Disability Employment Support
Maria Miller Excerpts(13 years, 4 months ago)
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The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
Following the publication on 9 June of Liz Sayce’s independent review of specialist disability employment programmes, I will today publish the Government’s response, and a consultation on a number of the specific recommendations.
At the time of publication, I welcomed the central theme of the review, that resources should be directed towards disabled people themselves, giving them maximum choice and control over the services they receive.
The Sayce review makes a range of important recommendations about how to turn this aspiration into reality. Liz Sayce has put forward a new direction for specialist disability employment services that would see Access to Work improved and expanded, using funding released from reform of Remploy and residential training. Over time, the Sayce review recommends moving towards a single specialist disability employment programme built on the Access to Work model, that would sit alongside and complement the services provided through the Work programme.
If implemented in full, the Sayce recommendations would have a significant impact on some of the organisations that currently deliver employment services to disabled people, particularly Remploy and residential training colleges. Before taking decisions in these areas, we are seeking views through a public consultation.
Remploy is now in year four of a five-year modernisation plan. In autumn 2010, the Government confirmed that the modernisation budget over the five-year plan remained unchanged, at £555 million with an additional £111 million to meet the additional costs of restructuring. However, in spite of this significant investment, Remploy has not met the majority of its modernisation plan targets, which have proved to be unrealistic. Liz Sayce found a total consensus among disabled people’s organisations and charities that the Remploy factories were not the model for the 21st century.
I am therefore attracted by the new model for Remploy set out in the Sayce review. This model would see Remploy leaving public sector ownership, with organisations and employees themselves being given the opportunity to create new businesses or acquire existing businesses, where viable. Where businesses were not viable, and could not continue, employees would receive a comprehensive package of support to find alternative employment. Before taking decisions about the future for Remploy, I am inviting views on these specific recommendations as part of the public consultation.
In relation to residential training, I welcome the recognition in the Sayce review of the unique and very valuable function which the colleges perform in supporting disabled people to achieve qualifications and adapt to disability. Through consultation, I am seeking views about whether we should adopt the Sayce recommendation that this provision should no longer be funded through direct employment programme spending and that residential training colleges should be supported to seek a wider range of funding sources. We would not want to lose the expertise the colleges provide and so we are also seeking views about how any transition could best be managed.
The Sayce review sets out how Access to Work could be improved and expanded. I agree that Access to Work has the potential to help more disabled people and to be delivered more effectively. However, a large increase in customer numbers cannot be achieved without additional funding. Decisions about the future strategy for Access to Work will therefore need to be taken in the context of the responses to the consultation. I have already confirmed that the budget for specialist disability employment programmes is protected over the current spending review period and that any resources released from reforms, after investing in support to help those people and organisations affected through the transition, would be used to improve services and help more disabled people enter and remain in employment.
I have already accepted the recommendation to form a cross-Government ministerial group to oversee a new strategy for disability employment, and the group has now been established.
I will work with disabled people and their organisations to explore the recommendations in the Sayce review. The consultation runs to 17 October, and I encourage responses to the consultation from disabled people, organisations of and for disabled people, employment service providers and all those who have an interest in this important topic.
Welfare Reform Bill
Maria Miller Excerpts(13 years, 5 months ago)
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The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
I know that the right hon. Member for East Ham (Stephen Timms) is keen for us to make progress today and was somewhat concerned that we did not complete consideration of all elements on Monday. I will try to address all the issues that I am able to address in a speedy manner so that we can consider things fully.
Right hon. and hon. Members who have been listening to the debate thus far will already have a flavour of the complexity of the current scheme. Unfortunately, the scheme is open to widespread abuse, and some of that is driven by the remoteness of the administration of these elements of the discretionary social fund. Just so that hon. Members are absolutely clear, I should say that we are talking about replacing budget loans, crisis loans and the community care grant with national payments on account, including advances and alignment payments, and with local authority -delivered local assistance. The bulk of the comments of the hon. Members for Hayes and Harlington (John McDonnell) and for Westminster North (Ms Buck) were about crisis loans, half of which are alignment payments, which will continue to be paid at national level through payments on account. It is important that hon. Members are aware that to all intents and purposes people will still have access to that money on a national basis. I hope that will reassure hon. Members regarding a number of the issues raised.
I do not think that the status quo is an option because of the level of abuse in the system at the moment. First, the number of crisis loans has tripled since 2006, but we do not believe that that increase reflects an underlying increase in genuine need as a result of the recession or anything else. We have looked in detail at the individuals who are causing that increase in demand and our analysis has shown that it is being driven by young single people on jobseeker’s allowance, many of whom are still living at home. We should be looking at what is driving that demand and asking whether the money is getting through to the sort of vulnerable people about whom the hon. Member for Hayes and Harlington is rightly concerned.
Ian Paisley (North Antrim) (DUP)
What is the Minister going to do to ensure that the operation of the social fund across the devolved regions does not set a hierarchy of standards and differences that are so far apart that people come to realise that the social fund operates very differently in certain parts of the UK? That would create hardship for many vulnerable people.
Maria Miller
The national payments on account will be dealt with on a national basis in the same way in any part of the country and the regulated part of the social fund will continue as it is. The hon. Gentleman is talking about how local assistance will be dealt with and I am sure that he, like all hon. Members, will know that local authorities want to do their best by the vulnerable citizens we are talking about. That is certainly my experience of most, if not all, local authorities.
Naomi Long (Belfast East) (Alliance)
Will the Minister give way on that second point?
Maria Miller
Will the hon. Lady forgive me if I make a little more progress? As I have said, we really need to move through this quite quickly.
Another reason why the status quo is not an option was highlighted only this week when community care grants were referenced in a “Dispatches” programme, which showed that an ex-offender who had received a community care grant for resettlement had spent the money on drugs. We should all be concerned about the lack of checking on how money is used and we should look at how to improve the system.
The hon. Member for Westminster North took a great deal of pain to talk about people who claim crisis loans having some degree of mobility and disengagement from the democratic system. I am not sure what evidence she has to support those assumptions, but we do not have that evidence to hand. The three elements of the discretionary scheme that I have talked about have very different and distinct client groups.
Bridget Phillipson (Houghton and Sunderland South) (Lab)
May I draw the Minister’s attention to one group of people who might fall into that category? Victims of domestic violence might not be on the electoral register because they are forced out of one area and into another and they therefore do not have the democratic accountability that comes through the ballot box.
Maria Miller
The hon. Lady is obviously a mind reader, because I was just about to talk about whether the changes we are discussing will be a problem for victims of domestic violence—a group whom we all want to ensure get that support and are able to move to a place of safety, as is absolutely right. We do not believe that the new localised service will be a barrier to people in genuine need, particularly victims of domestic violence. It will provide an opportunity for more joined-up services on the ground while continuing to give individuals in that situation access to national payments on account through advances or alignment payments. The hon. Lady will be aware that under the current scheme victims of domestic violence must have fled the family home to qualify for support to set up home from the discretionary social fund.
A third and very important reason why keeping the status quo is not a sensible option is the need to align support with the wider changes that are happening in the welfare system. To continue running the current administratively burdensome system is no longer financially sustainable. Community care grants and crisis loans for general living expenses will be replaced by locally based support, which will be the responsibility of local authorities in England and the devolved Administrations in Scotland and Wales. That will deliver on the coalition’s commitment to implement the Calman commission’s recommendations and will tie in with the wider Government agenda on localism, as has been mentioned. Local authorities are better placed to understand the issues that people in their area face and to dovetail existing and needed services. Different areas face different issues and local authorities will be free to come up with the sort of innovative ideas that will address these issues and make sure that the money that is available is targeted at the right purposes so that we move away from a situation that allows the sort of abuse I have mentioned.
Stephen Timms (East Ham) (Lab)
We learned in Committee that although council tax is delegated to local authorities, investigations of fraud will be carried out nationally by the single fraud investigation service. The Minister has talked about abuse. In the case of the devolved social fund, where there is a worry about fraud will it be investigated by the local authority or by the single fraud investigation service?
Maria Miller
Local authorities will be free to consider whether they need to set up their own service locally or use the local government ombudsman. It really is for local authorities to look at the most effective way of dealing with levels of fraud or with any dissatisfaction with the way in which they are delivering services. The amendments do not really grasp the premise behind the Government’s proposals. We want to move to a situation in which local authorities are looking at the gaps in their services locally and are able to use the funding that is forthcoming as a result of these changes to fill those gaps and pull together the sort of service that is required by vulnerable groups such as those we have been discussing.
