Welfare Reform Bill

Debate between Lord Skelmersdale and Baroness Campbell of Surbiton

Monday 10th October 2011 Grand Committee

[Baroness Campbell of Surbiton]

My Lords, I would also like to support the amendment of the noble Baroness, Lady Lister, and congratulate her on her first amendment. What a good first amendment. Disability charities, including the full membership of the Disability Benefits Consortium, have expressed grave concerns to me that many disabled claimants, particularly those with mental health problems or learning disabilities, will struggle to manage their budgeting over monthly intervals. With the proposed replacement of the discretionary Social Fund and by confusing an unpredictable plethora of local schemes, accessing crisis payment when budgeting problems arise will be very hard for this group of people also.

I support a man with mild learning and behavioural difficulties. He can just about manage his two-weekly payments and often, at the end of the two weeks, it is up to his friends—normally me—to sub him until the end of that two-week period. I have no idea how he will manage on a monthly basis. He falls under the radar of most help and I know that he would not seek it anywhere but me. So it also puts a burden on families, friends and other poor relatives who are often in the same situation to make up the shortfall. I support the noble Baroness and would like to know what the Minister has in mind for this particular group of people to cope with a monthly payment.

[Lord Skelmersdale]

My Lords, at Second Reading I think all of us supported the idea of simplicity for universal credit. Of course, simplicity works both ways: it works in favour of the beneficiary and in favour of the department. If you offer people a choice, you are mucking up that simplicity as far as the department is concerned and, inevitably—and I am sure my noble friend will tell me—there will be a cost in so doing. He may even be able to quantify that cost.

As most of the Committee will know, my wife runs a small business which for part of the year depends entirely on attracting extra casual staff. Two years ago, she went to them and said, “It would make life a lot easier for me if we could pay your wages monthly rather than weekly”. Some of them immediately were very happy to say yes; others to say no. Eventually, without undue coercion or persuasion—except from their colleagues—they decided they would all go on a monthly wages basis. That is fine, but what I find difficulty with in the amendments is the proposal to offer people a choice and for the department to have to stick to that choice. For me, payments should be either fortnightly or monthly. We have heard very good arguments against monthly payments, which I accept. However, the second amendment in this group—the either/or amendment—is just plain loopy.