Oral Answers to Questions
Marion Fellows Excerpts(3 years, 5 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP)
Dr Coffey
As we approach 19 July, we have to have a business-as-usual approach in how we traditionally respond to the needs of our claimants, but I want to stress that, as ever, the claimant commitments are perfectly tailored to different benefit recipients. We also take into account the different vulnerabilities that people face. That is why, just over a year ago, we changed the process so that decisions would be made in a more centralised way to get a consistent approach, recognising that we want to ensure that people fulfil their commitments and the requirements made by DWP in order to continue to receive the benefits that they have.
Marion Fellows
As the DWP resumes face-to-face assessments, we know that more people will be hit with sanctions. We also know that this will disproportionately affect care leavers, as they are more likely to be sanctioned. Beyond scrapping sanctions altogether, will the DWP set up an internal marker and a single point of contact in each jobcentre to assist care-experienced claimants?
Dr Coffey
I will be open: I do not know how the law applies in Scotland. I know that in England and Wales there is a duty on councils to continue to have an element of responsibility for people who have left care until they reach the age of 25. I want to encourage the hon. Lady by saying that, right around the country, our jobcentres and work coaches are mindful of the extra demands, and that we continue to make sure that people’s individual vulnerabilities are accounted for.
Oral Answers to Questions
Marion Fellows Excerpts(3 years, 6 months ago)
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Will Quince
I am disappointed in that question, and I certainly do not recognise the picture painted by the hon. Gentleman. This Government have stepped up to support people facing financial disruption throughout this pandemic, pouring billions of pounds more into our welfare system to support those facing the most financial disruption. Those were short-term, temporary measures—we know that—to support people during the pandemic. I hope he will agree that it is right that our focus should shift to supporting people back into work and to progress into work, because we know that the evidence suggests that work is the best route of poverty. We will achieve this with our £30 billion plan for jobs.
Marion Fellows (Motherwell and Wishaw) (SNP)
The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)
We have introduced a substantial package of temporary welfare measures to support those on low incomes throughout the pandemic. We have paid out more than £100 billion in welfare support for people of working age this year and have consistently supported the lowest-paid families by increasing the living wage. This includes an investment of almost £1 billion into the local housing allowance rates, benefiting housing benefit and universal credit claimants alike. In addition, we have made sure that benefits retained their value against prices by raising benefits by a further £100 million from April 2021 in line with the consumer prices index.
Marion Fellows
The Trussell Trust reports that 62% of the working-age population referred to food banks were disabled, yet the Tories’ decision to deny people on legacy benefits the same £20 uplift as those on universal credit, which will be challenged in the High Court, continues to exclude 2 million disabled people, despite the extra costs they have faced during the pandemic. Will the UK Government finally provide the support that disabled people need, or will they continue trying to force people on to UC?
Will Quince
It is the policy of the Department not to comment on live litigation, so I will not comment on that aspect. I gently point out to the hon. Lady that we spend more than £57 billion a year on benefits to support disabled people. [Interruption.] My hon. Friend the Minister for Disabled People, Health and Work reminds me that that is an extra £4 billion in real terms. That is support for people with disabilities and health conditions, and this is about 2.6% of our GDP.
Covronavirus, Disability and Access to Services
Marion Fellows Excerpts(3 years, 7 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP) [V]
It is a pleasure to serve under your chairmanship, Sir Graham. I thank the right hon. Member for Romsey and Southampton North (Caroline Nokes) for securing this important debate, and I thank the members of the Women and Equalities Committee and those who further contributed to this report. I also want to thank the right hon. Lady for her tribute to Dame Cheryl Gillan, who is indeed sorely missed.
It is important to note that the coronavirus pandemic has had a disproportionate impact on people with disabilities and has in fact exacerbated the inequalities that they face. Disabled people are more likely to have died as a result of covid-19. Notwithstanding this Government’s aversion to independent judge-led inquiries, there must be one on this issue. We must understand why people with disabilities were so much more affected than others. Is it because of poverty? A recently published report by the Social Market Foundation, commissioned by Scope, revealed that almost half of all people in poverty in the UK are disabled or live with someone who is disabled. The Disability Benefits Consortium reports that 82% of disabled benefit claimants have had to spend “more money than normal” during the pandemic. Almost two thirds have had to go without essential items, and almost half report being unable to pay basic bills for rent and utilities.