Crisis loans for alignment purposes and budgeting loans will be replaced by new national provision. As I have said, that accounts for half of all current crisis loan applications. That provision will be delivered nationally by the Department for Work and Pensions. The ending of the discretionary social fund and the implementation of replacement schemes, both nationally through payments on account and locally by local authorities and the devolved Administrations, is the best way to approach the reform. Amendments 53 and 54 would prevent those reforms from taking place and would leave us with an out-of-date and inefficient discretionary social fund scheme that would soon be unworkable with the introduction of the wider benefit reform we have already outlined.
Maria Miller
The hon. Lady will know that we have had a call for evidence, and we will be considering the many different views of the organisations she mentions. We will of course want to work with those organisations to make sure that our policies work well. I remember some confusion in Committee about whether we were talking about the social fund or the discretionary social fund, so perhaps we need to make sure that people really understand our policy. Empowering local organisations at local level—the sorts of organisations that the hon. Lady named—to work with vulnerable groups in the individual community will, I think, be welcomed by many organisations on the ground.
Steve Baker (Wycombe) (Con)
Does my hon. Friend share my slight puzzlement that the left seems to have abandoned the rich tradition of mutuality and self-help that was the foundation of the Labour movement? I am not hearing very much about that from the Opposition.
Maria Miller
I thank my hon. Friend for his intervention. I too was thinking about some of the speeches earlier this week; responsibility and empowering people are vital.
Amendment 39 misses the point when it proposes a pilot scheme to determine the feasibility of whatever scheme would replace the discretionary social fund. It would be impossible to run a pilot scheme for each local authority. We could run only a single pilot scheme, which would lead to our stifling any ideas local authorities might have about how to improve their local area. I hope that my experience of local authorities is no different from that of the hon. Member for Westminster North. They really understand their responsibilities to the most vulnerable groups in society and rather than deprioritising them, which is the inference from her comments, they are very much a priority. Those groups may not have a strong voice at the ballot box, but most councillors I meet are very motivated about getting the right support to them.
John McDonnell
I do not want to get drawn into discussions about blue Labour, and I understand the hon. Lady’s anxiety about almost flying against the localism agenda, but there is a mid-way point. Even if the Government are not looking at laying down criteria or guidelines, is there no thought that central Government could convene local authorities to explore best practice before the proposals are implemented?
Maria Miller
There have already been conversations with local government, and as I think Opposition Front Benchers hinted at, there was a broad welcome for the proposals. We shall certainly be working with local authorities to make sure that what happens is exactly what the hon. Gentleman was talking about; the spread of best practice will be critical.
The amendment seems to have taken no notice of the national provision of payments on account that DWP will provide under clause 98. Budgeting advances—the replacement scheme for social fund budgeting loans—will be very similar to budgeting loans, which have been hugely successful and largely self-financing. Budgeting advances will be targeted at those who are least likely to be able to access mainstream lending. That will help to ensure that vulnerable people are not driven to illegal lenders, which is rightly of concern to Opposition Members.
Short-term advances—the replacement scheme for interim payments and crisis loan alignment—will ensure that people who face financial need as a result of problems with their benefit claims will, if they are eligible, be able to access financial assistance through interest-free advances of their benefit. The grounds for eligibility will be set out clearly in regulations.
Another element of the amendment is a requirement for the Secretary of State to publish a proposal for a replacement scheme, based on wide consultation with stakeholders. We are already taking that approach in our discussions about replacement schemes. We will soon publish our response document to our call for evidence, which was based on wide consultation with lobby groups and local authorities. There will be a large amount of information and evidence for Members to consider.
The amendment requires local authorities to set up an independent appeals mechanism, but as I have already said, local authorities will be able to set up an internal review mechanism if they think it appropriate. Furthermore, the local government ombudsman offers a fair and impartial service for people who are dissatisfied with a decision made by their local authority.
In conclusion, the national scheme of payments on account and the local provision, as delivered by local authorities and the devolved Administrations, will provide well-considered replacements for the discretionary social fund, and will make sure that we are supporting more effectively than is currently the case the vulnerable individuals we have discussed today. With those reassurances, I hope Members feel it appropriate to withdraw their amendments, and we can press forward with the Bill.
Yvonne Fovargue (Makerfield) (Lab)
As we have heard, the discretionary social fund currently consists of budgeting loans for managed expenditure, crisis loans for emergencies and community care grants for essential household items such as cookers and beds for certain groups—for example, vulnerable people who are moving into new accommodation. The provision is national and acts as a safety net for benefit recipients facing essential expenditure they cannot meet.
It bears repeating that in 2009-10, there were 640,000 applications for community care grants and 3.64 million applications for crisis loans. That demonstrates the scale of the activity we are asking local authorities to take on. It is no small task, but it is absolutely vital to the financial well-being of many of the poorest and most vulnerable people in our society. Although an alignment scheme will be introduced—in effect, allowing advance payment of benefit—I have seen from experience how important it is that people can claim a community care grant, which does not have to be paid back, for their living expenses. It does not put people on the lowest possible income into debt. Without that, people will be driven into the arms of the high-cost lenders, which will reduce their chances of managing their debts successfully. That will put more strain on other services—for example, the health service—due to the increase of stress and depression caused by the cycle of low income and debt.
Proposals were outlined in 2011 to transfer to local authorities, with guidance, the funds currently used, but there will be no new statutory duty for how the money is to be used. It will not be ring-fenced. Local authorities have numerous calls on their expenditure at present, and without ring-fencing we cannot guarantee that the provision will go to those who are most in need. I envisage a number of different policies and that some vulnerable people will lose the right to apply for emergency support. They may be trapped between two local authorities with differing policies.
Yvonne Fovargue
I do. It is difficult for local authorities to provide a consistent service. As we have heard, people who are fleeing domestic violence will have an especially difficult time as they move from one local authority to another overnight. How will they be treated?
Maria Miller
I apologise for intervening on the hon. Lady, but may I clarify that people will be able to access that sort of money through payments on account, as I outlined?
Dame Anne Begg
That is my understanding also. There will be a group of people who will have paid the contributions in the two previous years and who will go straight into the support group and get to keep the benefit for life, but those with slowly degenerative diseases and those who come from better-off households will get nothing at all. It is that kind of unfairness and that sense of a two-tier system that frightens people.
Maria Miller
On a point of order, Mr Deputy Speaker. Although it is very interesting to hear about the ESA, it actually is relevant not to PIP, but to another section of the Bill.
Mr Deputy Speaker (Mr Lindsay Hoyle)
I am sure that there will be a conclusion in which the two points join together. I am not taking that as a point of order.
Maria Miller
It is absolutely right that we have a serious, considered and detailed debate on the reform of one of the most important benefits that we have, not only in relation to disabled people but within the whole array of benefits. It also represents £12 billion of taxpayers’ money, so they would expect us to have a good and detailed debate.
I do not like to take issue with the hon. Member for Aberdeen South (Dame Anne Begg), not least because she is Chairman of the Select Committee—I had the pleasure of appearing before her this morning—but if it was easy to change the current system of DLA by simplifying the claim form, making it easier to understand and streamlining its administration, then I am rather surprised that the previous Government did not address those issues before. In fact, perhaps it is not I who take issue with the hon. Lady but Opposition Front Benchers, given their stated position. The right hon. Member for East Ham (Stephen Timms) has said:
“we recognise that it is right to reform the DLA and accept that it is perfectly sensible to use a medical test as the basis for assessment”.––[Official Report, Welfare Reform Public Bill Committee, 10 May 2011; c. 825.]
I have to take issue with the idea of a medical test, but the right hon. Gentleman obviously has his own reasons for saying that. The hon. Member for Glasgow East (Margaret Curran) has said:
“There is no doubt, and it has been plainly stated, that there is a case for reform. The Opposition and I are clear about that.”––[Official Report, Welfare Reform Public Bill Committee, 10 May 2011; c. 767.]
I think she said that when she was in the Scottish Parliament. [Interruption.] She said it recently as well. There is clearly a growing consensus on the need for reform.
When DLA is not getting the right support to the right people and £600 million is being paid in overpayments, and there are £190 million of underpayments—hon. Members will be equally concerned about that—there is a clear need for some fundamental changes. I hope that Labour Members who are feeling shaky on the need for reform can remind themselves that their party has also called for it in the past. Perhaps the position has changed, but those on the Front Bench have certainly not indicated that today.
Mr Tom Clarke (Coatbridge, Chryston and Bellshill) (Lab)
Will the Minister give way?
Maria Miller
I hope the right hon. Gentleman will forgive me if I do not take many interventions, because I am very conscious of the time and of the desire of Opposition Front Benchers to get through the selection list. Many questions have already been asked and I will deal with them as I go through my remarks.
Before I respond to the issues that have been raised, I will set out the three basic principles that are central to our reform. The personal independence payment will provide support for long-term needs. It is one of a wide range of benefits that are on offer. It will be based on an assessment of the impact of a health condition on an individual and their ability to lead an independent life, rather than just on the condition. Above all, it will be fair.
