media.
I welcome the right hon. Gentleman to his new post. He knows very well that the door is open, and I am happy to sit down and discuss that proposition, and, more importantly, what I believe should be in the measures.
(9 years, 8 months ago)
Commons ChamberI am happy to speak to anybody the hon. Lady wants me to speak to about this matter. I believe that the benefits system in the UK helps those in the greatest difficulty—there is plenty of access to things such as hardship funds if that lady is having difficulty temporarily after breaking her leg—but if it is the hon. Lady’s belief that a Labour Government would increase spending on welfare, perhaps she could encourage those on her Front Bench to be honest about it and say so.
4. What the average monthly value has been of benefit sanctions imposed since May 2010.
The Department does not make an estimate of the amount of benefit withheld as a result of sanctions. The sanctions system is in place to ensure claimants comply with reasonable requirements in order to move off benefits and into work.
Although the Department might not make estimates, outside experts do, and they now calculate that the amount of sanctions applied is greater than all the fines that magistrates courts in this country impose, but a fine in a magistrates court is imposed only after someone has been able to put their case. Might not the Government consider something like a yellow card system so that before a fine is exercised, people have the chance to bring in outside advisers to help them put their case more effectively?
The Government do not make estimates because they would be wildly inaccurate, like the figures that the right hon. Gentleman has given. That is because only a maximum figure could be given that did not take into account hardship payments, which could be 80%, or that people already had a job, and there would be so many inconsistencies. The last Government—he was a Minister in the Department—did not make such estimates either.
(10 years ago)
Commons ChamberMy hon. Friend is quite right. We know that the risk of a child, for example, being in poverty is three times as great if they are in a workless household rather than a working household. We have almost become blasé about new record falls in unemployment month after month. That is the key to our drive to tackle poverty.
I ask the Minister this week to support the living wage campaign in his own Department. Can he tell the House how many contracted-out workers outside London in his Department have yet to receive the living wage?
The right hon. Gentleman deserves great credit for his promotion of the living wage. My right hon. Friend the Secretary of State inherited a situation in which some of the Department’s employees were not receiving the living wage. Our Department has committed to it, and we have had that dialogue with our subcontractors as well.
(10 years, 2 months ago)
Commons ChamberI am grateful to my hon. Friend for raising that point. Certainly as far as the WCA for the employment and support allowance is concerned, GPs are contractually required to provide a fit note and to provide the ESA113 form, so perhaps if he and I speak afterwards I can get further details of the specific case he mentions, because it may raise some issues that need to be drawn to my attention.
Might the Minister extend that invitation to other Members of the House who are equally concerned about the charges made on our poorer constituents so that they can make benefits appeals? I am talking about ESA. Can he justify a group who are among the top 1% of salary earners in this country charging our constituents these extraordinary rates, in order that our constituents may try to establish their right, for example, to ESA?
As I said in answer to my hon. Friend the Member for Burton (Andrew Griffiths), when people are applying for ESA in the first place the Department obviously asks them to provide any medical information they think will be helpful, and as part of that process GPs are required contractually to fill in a specific form. Constituents should not be charged for extra information provided on top of that as part of their application. If the right hon. Gentleman wants to give me the information, I will be very happy to look into the specific case he mentions.
(10 years, 4 months ago)
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If the right hon. Gentleman looks into all the footnotes, everything associated and all the figures about what is expected by the end of the programme, he will find the numbers I cited. I can get the report out and go through it—I know that he has been flicking quickly to various points on his iPad, but I can give the full report because I went through it in quite some detail.
We are here to look at what Jobcentre Plus has been doing. It has carried out more than 25 million adviser interviews to help to prepare people for work. We talk about the scale; it is huge. Jobcentre Plus advertises 4 million job vacancies for around 390,000 employers. More than 97% of our JSA claims were processed within 16 days—an improvement of 10% from last year. The process of continual improvement that we talk about is happening.
We have reduced the average time taken to answer calls at our call centres from 4.55 minutes in 2012-13 to 1.07 minutes in 2013-14. According to our last survey, nine out of 10 employers were satisfied and a quarter were extremely satisfied with what we are doing. More than eight in 10 claimants on disability, carer or unemployment benefits report that they are satisfied with the DWP’s service. All that shows—
I am afraid that, because the right hon. Gentleman has just walked into the debate as I am giving my closing speech and has not heard from other Members, I cannot give way. There is only a limited amount of time, and since it is a three-hour debate, I have many questions to answer.