Scope recently reported on difficulties with employment and support allowance, such as work capability assessments not being scheduled before the end of the 365-day period. This means that entitlement to the supplementary benefits that claimants should receive is withheld and they can become between £54 and £39 a week worse off. If someone then has to claim universal credit instead, they face a five-week wait. If they have earnings above the threshold, they might not qualify at all, leaving them without adequate support.
The SNP has repeatedly called for the £20 per week uplift in universal credit to be applied to legacy benefits such as ESA, but the Government have completely refused to do so. When that lifeline ends, 700,000 UK families will be pushed into poverty when their incomes fall by £1,000 a year.
The UK Government have had difficulty in communicating with people with disabilities, as pointed out in the report. Even an easy thing to do such as having a BSL signer at No. 10 briefings during the pandemic was not in place, whereas in Scotland the daily briefings with the First Minister were signed from the start. It is not hard to arrange, but the lack of that basic tool for the deaf community reveals a lack of thought on the best way to communicate directly with deaf members of the population who need to understand what is going on. They feel cut off at the best of times.
The report notes that the use of “do not resuscitate” notices, which emerged in the early days of the pandemic, is “deeply concerning”. These issues caused disabled people great distress and anxiety and left them feeling that their lives were less valued than others. Indeed, one of my staff was deeply affected by the rising panic on UK forums where this was being discussed. I was really pleased that I could reassure her that such a practice was not being carried out in Scotland. Bad communication makes bad situations worse.
People with disabilities must never be othered by Government, which is why the SNP Scottish Government have built a social security system based on the principle of dignity and respect. As set out in their Budget, the Scottish Government have committed £3.5 billion in benefits to support people with disabilities in 2020-21. Those payments will reach more than 800,000 people. The money will go directly to the people in Scotland who need it most.
The first disability assistance benefit to be introduced by the Scottish Government was the child winter heating assistance annual payment of £200. That is the only annual winter heating payment for children in the UK, and it represents a £2.9 million investment in the health and wellbeing of the most severely disabled children and young people. Payments have already been made to people who are able to benefit from the care component of child disability living allowance.
The Cabinet Office disability unit is developing a national strategy for disabled people, and the Minister for Care has said that that will be published “later this spring”, but later this spring is not an exact enough date. We need to know when it will be published. May I suggest that the Minister look at what the Scottish Government have already done in publishing a delivery plan called “A Fairer Scotland for Disabled People”? That is our delivery plan to incorporate the United Nations convention on the rights of persons with disabilities. It covers the period from 2016 to 2021, and it aims to make equality of opportunity, access to services and independent living a reality for all disabled people in Scotland.
The Scottish SNP Government are already delivering things such as free bus travel for disabled people and have protected the disabled students allowance and bursaries. They have changed the rules on war disablement pensions so that they are exempt from the assessment of income. The Scottish Government will continue to fund support payments to severely disabled people, enabling them to live as independently as possible. This Government should do as much.
Oral Answers to Questions
Marion Fellows Excerpts(3 years, 8 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP)
Peter Grant (Glenrothes) (SNP)
The Secretary of State for Work and Pensions (Dr Thérèse Coffey)
Since the start of the pandemic, our priority as a Government has been to protect lives and people’s livelihoods. That is why we are continuing to give our support, extending the temporary £20 a week increase in universal credit for a further six months, taking it well beyond the end of this national lockdown. I should point out to the House that total welfare spending in Great Britain for 2020-21 now stands at an estimated £238 billion, 11.4% of GDP. Alongside that, the Budget confirmed the ongoing measures that we will be taking as part of our plan for jobs, including the expected starting of the restart programme, particularly focused on long-term unemployed, before the summer recess.
Marion Fellows [V]
The Budget was a kick in the teeth for people claiming legacy benefits, who have been unjustly denied the extra £20 per week in support since last March. The SNP has pressed UK Ministers on this countless times. Will the Secretary of State now answer a simple yes or no question? Yes or no—did she ask the Chancellor to extend the £20 uplift to legacy benefits in the Budget?
Dr Coffey
Discussions between Ministers are normally confidential, but the answer is no, the reason being that we have a process that was put in place as a temporary measure relating to covid. The rationale for that was set out last year. I encourage the hon. Lady to genuinely consider encouraging people who are still on legacy benefits to go to independent benefits calculators to see whether they would automatically be better off under universal credit. Universal credit has been a huge success during the last 12 months—if not the years before that, but it has particularly shown its worth—and I genuinely encourage people to really consider whether they would be financially better off moving benefits now rather than waiting, potentially, to be managed-migrated in the next few years.