Amendment 43 seeks to exclude individuals from the face-to-face consultations in the new assessment process for PIP. DLA relies on a self-assessment form and I will not go through the details of why that does not work. One of my constituents had to take a four-hour course to learn how to fill out the DLA form, which shows its ineffectiveness. One of our key proposals to ensure that the benefit has a more consistent and transparent assessment is that most people will have a face-to-face consultation with a trained independent assessor. The consultation will allow the individual to play an active part in the process, rather than passively filling in a form, and put across their views on how their health condition or impairment affects their everyday life.
We recognise the importance of ensuring that the assessment process is sensitive and proportionate. The Minister of State, Department for Work and Pensions, my right hon. Friend the Member for Epsom and Ewell (Chris Grayling), has a great deal of expertise in that area from his work on the work capability assessment. Let me be absolutely clear that when it comes to PIP, some people will not be required to attend a face-to-face consultation. I was clear about that in Committee and I reiterate it now. For such people, the assessment will be carried out on the basis of evidence that has already been gathered. Such decisions will be at the discretion of the individual triaging the assessment as it goes through.
Amendment 43 would undermine one of the key principles of PIP. It would effectively label people by health condition or impairment, rather than treat them as individuals. The disability organisations with which I am working day in, day out on the development of the assessment and the overall benefit would feel that to be a step back, not a step forward. The impact of a condition can vary greatly. Under the amendment, somebody with a severe mental impairment would not have to have a face-to-face assessment. That is a broad category, which covers a wide range of conditions that affect people in many ways. Although we accept that not everybody who has a severe mental impairment will have to undergo a face-to-face consultation, for others it will make a great deal of sense. For that reason, I cannot accept the amendment.
I deal now with amendments 44 to 47, 76 and 77. I am grateful to the Opposition for agreeing that PIP is a long-term disability benefit, and that there should be an expectation that there will be limitations for a period of not less than 12 months. The proposed qualifying period will allow us carefully to assess someone’s ability to carry out a range of activities once their condition has settled down and potentially once the effects of treatment and rehabilitation have begun. PIP will be a valuable, universal, tax-free benefit—that is carried forward from DLA—and it will be paid irrespective of whether a person is in or out of work. I emphasise that point for the hon. Member for Islington North (Jeremy Corbyn), who conflated it with an out-of-work benefit. It is our view that the additional financial support that it brings should start only once other support mechanisms have played their part and once the financial burden becomes onerous for an individual over the long term, regardless of their income.
I can reassure Members that the Government have been listening to the arguments regarding the return to a three-month qualifying period, and we will continue to listen and talk regularly to disabled people and their representative organisations. We recognise that for some people there may be additional financial burdens at the outset, but we have to consider the matter within the ambit of the wide range of other support that is already available during the early months.
Maria Miller
Will the hon. Lady forgive me if I do not give way now? Perhaps if I do not cover her point, she can intervene on me later.
The hon. Member for Aberdeen South has tabled amendments 76 and 77, about how we treat fluctuating conditions. That is absolutely an important part of ensuring that we have a successful assessment. The use of the term “every time” in the Bill has caused some concern, I believe unnecessarily. I hope that I can allay her concerns about it.
Our approach will be to have two main components to the assessment. First, we will consider whether an individual is able to carry out an activity, and whether they are able to do so reliably, repeatedly, safely and in a timely manner. If they cannot, it will be considered that they cannot complete that activity at all.
Secondly, the assessment will not be a snapshot of any one day, as I am sure the hon. Lady would expect. It will consider an individual’s ability to carry out activities over a period of time—we suggest a year. It will consider impacts that apply for the majority of the time. We will determine whether somebody has met the required period condition by considering whether they would be likely to meet the requirements of the assessment if they were assessed at any point over the period in question, which will effectively create hypothetical assessments across that period. We envisage that the assessment will not consider the effects of a disability on just one day, because the same principle will apply across the whole period. That means that we will consider an extended period of time, and that we will still apply the “majority of time” test. I think she will be reassured by that. As such, individuals will be able to meet the required condition even if their disability fluctuates over the specified period. We intend to include the treatment of fluctuating conditions in the next iteration of the assessment regulations, which is due to be published in the autumn. I hope that provides some reassurance.
I turn to amendments 66, 41 and 42. We have already announced that we will not remove the mobility component of DLA from people in residential care from 2012, as originally planned. We have also said that we will re-examine its position within the personal independence payment, which is precisely what we are doing. When that work is complete we will make a final decision, in the context of the full reform of DLA and the introduction of PIP.
Maria Miller
Perhaps the hon. Lady can let me finish and see whether I have covered her point.
We will treat care home residents in exactly the same way as any other recipient of DLA. The views that have been expressed during, and in the lead-up to, today’s debate have been vigorous and made people’s positions clear. That is why we are not introducing the change in 2012 and are undertaking a review of the practical issues on the ground. We will not produce a review report, because we are not undertaking an official review. We are simply collecting information about the implementation of the policy at the moment, as I am sure Labour Members did when they were in government to inform their policy decisions.
Sheila Gilmore
It is very important that the Minister clarifies exactly what is intended. Does she still intend at some point, perhaps after a review or some information gathering, to treat the people affected as a group and decide whether they are entitled to the benefit, or will each individual case be assessed? If it is the latter, how will the information be gathered?
Maria Miller
If the hon. Lady will listen to my full remarks, I hope that she will be satisfied. We have made it clear that we want to remove overlaps, and that we do not ever want to limit severely disabled people’s ability to get out and about, so we will not do what she describes.
Maria Miller
Will the hon. Lady forgive me if I try to complete my remarks? I will give way if I have not answered any questions. I will ensure that when we introduce PIP from April 2013, disabled people are treated absolutely fairly, regardless of their place of residence. We do not intend to undertake what the hon. Member for Edinburgh East (Sheila Gilmore) was talking about.
Cathy Jamieson
Given the concerns about the term “overlap”, will the Minister be absolutely specific about what she means by it? For example, is it overlap if a care home uses a minibus to transport residents?
Maria Miller
Obviously we are looking at whether an individual has access to support, not at whether a care home has access to it. I could not make it plainer than to say that we do not intend to remove somebody’s ability to get out and about. That is a plain and categorical statement, and the hon. Lady can interpret it as she chooses—I know that I interpret it as a plain and clear statement. Support for disabled individuals should be available in the social care packages that are available on the ground. If that support is not in place, there is no overlapping benefit.
Maria Miller
Will the hon. Lady forgive me for moving on and making some more comments?
Opposition Members will not be surprised to hear that I feel strongly that the Government have made our position clear on this matter.
Margaret Curran
I cannot understand this. If, as the Government say, they are not removing the DLA mobility component from people in residential care, why do they need the Bill to give them the power to do so?
Maria Miller
We are not doing that. We are reviewing the situation. As the hon. Lady will of course know, we need provisions in the Bill to take account of other areas of overlap within PIP—it was the same under the previous Administration—so that we do not pay certain elements of the benefit to people in various types of accommodation. Any change or refinement will be dealt with in regulations, which she will be able to view for herself.
Duncan Hames
I have heard very clearly the Minister’s assurances in her remarks so far, but I am at a loss as to why the Bill refers specifically to residence in a care home as a condition for clause 83(1)(b). I am encouraged by what she has said, but I do not understand why that provision remains in the Bill.
Maria Miller
My hon. Friend will know that we are looking at this matter in some detail, and at the evidence on the ground. If we do not feel that an overlap is in play, we will take the appropriate action. He can rest assured that any further action that we take in that regard will be defined in regulations and subject to further debate.
Amendment 73, to which my hon. Friend the Member for Cardiff Central (Jenny Willott) spoke, would require the Secretary of State to produce a report on the impact of regulations made under clause 83 within a year of their being laid. In the light of the explanation that I have just given, considering whether to produce a report on the impact of regulations made under the clause could be premature. I therefore hope that she does not press the amendment to a Division.
Similarly, on amendment 74, on regulations, I repeat my assurances that we take extremely seriously the concerns expressed earlier about care homes, and we are committed to responding to them in the right way. The House would expect the Government to look at the facts of how a policy would be implemented before they move forward with it, which is exactly what we are doing. The amendment would make regulations applying to the payment of the mobility component of PIP subject to the affirmative resolution in the first instance. We spoke at length about that in Committee, and I do not want to debate again whether a resolution should be affirmative or negative. We are subject to the scrutiny of Parliament in this. I would like to return to the commitment that I gave the hon. Member for Glasgow East in Committee when I said that I would reflect on whether other regulations should be subject to the affirmative procedure. I am happy to reiterate that, but at the moment I do not think that we need to go further.
