Breathing Space Scheme: Consultation Response

Lord McKenzie of Luton Excerpts

Wednesday 19th June 2019 Lords Chamber

[Lord Young of Cookham]

The answer to “please do” is, “Yes, I will”.

[Lord McKenzie of Luton (Lab)]

My Lords, like other noble Lords I warmly welcome today’s announcement. At the start of his presentation, the Minister talked about progress that was being made other than via these announcements, and he referred to financial capability. Can he update us on what progress has been made in that area? He touched upon the issue of overpayments of social security, whether through universal credit or otherwise. Can he say again how that fits into this scheme and whether the sanctions delivered on people might be covered by it?

[Lord Young of Cookham]

The second part of the noble Lord’s question is easier to answer than the first. Any overpayments to the DWP will stop. People will not have their benefits docked if part of their benefit is an overpayment of a previous benefit; that will stop from day one. Likewise, if they have been overpaid universal credit and it is being docked because that is being paid back, that will stop on day one. On financial capability, I remember the noble Lord’s interventions during consideration of the Bill referred to by the noble Lord, Lord Stevenson. I mentioned in passing the work of the Church in financial education, but the noble Lord’s question deserves a more substantive reply than I can give at the moment. Perhaps I could write to him about progress on developing financial capability.