Covid-19: Child Maintenance Service
Marion Fellows Excerpts(3 years, 10 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP) [V]
I beg to move,
That this House has considered the operation of the Child Maintenance Service during the covid-19 outbreak.
I will do my very best to keep my speech within that time, Madam Deputy Speaker. I thank the Backbench Business Committee for granting this important debate, and all hon. and right hon. Members who signed my application and who are taking part today. I also thank the Under-Secretary of State for Work and Pensions, the hon. Member for Hexham (Guy Opperman), for attending today’s debate in place of Baroness Stedman-Scott, who sits in the other place.
The Child Maintenance Service has been, and still is, a fundamentally broken system that requires urgent action through a root-and-branch review. In spite of calls from across the Chamber, from One Parent Families Scotland and from Gingerbread, it is still to make the necessary changes. Nearly 750,000 children throughout the UK rely on the CMS. If the children of single parents who are in poverty and not receiving maintenance actually received the payment, it would lift 60% of all cases out of poverty.
The way in which the CMS has operated during this pandemic has simply exacerbated the existing problems. The whole of the Department for Work and Pensions has been under pressure during the pandemic, and staff have been working under incredible pressure to ensure that benefits are paid as quickly as possible. DWP staff have been rightly congratulated for what they have done, but the situation has affected the service from the CMS, which was failing many families even before covid-19 struck and staff were redeployed to help with universal credit and jobseeker’s allowance. The CMS is letting down parents with care and non-resident parents, but it is ultimately the children and young people the CMS is supposed to serve who are being deprived of the maintenance payments necessary for their upkeep.
Single parents are bearing the hidden costs of children being at home all day, with expenses for things such as extra heating, food and supplies for home-schooling. Some parents have needed to reduce paid work hours or stop employment completely during this period to care for their children. The financial impact means that many single parents are even more reliant on child maintenance payments. We need to see clear action from the UK Government to secure the financial support to which children in Scotland and across the rest of the UK are entitled.
The halting of the collection of CMS payments during the coronavirus lockdown has had a devastating impact on many single parents and their children, which is why the SNP has been calling on the UK Government to introduce a minimum maintenance payment to provide parents with care and their children a guaranteed income to prevent hardship and ensure a dignified standard of living. Our call has been backed by Gingerbread. In stark contrast, the Scottish Government are using their devolved powers to ensure that children and families are supported during this difficult time and to prevent them from being pushed into further hardship.
The SNP Government have led the way on tackling poverty this past year by introducing game-changing priorities such as the Scottish child payment, which is in addition to the Best Start grant, the baby box, free prescriptions and the mitigation of damaging Tory policies such as the bedroom tax. Westminster should be following Scotland’s lead by scrapping the poverty-inducing two-child limit and benefit cap and by keeping the £20 uplift to universal credit and working tax credit and extending it to legacy benefits. The Scottish Government provide free school meals during school holidays and look after children from poor backgrounds in school during lockdowns.
The amount collected through CMS enforcement has decreased markedly during the covid-19 outbreak, with many of the measures that the CMS normally uses to collect payment going unused as a result of the reduced service. Although compliance has apparently increased to 72% during the pandemic, this has been driven mainly by the significant influx of parents enrolling on to universal credit and having CMS payments deducted automatically. Following the halt on enforcement last year, the UK Government must now commit to the resumption of collections and the clearing of arrears accrued. I hope the Minister will explain how the CMS plans to maintain and increase compliance as and when parents are to re-enter the workforce.
The DWP’s own figures show that around 68% of parents on collect-and-pay contributed a form of payment in each quarter from December 2018 to March 2020. That was an increase on previous periods, but the figures must be treated with caution as they reflect only those who have paid some child maintenance in the past three months. Furthermore, every case under direct-pay arrangements is assumed to have paid the full amount; this prevents the DWP from providing an accurate reflection of just how high arrears have risen and by how much children are being deprived. The DWP’s own survey in 2016 found that only 49% of direct-pay cases had an effective arrangement after three months, so the arrears figure is likely to be much higher than the DWP’s figures show. Will the Minister agree to reconsider the CMS’s definition of compliance, to represent the reality of child maintenance payments?
As of September 2020, recorded arrears had accumulated to £379.2 million—9% of all maintenance that should have been paid. Arrears increased by more than £100 million between March 2019 and September 2020 alone. The UK Government need to get a stronger grip of this by focusing on not just current liabilities but clearing the increasing arrears.