Stephen Timms
The hon. Member for Cardiff Central (Jenny Willott) argued that when the review has been carried out and the Government have a proposal, it should at least be consulted on before it is put into effect. Will the Minister at least accept that point?
Maria Miller
We are not producing a report to consult on. What we will do is make our position clear, and then there will be the opportunity for people to give us their views on that.
Finally, I would like to speak to amendment 60. I believe that the intention of the amendment is to ensure that the new assessment for PIP is working effectively before it is used to reassess the existing disability living allowance caseload. I can reassure the hon. Member for Glasgow East that it is our intention to do that. But I can go further than that—the Government are committed to ensuring that the new assessment is working effectively before it is used for any individuals, new claimants or not.
Dame Anne Begg
Related to that point, although it is slightly different, I wonder whether the Minister can allay the fears of people with Motability cars. Some of them could sign a new lease this month and be reassessed for PIP before the end of that lease, so they might lose the mobility element of DLA and therefore lose their car. What would happen in such cases?
Maria Miller
I had a meeting with Motability yesterday to talk about these issues, which was one of many meetings that I and officials have had with it. We will look at the issue in great detail. Motability provides a fabulous service to disabled people and we will ensure that the issues that the hon. Lady mentions are addressed.
Maria Miller
If the hon. Lady will forgive me, we are running very short of time.
Amendment 60 would have the unwelcome effect of allowing the automatic transfer of existing DLA claims on to PIP without any review of entitlement. PIP is a new benefit, with new entitlement criteria and a new assessment of individual need. To transfer people to PIP automatically without first determining whether they are eligible for the benefit would be inherently unfair and would perpetuate the failings of the current system. I cannot therefore accept that amendment.
I hope that I have started to give hon. Members a flavour of the scale of work that is being undertaken by the Department in putting forward a new benefit of this scale. I hear the loud reiteration of many of the arguments that I have had with disabled people and disabled people’s organisations over the previous months in hon. Members’ comments today. I am sure they will be reassured that disabled people and disabled people’s organisations are at the heart of the development of our assessment, which is now fully available for people to look at and comment on online. Some of the amendments proposed today are wholly inconsistent with the principles that I have set out for our reform of PIP, while others are unnecessary. I hope therefore that the hon. Member for Glasgow East will withdraw the amendment.
Jeremy Corbyn
I will be brief because many other hon. Members wish to speak, and under the timetabling motion we have to conclude by 6 pm, which is very inadequate given the seriousness of the issues. I shall speak specifically to amendments 43, 76 and 77. Amendment 43 was tabled by my Front Bench colleagues and I am happy to support it. I have added my name to it and I hope that they have noted that. Amendments 76 and 77 were tabled by my hon. Friend the Member for Aberdeen South (Dame Anne Begg).
This morning, I was at a commendable place known as Centre 404 in Islington, which provides support and activity for those with physical disabilities and learning difficulties, as well as support for their carers and families. It has been going for 60 years and is a very successful and effective organisation. The large numbers of people there this morning were discussing the introduction of PIPs and the issues surrounding carers week. Before we go into the details of the amendments, we should think for a moment about the enormous amount of work done by carers, who are inadequately recompensed and save the economy vast sums of money. If they were they not doing this work and giving up their careers and lives to care for those who desperately need their help and support, that care would simply not be provided and the costs to the state would be far greater, so we should recognise the economic contribution they make in a decent and humane way.
The Minister said that I conflated the question of jobseeker’s allowance interviews with PIPs. In a sense I did, because I was drawing attention to how people were dragged in for interview. For example, a lady told me—she is a much respected member of the community active on these issues—that her doubly incontinent adult daughter, who has learning difficulties, was told to go to a jobcentre for a jobseeker’s allowance work interview. It is expensive, unpleasant, wasteful, stressful for everyone concerned and an utter waste of time, and considerable damage and humiliation is caused to the individual and their family. That is why amendment 43, which would exempt those with prescribed medical conditions, would be a sensible, important and useful change to the Bill.
The Disability Alliance described to me how PIPs are likely to come in and how the assessments will take place, and the word that kept recurring was “continual”—continual prompting, continual help, continual assistance, continual support—which is interesting, because a person with a sporadic mental health difficulty does not need absolutely continual help and support, yet they do need help and support on a continuing basis. Do they then lose out on PIPs?
Fiona O'Donnell
I know that. I am questioning whether the Minister understands that that is the situation we find ourselves in and the impact it will have. Will the review include Scotland and the other devolved areas of the United Kingdom?
Maria Miller
Yes, we do talk with the devolved Administrations, but I say to the hon. Lady that the point everyone is making is that many other hon. Members would like to speak.
Fiona O'Donnell
I absolutely take heed of that and apologise if I have taken too much of the House’s time, but I feel passionately about this issue. I will bring my remarks to a close by saying that I hope hon. Members will walk through the Lobby with us to vote in favour of the amendments that my colleagues and hon. Friends on the Front Bench have tabled.
Mr Reid
I am sorry, but there is no time.
What concerns me about the Bill as it stands is that those regulations will be made by the negative procedure, which does not give Parliament the absolute right to scrutinise and vote on them. I have put my name to amendment 74, tabled by my hon. Friend the Member for Cardiff Central (Jenny Willott), which proposes that the regulations should be made by the affirmative procedure.
Maria Miller
Given the strength of feeling on this matter, from my hon. Friend and others, I am happy to give a firm undertaking that the regulations will be made under the affirmative procedure to ensure that we get the debate that I know the House wants on the matter.
Mr Reid
I am extremely grateful to the Minister for that—I wish that every time I spoke for a minute I could bring about a change in Government policy.
In the few minutes remaining, I want to talk about the proposal not to pay any PIP for the first six months. What concerns me is that that will impact severely on people who have a sudden onset of a very disabling condition, such as a stroke, cancer or the loss of a limb. Thankfully, that happens only to a relatively small number of people of working age, which means that any savings the Government would make would be very small. However, for someone in that unfortunate position the first six months is often when the costs are greatest. They and their families have to adjust to the sudden reality of coping with a disability. During those months, people are often faced with extra costs such as special aids, adaptations to their homes or frequent trips to a specialist hospital that might be far from where they live. Adaptations to the home are up-front costs that need to be paid within the first six months. Depending on their condition, those people might face many other costs.
Another relevant issue is that until PIP is awarded, other benefits such as carer’s allowance are not available. Therefore, I urge the Government to look carefully at ways of taking those circumstances into account and see whether they can find a way to make financial help available for people in that position so that they can cope with the extra costs they face in the six months after the onset of the condition.
Oral Answers to Questions
Maria Miller Excerpts(13 years, 5 months ago)
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Harriett Baldwin (West Worcestershire) (Con)
12. What recent meetings he has had on reform of disability living allowance.
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
Throughout the development of the new personal independence payment, which will replace disability living allowance, we have had extensive discussions and consultation with disabled people, their families and organisations representing them. The insight of organisations such as RADAR, Mencap, Scope, the United Kingdom Disabled People’s Council and People First into how disability living allowance can fail to support disabled people is immensely valuable. We will continue to work closely with disabled people and their organisations as the detail of the assessment criteria is developed and tested.
Harriett Baldwin
On the recent “Hardest Hit” march, I met constituents who had the impression that disability living allowance was to end altogether and would not be replaced by the personal independence payment. Does the Minister agree that in representing these disabled constituents, organisations have to ensure that they communicate clearly with those who might be affected, who are some of the most vulnerable in our society?
Maria Miller
My hon. Friend is absolutely right. It is important that the organisations working with us in the development of the new personal independence payment use that opportunity to ensure that the people whom they represent are well informed. We need a new approach to disability living allowance. The Labour party has already agreed with that, although we are still waiting to hear exactly what the Opposition’s plan would be.
Fiona Mactaggart (Slough) (Lab)
The organisations that the hon. Lady read out quite quickly sounded like organisations representing people whose conditions do not vary hugely. There are people on disability living allowance who have conditions, such as multiple sclerosis, that can get hugely better and hugely worse. How much conversation has she had with organisations representing people with fluctuating conditions as well as those with progressive conditions?
Maria Miller
The only reason I read the list out quickly was not to incur the wrath of Mr Speaker.
I would like to reassure the hon. Lady that I absolutely understand her point. Indeed, I am meeting organisations representing many people with fluctuating conditions. Importantly, we are also considering the findings of the work capability assessment to see how we can build into the new personal independence payment a way of ensuring that people with fluctuating conditions are well served.
Lorely Burt (Solihull) (LD)
13. What assessment he has made of the effects on women born between 6 March and 5 April 1954 of his proposals to increase the state pension age.
Sheila Gilmore (Edinburgh East) (Lab)
15. What estimate he has made of the costs incurred by a disabled person in the three months following diagnosis of their disability.