We have seen the complete modernisation of the Jobcentre Plus system. The system has been personalised and adapted to new technology. We have seen greater employer engagement—how do we get a tailor-made service so that a jobseeker really is ready to go into work? That is what we have tried to do.
When we talk about personalising the service and getting as many people as possible into jobs, one key thing that has come out is the claimant commitment. The claimant feels that they are in charge of the journey they are on and that the adviser can help them. I am pleased to say that more than 26,000 of our staff have received the required training and now all 714 jobcentres offer the service. That is helping 600,000 claimants who have signed the new agreement.
The right hon. Gentleman quotes an anonymous whistleblower, but I am the Minister replying and I am not anonymous. We do know what good cause is. For example, if there were confusion about someone going to a job interview who thought they should have been at Jobcentre Plus, that would be good cause, and if somebody had to go to a funeral of an immediate family member, that would be good cause, too. There is a list of various good causes. If it makes common sense, that has to be right and those people have to be looked after.
Of course, we are far from complacent and continue to look for ways to improve the system and ensure that sanctions are applied appropriately. Some improvements have already been made, including introducing a telephone line for providers to check whether a sanction is appropriate, and we have introduced a new quality assurance framework, to improve standards and consistency in decision making—that has to be key.
The Matthew Oakley review will make a significant contribution to our drive to improve the system. The scope of this review was JSA sanctions for claimants on mandatory back-to-work schemes, focusing on clarity of information and claimant understanding. He has been generally positive about the sanctions system and we welcome his recommendations, which we accept and which will, as I said, be with us before the end of this month.
We need to know where we are going and we are now focusing our attention on the hardest-to-help claimants. Record numbers of people are now in work—[Interruption.] I am glad the right hon. Member for Birkenhead is listening rather than laughing, because many extra people are in work in his constituency, too, and right across Wirral. However, we must concentrate our efforts.
Will the Minister not answer my question, since she has now named me? Will she give way?
I am afraid that I will not. I will continue with what we are doing.
We do, indeed.
We are concentrating on the hardest to help and focusing our efforts on them. As I have said, the Work programme is part of that and we have seen the results from the 1.5 million people who have gone on it: 550,000 have had a job start and 300,000 of those are in sustained jobs. Equally, our Help to Work programme is helping another 200,000 people, whom our coaches will be working with to assess their needs and refer them to further intensive support, whether daily signing or community work placement, to find out what limiting factors are not helping them into work. Is greater support needed? Is it about employability skills? Do they need more work skills? Those are the things that we are really trying to get to grips with, understand and reach out further on. Early trailblazing of this approach shows that continuing this support has a long-term positive impact on claimants. Participants spent less time on benefit and more time in work over a 21-month period.
Many questions have been asked. I shall answer some of those asked by the right hon. Member for East Ham. We have talked about good cause and personalisation, the claimant commitment and extra support, and about the whistleblowers. Yes, the Prime Minister met the Trussell Trust, as did I. I have also been to my local food bank. We will all agree—there is no doubt—that those organisations are doing a good job, supporting people, but we have to look at the bigger implications for society as a whole, which is why it was right that the Prime Minister met the Trussell Trust. We know that it was set up in what was regarded as a boom time, when things were going well, before 2007. That was back in 2002 and the organisation increased tenfold, just as it was setting up, up to 2010. It went to the then Labour Secretary of State for Work and Pensions, asking, “Would you signpost?”, but the Labour Secretary of State said, “We will not”, because the Government did not want it growing even bigger and did not want to help people out, because it was growing on the ground. However, when it approached the Secretary of State in this Government, he said, “I will signpost people to those, if need be, because you need to help people as best you can.”
So many things come into play, as the people who run food banks say: understanding how to cook; prioritisation of bills; debt; and debt cards. So many things are tangled up with this issue that we have to educate and support people, as well as doing things right in an emergency. However, this Government and Jobcentre Plus are getting it right on taking the first step to get people out of poverty, by any standard and according to all parties in the House, because we are seeing record rates of people getting into work.