I understand that many people’s incomes have been impacted by the lockdown. Many of those people are my constituents. A balance must be struck to protect children, which is why last year I called on the Work and Pensions Secretary to introduce a minimum maintenance payment where a parent with care is not receiving payments or where calculations have been reduced because a non-resident parent’s income has been cut. The UK Government must step in and provide minimum maintenance payments directly to ensure that each child is receiving a minimum amount. That was required last year, and because of covid-19, it is still required now. Will the Minister give his assessment of a minimum maintenance payment and commit to seriously investigate it?
Parents are so dissatisfied with the CMS that four parents, backed by Gingerbread, Mumsnet and the Good Law Project, are seeking a judicial review as part of the #FixTheCMS campaign. It is a poor reflection of this Government’s efforts and priorities that parents have had to resort to this course of action. For years, this Government have ignored warnings that the Child Maintenance Service is totally unfit for purpose.
The key way that the CMS can ensure proper payments and clear the arrears mountain is by using its enforcement powers. Since 2019, only three passports have been confiscated, and no driving licences have been suspended, despite persistent non-payment from tens of thousands of non-resident parents. Previous responses to my written questions have shown that the UK Government are not even recording how often maintenance debts are being referred to credit agencies. Will the Minister provide those figures and his evaluation of the use of the powers introduced in 2019? I hope the Minister will commit to renewed efforts on enforcement and explain how he plans to achieve that.
During the pandemic, children are experiencing greater hardship. The UK Government should be supporting them in whatever way they can, not pushing them further into poverty by taking 4% of maintenance received through the CMS system. Even victims of domestic violence who cannot come to a voluntary agreement are subject to this tax. From 2016 to 2019, the CMS taxed parents a total of £70 million, and in 2018-19 it taxed more than £33 million. There is no justification for that, and I hope the Minister will respond to the points I have made and commit to reviewing the 4% maintenance tax.
The current fee of £20 to open a child maintenance case is a punitive charge. Parents should make a voluntary arrangement where possible. However, if a parent with care is turning to the CMS, it means that the voluntary arrangements have failed. This is needlessly taking money from children. The CMS collected £1.5 million in application fees in 2017-18 alone. I hope the Minister will provide clarity on why the UK Government insist on continuing to collect this fee and commit to reviewing it. At the very least, I hope he will consider abolishing the fee for people in receipt of certain benefits, as the Government did for victims of domestic violence. The UK Government have options, and they must use them.
The CMS does not provide an accurate or fair reflection of non-resident parents’ income. Calculations are based on their apparent gross income. However, in many cases, some income is not even regarded as gross income and is not calculated. Parents must ask for a variation to include this, and it can only be asked for if a parent knows about it and if the income is at least £2,500. In 2017, the Government consultation proposed including unearned income in calculations, yet nothing has happened. In a written question in 2018, the Minister said that it required a change in primary legislation. Will the Minister confirm today that this amendment will be brought forward to ensure that calculations account for the total income of a non-resident parent? In addition, parents with care can no longer claim for a variation on the grounds of a lifestyle inconsistent with income—come on! These calls were backed by the Work and Pensions Committee in 2017 and by Gingerbread, so will the Minister agree to look into reintroducing those grounds for variation?
In a previous Parliament, my private Member’s Bill asked for the threshold for recalculation of maintenance to be lowered from 25%, so that calculations can be more accurate without adding to the CMS’s workload. Will the Minister agree today to conduct a review of the threshold, with a view to lowering it? The covid pandemic has exacerbated the problems, causing incalculable damage to children and young people because of the ineffectiveness of the CMS. It is more than time that the Government sorted this out, and I look forward to the Minister’s response.
Madam Deputy Speaker (Dame Eleanor Laing)
We will begin with a time limit for Back Benchers of four minutes, which might have to be reduced.
Marion Fellows [V]
I thank the Minister, especially for what he said at the end. I do not think any of us, whether or not we have taken part in this debate, does not believe that children are what matter in all of this. I can assure him that my office has already emailed Baroness Stedman-Scott, and we hope to continue a dialogue to improve the service in relation to those parents who do not keep up their obligations and those who refuse to take on board that when they have a child, that child is their responsibility—in my view, almost for life.
I thank all Members who have taken part in this debate for the wide range of topics that they brought to bear in the Chamber today. It is important for me and for everyone else that this debate continues to the betterment of children and their resident parents—to make their lives better, whether we are in a pandemic or not.
Question put and agreed to.
Resolved,
That this House has considered the operation of the Child Maintenance Service during the covid-19 outbreak.