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
No such estimate has been made. Perhaps I should gently remind the hon. Lady that disability living allowance generally, and personal independence payments absolutely, are not related to a medical diagnosis. They are about considering people as individuals and looking at the impact of their disabilities on their ability to live independent lives. Circumstances, needs and costs will vary from individual to individual, and do not necessarily correlate to a diagnosis.
Sheila Gilmore
In Committee, the Under-Secretary said that the reason for the proposal was not savings and that she did not expect to make any savings from it. Yet people who fall ill with sudden onset conditions incur additional costs. They are not long-term unemployed or welfare dependent. Why is she making the change if not to make savings?
Maria Miller
I think what I said in Committee was that there would be some savings but that they were modest. The principle of a six-month qualifying period was not intended to deny disabled people help in the short term. That help currently comes mainly but not exclusively from means-tested support, with the personal independence payment starting when costs become a burden to people, regardless of their income. That is why it is not means-tested.
Andrew Bridgen (North West Leicestershire) (Con)
Will the six-month qualifying period allow for special cases, such as people with a terminal illness, who might not survive six months?
Maria Miller
I can absolutely assure my hon. Friend that that will be the case and that we will carry forward that provision from disability living allowance.
Ms Karen Buck (Westminster North) (Lab)
I am sure that it is not the Government’s intention in time-limiting employment and support allowance—the other disability-related benefit—to leave nearly 7,000 cancer patients potentially up to £94 a week worse off. Today, Macmillan Cancer Support and others warn that that is exactly the consequence of the Government’s policy. Will the Under-Secretary take the opportunity of the Report stage of the Welfare Reform Bill to modify that damaging policy?
Maria Miller
The hon. Lady has asked about employment and support allowance. We will obviously ensure that people in the most difficult circumstances continue to receive the support they require through the support group. For disability living allowance, it is absolutely vital that we do not analyse people on their condition, but examine the problems that they encounter in living independent lives. I think that she would expect us to do that.
Clive Efford (Eltham) (Lab)
I opposed changes to Remploy made by my own party in government which resulted in the closure of my local factory in Woolwich. Before the Government implement any further changes under the Sayce report that may result in more closures of Remploy factories, will the Secretary of State contact the former employees of that Woolwich factory, and write to me telling me how many found jobs and are currently employed?
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
I should like to reassure the hon. Gentleman that this Government’s policy is to continue with the modernisation plan, and there have not been further closures of Remploy factories. We will, however, look carefully at the recommendations of the report issued last week, which included recommendations on the future of Remploy. We will fully consult on that before going forward, and I am sure that that could well include what the hon. Gentleman suggested.
Steve Baker (Wycombe) (Con)
T6. On behalf of Micklefield job club in my constituency, a strictly voluntary effort to help people back into work, and on behalf of GB Job Clubs, a charity that supports a national network of like clubs, may I ask what the Government will do to ensure that the state does not crush such voluntary provision?
Mark Menzies (Fylde) (Con)
T7. What are the Government doing to reduce conflict between parents in their dealings with the Child Support Agency?
Maria Miller
Reducing such conflict by putting in place support for parents to work collaboratively at the time of family breakdown lies at the heart of the reforms that we are looking at. I think Members of all parties can welcome that, and it has certainly been welcomed by organisations in the charitable sector who work with families.
Mrs Linda Riordan (Halifax) (Lab/Co-op)
What were the terms of reference that the DWP gave to the Sayce team, what was cost of the report, and was the main beneficiary Radar?
Maria Miller
I thank the hon. Lady for her question. I apologise for not quite hearing the end of it, but let me say that we commissioned the report to look generally at how employment programmes were supporting severely disabled people, including all the programmes currently run by the Department. It is a very fragmented bunch of programmes, and Liz Sayce has done an excellent job in pulling that together and recommending a strategy and the way forward. Yes, we did remunerate Radar, because it was required to have additional help to support it in the running of its business while Liz Sayce was helping us.
Jenny Willott (Cardiff Central) (LD)
Changing from three to six months the period before which a claimant becomes eligible for the new personal independence payment not only means that people with sudden onset conditions, such as cancer or a stroke, have to wait longer for support, but it may affect their family’s access to carer’s allowance. Will the Minister investigate ways to enable those looking after loved ones who suffer sudden onset conditions early access to carer’s allowance?
Maria Miller
It is important that we continue to view the personal independence payment very much as something that relates to an individual and the way in which their condition affects them on an individual basis. We are not intending to look at particular conditions, but we will be carefully examining the way in which the introduction of the personal independence payment affects benefits that are passported, such as carer’s allowance, and we will bear my hon. Friend’s comments in mind.
Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)
The Pensions Minister may recall that he kindly met me, the hon. Member for Chippenham (Duncan Hames) and a representative of the Twins and Multiple Births Association to discuss a modest proposal to amend the Sure Start maternity grant for parents of multiples. He undertook to come back to us on that, so I wonder whether he could update us on when he will be able to do so.
Welfare Reform Bill
Maria Miller Excerpts(13 years, 5 months ago)
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Ms Buck
My hon. Friend is absolutely right. The scheme is not voluntary. Voluntary downsizing has a proud history. Good local authorities and housing associations provide voluntary downsizing, which is sensible. The Government’s measure requires 108,000 households whose properties have been adapted for disabled purposes to take, within the next 18 months, a significant cut in their housing benefit, or to move, regardless of the value of that adaptation. The Minister implies a mammoth bureaucratic exercise to evaluate every one of those adaptations, and to establish individual cost-benefit analyses in every case, in the hope, which I suspect will be a forlorn one, that an appropriate property will be available for people to move into when they fall foul of such analyses. That appropriate property does not have to be within the local authority area or even the region where those people have family, friends, support and, in some cases, employment.
Those two concerns, of the many that the Opposition have on housing costs, are the subject of the amendments that we have tabled. I hope that the Minister, who has made sympathetic noises on both issues in Committee, goes a little further tonight, and gives us solid and binding reassurances that there is a way of resolving the benefit trap that will catch so many people, in order, as Ministers have frequently stated in the media, to deal with a very small number of high-value claimants who dominate the media agenda. It is not fair to capture 108,000 disabled people and 750,000 claimants of local housing allowance, all of whom will be affected by the housing benefit cuts, in order to deal with a small number of extreme cases, on which we could otherwise have had a sensible debate about attempting to resolve.
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
I thank the hon. Member for Westminster North (Ms Buck)for taking the time to talk to us about her amendments today. When I heard some of the reports on the radio this morning I thought that today would be a big day, when we would really be able to understand the Opposition’s approach to welfare reform—but on the basis both of Question Time and of the debates on the Bill, many of us feel that there is a lot more work to be done.
Today was an important opportunity for Opposition Front Benchers to set out their amendments and how they would change the Bill, to show how they would deal with housing benefit. I have listened hard, but there is still no clarity. In fact, what we have heard is more and more contradictions from the hon. Lady. In her opening remarks she said that she did not want the housing benefit bill to rise, and she did not agree with housing benefit taking the strain. However, the amendments run completely contrary to those objectives. Amendment 31 would significantly erode the savings that the Government propose, and amendment 32 would draw the exemption so wide that it would be far broader than anything recommended by the specialist organisations. That is a concern.
Nor are we any wiser as a result of the Opposition Leader’s speech today, which did more to create further confusion in this area. He talked about supporting people into housing as a result of their volunteering or working. That may sound familiar, but if the Opposition seek to link volunteering and work with housing, we hope that they do not intend to undermine eligibility for lone parents when it comes to their housing needs. It is difficult to comprehend how the hon. Lady will achieve her objectives with her amendments.
Sheila Gilmore
I am fascinated by the Minister’s suggestion that people who volunteer cannot be lone parents, as she has just contrasted one group with the other.
In relation to housing, it could be suggested that amendment 31 would not achieve the results that the Government want. Having made one change—reducing the local housing allowance to the 30th percentile—are the Government really suggesting that they would be happy to see it move far beneath that if a gap appeared between that percentile and rent, if uprating were only in line with the CPI? Rents were previously uprated according to the movement of the market.
Maria Miller
If the hon. Lady recalls our debates in Committee, she will know that I have already made this very clear. The Government will keep such matters under review. Of course we want to ensure that things work as they should. What is important to me is that the Opposition have not set out in these amendments the principles that they would follow in this area. Do they want to continue to see spiralling rents in the private rented sector? Would they leave that unchecked? Do they want to see people on housing benefit being able to afford rents that those in work could never afford? Are the Opposition content to leave 250,000 social housing sector tenants in overcrowded accommodation when we have 1 million spare rooms paid for by housing benefit? The Opposition have failed to address those issues in their amendments today. In fact, they have gone further—
Maria Miller
Will the hon. Lady forgive me for making a little progress? Many other hon. Members want to come in on this debate, and I want to set out my response to the amendments before we run out of time.
Before I turn to the specific amendments, I want to pick up on what the hon. Member for Westminster North said about rising homelessness. I am sure that she believed in the effectiveness of the previous Government, but she cannot expect the sort of impacts on homelessness that she implied after just one month of a policy being in place. I do not accept that the policies we are advocating will have the impacts on homelessness that she talked about. She has to get real: these policies have only been in place since April, and could not be driving the sorts of changes that she mentioned by this stage.
The hon. Lady said that her premise was affordability and access to housing. May I remind her that, given that 40%—and in some areas, including coastal towns, 70%—of those in the private rental market are in receipt of housing benefit, it is critical that we keep control of the amount of money going out in housing benefit? That way we can help the very first-time buyers whom she purports to want to help, who are finding it so difficult to get into the purchase market at the moment, and who need to go into the rental market. The previous Government let those people down by not keeping control of housing benefit rents during their tenure.
Ms Buck
The statistic that 40% of the market is subsidised by the local housing allowance is central to the Government’s argument. Will the hon. Lady finally, helpfully source that figure? Figures released in the English housing survey last month confirmed that only 24% of those in the total private rented sector in England were on LHA. Although there are regional variations, it would be helpful if we could finally and definitively have the source for that 40% claim.
Maria Miller
I thank the hon. Lady for her question. I shall be happy to write to her with the full details, and to remind her that the proportion is only 40% on average; as I said, it is 70% in some coastal areas. That is a significant issue that helps to determine the rental rates that many people—[Interruption.] I think I just said that I would write to the hon. Lady with the details. I do not have them to hand now.
The important matter to which I now turn is my response to the two amendments tabled by the hon. Member for Westminster North and the one tabled by my hon. Friend the Member for Cardiff Central (Jenny Willott) for us to consider today. We said in the universal credit White Paper that an appropriate amount would be added to the universal credit award to meet the costs of rent for claimants. We also said that levels of support for rent would be broadly similar to the support provided through housing benefit at the time that claimants began to move on to universal credit. In the private rented sector, we will build on the local housing allowance approach, incorporating the reforms that we are making over the coming year. This will give private rental tenants access to about 30% of the rental market in their areas, including most of London.
We also need, however, to do more to constrain the growth in rents, which is why increases will be limited in line with the consumer prices index. This will ensure that we continue to put the sort of downward pressure on rents that is so important to keeping control of our budgets and to affordability for those not in the housing benefit market.
Mr John Leech (Manchester, Withington) (LD)
May I offer an alternative solution for keeping rents low? How about building more council houses and housing association houses, and getting the construction markets on the go as well?
Maria Miller
I would not want to incur the wrath of Mr Speaker by going into such issues, which are more to do with my colleagues in the Department for Communities and Local Government. Certainly, however, my Department has a responsibility to ensure that we apply that downward pressure on rents in order to ensure affordability for people across the board.
Dame Anne Begg
The housing associations in my area are saying that because they are likely to have people defaulting on their rents, such housing will no longer be a good investment, and for that very reason further building programmes are likely to be curtailed. That is the result of the Government’s policies.
Maria Miller
I know that that issue has been brought up, and we will work on it with the landlords concerned. Obviously, we do not want that to be the position: we want to ensure that there is no problem with the money that flows to landlords. We will work hard to address that.
Mrs Louise Mensch (Corby) (Con)
Does my hon. Friend share my amazement, and that of hard-working people in my deprived constituency of Corby, that the Opposition—the Labour party—are trying to prevent us from maintaining downward pressure on rents?
Maria Miller
My hon. Friend is right to be incredulous about the Labour party’s position. She should also express incredulity at the fact that the Labour Members do not seem to have a policy—apart from opposition to the proposals.
I remind hon. Members that the restriction will apply only in areas where local market rent increases at the 30th percentile exceed the annual rate of increase in the CPI. We have said that we are committed to making savings from that measure, but if it becomes apparent that the LHA rates and rents are out of step, that can be reconsidered, as I said in Committee.
Let me briefly consider amendment 72, which raises an important issue for us all. We want to ensure proper and accurate monitoring of the impact of the introduction of our policies. Indeed, we have put that in place for the work capability assessment and our reform of DLA. My hon. Friends the Members for Cardiff Central and for Redcar (Ian Swales) are right to highlight the importance of having an accurate method of assessing the impact of our policies. That is an important and prudent part of Government policy. I hope that my hon. Friends will be reassured that we have already commissioned independent external research to evaluate the impact of the housing benefit reforms that we announced in June 2010 in the Budget and in the spending review. The review will be comprehensive and thorough and presented to both Houses, together with a ministerial statement. We intend to make final findings available in 2013, with initial findings available in 2012.
Jenny Willott
There is a huge range of issues that we clearly cannot cover this evening in the time available to us. However, I would be grateful if the Under-Secretary ascertained whether one matter in particular could be included in the review: how foster children are covered. As I understand it, foster children are not counted in the allocation of bedrooms. The way in which the measure is implemented could have a significant impact on local authorities’ ability to recruit foster carers, and on the care that can be provided for foster children. That has not been covered in the debate so far.
Maria Miller
My hon. Friend makes an important point, which has been raised with me on a couple of occasions. I remind her that currently there is no additional allocation of housing for families with foster children. There is an accrual within the payments that are made to cover additional housing costs. However, she makes the important point that, whatever our housing policies, we should not disincentivise or put unnecessary barriers in the way of foster carers who do so much to give children who cannot live with their own families the sort of start in life that they need.
Simon Hughes (Bermondsey and Old Southwark) (LD)
Does the review—or any of the reviews—include the further point about which the Secretary of State said he wanted to be helpful—ensuring that there is a possibility that broad market rental areas become more coterminous with local authorities? Will the review cover where people might move to, so that they are not obliged to move out of their natural communities, which in most cases in London would be the local authority area where they currently live?
Maria Miller
I thank my right hon. Friend for that comment. I am not aware that the research will cover that at this time, but perhaps I could consider that in more detail. He has raised that point in the past.
Maria Miller
Would my hon. Friend mind if I made a tiny bit more progress on the amendment, and tried to deal with some of the others?
In that spirit, we are considering the most effective way of monitoring and evaluating the housing support measures. That will enable us to understand the effectiveness of the measures in the same way as we will understand the 2011 measures. However, reviewing the operation of the changes in the first year will be too soon—something that I have also considered in relation to other measures in the Bill. We need to ensure that the measures have time to mature and bed in, so that their effectiveness can be properly evaluated. I am not sure that I agree with my hon. Friends that conducting such a review after the first year would be the best way to assess the effectiveness of our policies. Therefore, I cannot commit to the timetable that they propose, even if we are attracted to the idea of conducting comprehensive research. However, I can reassure them that we are looking at ways of funding an external review—this time on the measures in the Bill—and that we will consider that in some detail in the coming months.
Amendment 32 was also tabled by the Opposition. I am sure that Members are aware of the pressures that we face in social housing; indeed, there are some facts that we have to consider before we can look at the amendment in any detail. We know that less than 5% of social tenants in England move each year in the social housing sector. That is not helpful, given the 250,000 overcrowded households waiting for a suitable property to meet their needs. There is also limited social housing stock, with waiting lists of 5 million people, 250,000 tenants in overcrowded housing and almost 1 million spare bedrooms being paid for through housing benefit. There is a mismatch in the market. I am quite astonished that the hon. Member for Westminster North spent no time talking about that or showing her support for the action that we are taking to put it right.
Sheila Gilmore
It is important that the Minister establishes whether the Government’s proposal is intended to solve the problems of under-occupancy and over- occupancy or simply to save money. Even if the changes that she wants are achieved, there will be no saving in the housing benefit budget, on the assumption that many of the people moving into the houses thereby vacated will also be on housing benefit.
Maria Miller
It is absolutely not fair that we have 1 million spare bedrooms being paid for by housing benefit. It is not right—many taxpayers would never be able to afford a spare bedroom in their properties—nor is it fair for those living in overcrowded or poor housing conditions, waiting for long periods for the opportunity to live in a home that is decent or that actually reflects the size of their family. I would ask the hon. Lady to consider that.
Amendment 32 would provide an exemption from the social sector size criteria measure for disabled people living in adapted accommodation. The intention is to ensure that where people have significant or extensive adaptations, they do not have to move and have a new property adapted, which would result in additional costs. I assure the House that I fully understand those arguments. I agree that it might not make sense to move someone from their home if they have already had significant adaptations. Replicating such changes would impose unnecessary costs. We are not interested in shifting costs from one budget to another. However, as we previously set out, we cannot take the broad-brush approach that amendment 32 would allow for. The amendment talks about a property that is
“specially adapted or particularly suited to…the needs of that person.”
This means that the provision would be drawn very widely drawn indeed, covering any adaptations.
Some adaptations, such as a handrail in a bath, may be so minor that exempting the tenant on the basis of that adaptation alone would simply not be justifiable. The provision would also cover a property that had been adapted for someone’s past needs, and would require local authorities to exempt those whose accommodation was particularly suited to meet their needs—perhaps those in a ground-floor flat or a property with a limited number of stairs to climb. We do not have the data on how many such cases there are, but it seems likely that many would fall into such a broad category. Again, that would prove very expensive—something that the hon. Member for Westminster North seemed to ignore. It is not clear what evidence would be required or who would be responsible for the decision. The amendment refers to the provision of
“certificates, documents, information or evidence”,
which, as the hon. Member for Westminster North said, also suggests a degree of administrative intervention. She made a valid point in Committee, but I am surprised that she is pushing it even further. I think that many stakeholders would rightly be concerned about the potential cost of her proposals and about the additional burdens such bureaucracy could load on to landlords and others.
The National Housing Federation estimates that about 108,000 tenants in adapted accommodation are likely to be affected by the introduction of the size criteria to restrict housing benefit. The NHF has kindly shared its data with us and I understand that our officials have met the federation since Committee and are continuing to explore the data in some detail. However, as well as looking at the available data, we want to talk to housing providers, but that will take some more time.
Funding for adaptations can come from a number of sources, one of which is the disabled facilities grant. Some 44,000 awards were made in 2009-10 in England and the average award was some £7,000. However, many of these are paid to owner-occupiers, not to those living in social rented houses. Research published by the Office of the Deputy Prime Minister in 2005 showed that about 70% of all adaptations were for less than £1,000 and that only 19% were wholly funded from the disabled facilities grant. In England, the maximum grant is £30,000, but there are discretionary powers to enable local authorities to meet costs in excess of that. Adaptations of this magnitude would be substantial, potentially involving the construction of a single-storey or double-bedroom extension, together perhaps with the installation of a toilet or en-suite shower. Figures from the same source indicate an average cost of about £2,000 for the installation of a stairlift. We will consider the evidence further, but it is important for the House to look at the facts and realise that many of these adaptations are at a much lower level than the hon. Lady indicated in her comments.
As I said in Committee,
“it is not our intention to put something in place that would have a disproportionate impact on disabled people. If someone has had their property adapted because of their disability, it makes no sense to move them to a different property and spend more money on costly adaptations.”
I concluded that a “blanket exemption” was not the best approach and that we would need to consider
“how we can best target the help at people, while keeping in mind the practical difficulties of identifying…where accommodation has been adapted”.––[Official Report, Welfare Reform Public Bill Committee, 3 May 2011; c. 687.]
We acknowledge the concerns that have been highlighted, but this amendment goes much further than was suggested even by the sector itself. I hope that, in the light of my comments, hon. Members will look again at the amendments and agree to withdraw them.
Mr Reid
I shall have to be brief. Much of the Bill will be implemented through regulations. Much of the debate has been about London and big cities, but I want to draw the Government’s attention to another part of the country—the highlands and islands of Scotland, where communities live large distances apart. My right hon. Friend the Member for Bermondsey and Old Southwark (Simon Hughes) referred to community, and if people live on an island, the island is the community, yet it often has limited housing stock.
As a result of this Bill—either because of the 30th percentile provision or because they are under-occupying—some people might have to move house. When the regulations are being drawn up, I urge the Government to take the sparsely populated parts of the country into account. If people are going to have to move, they should be able to do so within their community. If they live in mainland villages, the next village might be 10 or 20 miles up the road; if they live on an island, the community is the island.
The regulations are to be subject to a negative resolution, but I urge the Government to use the affirmative resolution so that they can be properly scrutinised here. I urge the Government please to take into account the needs of the sparsely populated parts of the country as well as the cities.
Employment Support (Disabled People)
Maria Miller Excerpts(13 years, 5 months ago)
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The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
I have today published a copy of the report to the Government by Liz Sayce, chief executive of RADAR, reviewing specialist disability employment programmes. Copies of the report will be available in the Vote Office.
Meeting the aspirations of disabled people for employment in the full range of jobs and sectors of the economy, and ensuring that the services we provide reflect the needs of individual disabled people in the modern work place are important goals. The employment services we provide for disabled people must be effective. This report shows clearly that there is more that needs to be done.
I welcome this review, and the central theme that resources for supporting disabled people into and in employment should be primarily focused on disabled people themselves.
The report contains a range of specific recommendations, and the Government intend to consult on these before making any decisions. A full response and consultation will be issued shortly.
Welfare Reform Bill (Instruction)
Maria Miller Excerpts(13 years, 6 months ago)
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The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
I beg to move,
That it be an instruction to the Welfare Reform Bill Committee that it has power to make provision in the Bill to establish the Social Mobility and Child Poverty Commission.
This debate is focused on the motion and I do not intend to go through the purpose and effect of the proposed new clause in detail. Members will have the opportunity to debate the measure in full in the remaining stages of the Welfare Reform Bill, including in Committee. However, it may help hon. Members if I set out the Government’s reasons for this change.
We need to be sure that we have the right structures in place to hold the Government to account on child poverty. The previous Government attempted to do that by enshrining in law a child poverty commission. The commission was intended to provide independent scrutiny and to ensure that progress would continue to be made by Government. We supported and still support the concept of an arm’s length body to provide such an external challenge to Government. However, having considered carefully how best to establish the commission to ensure that it can fulfil that purpose, we do not believe that the child poverty commission, as currently defined in legislation, has the necessary remit or power to perform that function effectively.
Why do we want to change the commission? There are three reasons, which I will outline for the House. First, the commission cannot assess or comment on the progress made by Government on child poverty, meaning that it has no power to hold the Government to account. Secondly, we believe that the commission’s advisory role undermines accountability and provides Ministers with a means to delegate decision making to an arm’s length body. For a Government to consult on an important policy matter is absolutely proper, but responsibility should ultimately rest with Ministers. Finally, the scope of the commission is simply too narrow and does not cover issues that are crucially related to child poverty, such as life chances and social mobility. As I have said, this debate is not the place to go into the detail of the proposed new clause. It is intended to address the concerns that I have raised and to ensure that the commission has the functions and power that it needs to drive progress effectively and hold the Government to account.
It is appropriate to use the Welfare Reform Bill to make this change because helping people who are dependent on welfare to help themselves is one of its key aims. The reforms are designed to do that in two distinct ways. First, by ensuring that work always pays and is seen to pay, they will improve work incentives for people who are out of work. Secondly, by simplifying the benefits system, they will increase the take-up of benefits. It is therefore appropriate to use this Bill to make other legislative changes that allow the Government to take forward their new approach to tackling disadvantage, deprivation and welfare dependency in our society, such as these revisions to the child poverty commission.
Why is it necessary to make these changes now? We felt that it was important to consult stakeholders before making changes to the commission. We therefore decided to include our thoughts on the commission in our child poverty strategy consultation document, which was published in December last year. The consultation closed this February, after which it was necessary to consider the responses before deciding how the commission should be revised. Given that time scale, it was not possible to include the proposed new clause in the original version of the Welfare Reform Bill. Since then, we have set out clearly the changes that we wish to make to the commission and emphasised the need for it to be established as soon as possible. If we had waited for a second-Session Bill to put the required changes to the House, it is possible that a commission would not have been established until 2013, and we do not believe that delay is acceptable.
I restate that our intention is to move a new clause to the Bill, amending the Child Poverty Act 2010 by inserting a new section 8 and corresponding schedule. The new provisions will extend to England and Wales, Scotland and Northern Ireland. We believe that the motion will give us the opportunity to create a stronger and more effective commission, and I commend it to the House.
Maria Miller
With the leave of the House, Mr Deputy Speaker, I should like to respond to some of the comments made in the debate, and first of all to thank the hon. Member for Glasgow East (Margaret Curran) for her support for the motion. It was interesting and useful to hear the comments of right hon. and hon. Members in this debate, and I am grateful for the points that they have raised.
The right hon. Member for Birkenhead (Mr Field) raised an important point on the language that we use to describe such issues to people who perhaps do not live and breathe them in the same way that we do. That is important, but it is not, along with a number of issues raised by hon. Members, fully within the scope of today’s debate. We should debate such things in Committee, on Report or on Third Reading.
Tonight’s motion is on extending the scope of the Bill to enable that debate, and I am glad that so many hon. Members agree that the measure is appropriate. The right hon. Member for Birkenhead spoke of the importance of child care and getting full responses to his report, particularly on the early years. I remind him and hon. Members that we are committed to consulting on various options on child care and universal credit, although I am asking your indulgence, Mr Deputy Speaker, in straying that far.
The hon. Member for Glasgow East made a number of points, and I hope to cover a few of them. I point her and other hon. Members who commented on the broadening of the commission’s role to our consultation on the various ideas in our child poverty strategy. I remind them that we received 280 responses to that consultation, which was more than those received to the consultation on the original Child Poverty Act 2010. Only around 6% of people who responded felt that broadening the commission’s role was inappropriate. That shows that people understand the value of broadening the issues that are examined when we address child poverty, and that we cannot view children in isolation from either their communities or their families. Hopefully, hon. Members understand and agree with that.
The hon. Member for Stretford and Urmston (Kate Green) made a number of important points. She asked whether the Government remain committed to the 2010 Act. I should like to say a very clear, loud yes to that. The Government are clearly committed to the income targets in the Act, but as I outlined and as I am sure she will agree, tackling child poverty is not just about lifting people above an arbitrary income line; it is about ensuring that they have the support, incentives and skills necessary to create a better life for themselves. I hope that she would also agree on the importance of incorporating that principle into the commission’s work. We are looking at the root causes of poverty, not simply dealing with its symptoms and moving finances and moneys about.
My hon. Friend the Member for Cardiff Central (Jenny Willott) raised a number of issues, but I would particularly like to pick up on the one about how tackling child poverty is about more than income. She has my wholehearted support for her sentiments. Using targets in isolation has in the past focused policy on short-term solutions, leading to vast sums of money being spent on financial support without fundamentally changing the causes of poverty. I welcome her support for our approach and the opportunity that will no doubt be afforded by her membership of the Welfare Reform Bill Committee to debate the detail and substance of some of the issues she raised.
The hon. Member for Glasgow East talked about the broadening of the commission—in fact, this was also raised by the hon. Member for Hayes and Harlington (John McDonnell)—and was worried that we were diluting the powers of the commission. I would challenge that; we are doing quite the opposite. We are actually reinforcing the commission’s powers by giving it the opportunity to range more broadly over those issues that really affect the life chances of young people in this country. The commission’s duty to report annually on progress towards reducing child poverty will ensure that the issue remains high on the Government’s agenda, and I am sure that nobody needs reminding that it is also in our coalition agreement.
The hon. Member for Hayes and Harlington mentioned the expertise on the commission, which might be an issue that we can discuss in Committee or perhaps on the Floor of the House on Report. One reason we believed that it was important to move to a child poverty and social mobility commission, rather than simply remaining with the legislation as it was, was precisely the one he raised: we wanted to ensure that that broader expertise was put in place.
Many other issues have been raised today, but I want to touch on just one more before I close. Hon. Members asked why we believed that the reformed child poverty commission would be more powerful, and why it mattered that instead of having an advisory function, its role should be to hold the Government to account. We believe fundamentally that Ministers are responsible for the strategies put forward. However, section 10 of the 2010 Act clearly allows the Secretary of State to devolve to the commission responsibility for establishing a strategy or to act on advice in a way that could place on it responsibility for that strategy. This is really important and is at the heart of the coalition Government’s approach to ministerial responsibility. We do not believe that the commission should be responsible for the strategy; that is the role of Ministers. That is one of the fundamental changes that we are making, and it will ensure that the role of the commission is to hold us to account for the work we are doing. We do not want to defer responsibility to a commission that after all is not accountable at the ballot box. That is one of the important changes we have made.
In conclusion, we believe that these changes will ensure that the commission is an effective and efficient public body with the necessary powers to fulfil its duties and to hold Government properly to account. Moreover, they will remove the requirement on the commission as currently defined. It is a public body that cannot provide the taxpayer with value for money. There will be further opportunities to debate the content and detail of some of the issues raised today as we move through the various stages of the Bill. However, I hope that I have reassured hon. Members that allowing these changes is both necessary and beneficial to the cause of tackling child poverty, and I commend the motion to the House.
Question put and agreed to.
Disability Living Allowance Reform
Maria Miller Excerpts(13 years, 7 months ago)
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The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
I am publishing today the “Government’s response to the consultation on disability living allowance reform” (Cm 8051).
Disability living allowance (DLA) has not been fundamentally changed or updated since it was introduced, and no longer provides the framework for supporting disabled people that is needed in the 21st century. Over the last 18 years, DLA has failed to keep pace with the changing approach to disability in society. As it stands, DLA is complex to apply for and to administer, lacks consistency in the way it supports disabled people with similar needs, and has no systematic process for checking the ongoing accuracy of awards.
This is why we believe that now is the time to reform DLA by replacing it with a new benefit for working-age disabled people—personal independence payment. This new benefit will better reflect the desire from disabled people to live independent lives, not labelling individuals by a health condition or impairment but considering its impact on their everyday lives.
The importance of personal independence payment means that spending must remain sustainable for the future. Currently 3.2 million people receive DLA, an increase of around 30% in the past eight years. The announced budget for working-age spend by 2015-16 will bring that expenditure back to 2009-10 levels.
The Government response outlines the feedback received, from both individuals and organisations, and provides further information regarding the replacement of DLA and the introduction of personal independence payment for working-age people from 2013-14.
Copies of the Government’s response will be available in the Vote Office, and will be available shortly at: www.dwp.gov.uk/dla-reform.
Work and Pensions
Maria Miller Excerpts(13 years, 7 months ago)
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Jane Ellison (Battersea) (Con)
10. When he plans to respond to the review of employment support services for disabled people conducted by Liz Sayce.
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
Liz Sayce is due to submit her independent review of specialist disability employment services by the summer of 2012. We look forward to her recommendations and will respond in due course.
[Official Report, 28 March 2011, Vol. 526, c. 3.]
Letter of correction from Maria Miller:
An error has been identified in the oral answer given on 28 March 2011.
The correct answer should have been:
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
Liz Sayce is due to submit her independent review of specialist disability employment services in summer 2011. We look forward to her recommendations and will respond in due course.
Amendment of the Law
Maria Miller Excerpts(13 years, 7 months ago)
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Mr Tom Clarke (Coatbridge, Chryston and Bellshill) (Lab)
I begin where I ended my speech a few weeks ago on Second Reading of the Welfare Reform Bill—by referring to the Government’s approach to disability living allowance. It is always helpful after a Budget to have a look at the Red Book, and on that subject, as on others, I have done so. I found that the Chancellor of the Exchequer states that the Government intend to recoup about £470 million during this Parliament as a result of removing the mobility component of DLA.
This debate gives us a wonderful opportunity to clarify a subject that has been discussed again and again, but which has led, even today, to sheer confusion. For some 80,000 disabled people, the planned removal of the mobility component of DLA from people living in residential homes is causing great concern, and the issue is clouded by the obfuscation that we have heard from the Government, including from the Secretary of State for Work and Pensions today.
Last week the Prime Minister claimed that the Government did not plan to remove the mobility component, even though again and again at the same Dispatch Box, the same Prime Minister had compared the people involved with patients who are in hospital for two or three weeks. Whatever the Government say—I hope we will get some clarity from them tonight—clause 83 of the Welfare Reform Bill, which is being discussed in Committee as we speak, will legislate precisely for the removal of that benefit. My hon. Friend the Member for Glasgow North East (Mr Bain) has pointed out to the House that 2,000 disabled children could lose out.
The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
indicated dissent.
Maria Miller
I thank the right hon. Gentleman for allowing me to intervene. I point out to him that clause 83 of the Bill is about overlaps. He will have heard the Prime Minister make it very clear from the Dispatch Box that we do not intend to remove the mobility component of DLA from residents in care homes from 2012. We will, however, as he would expect, examine all DLA recipients as we move forward with the reform—with which, as we have heard from the Labour spokesman today, the Opposition agree.
Equality 2025 (New Chair)
Maria Miller Excerpts(13 years, 7 months ago)
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The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller)
Equality 2025 is a non-departmental public body of publicly appointed disabled people, which was established in December 2006.
The group offers strategic, confidential advice to Government on issues that affect disabled people. This advice can include participation in the very early stages of policy development, or in-depth examination of existing policy. The group works with Ministers and senior officials across Government.
Rowen Jade chaired Equality 2025 from 1 December 2008 to 2 September 2010, when she sadly passed away. This recruitment exercise took place to find a candidate to continue Rowen’s good work.
The recruitment exercise was carried out in accordance with the Commissioner for Public Appointments’ code of practice. The quality of applicants for the post was exceptionally high. I am pleased to announce the successful candidate and new chair of Equality 2025 from l April 2011 is Dr Rachel Perkins.
Rachel Perkins has been a member of Equality 2025 since 1 April 2010. I am confident she will lead the group forward during an interesting and challenging time.