Draft Bereavement Benefits (Remedial) Order 2022
Mims Davies Excerpts(1 year, 3 months ago)
General CommitteesRead Full debate Read Hansard Text Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
I beg to move,
That the Committee has considered the draft Bereavement Benefits (Remedial) Order 2022.
Good morning, Mr Dowd; it is a pleasure to serve under your chairmanship. I am pleased to introduce this order, which was laid before the House on 13 October.
The order will extend the higher rate of bereavement support payment and its predecessor, widowed parent’s allowance, to bereaved cohabitees with dependent children.
Michael Fabricant (Lichfield) (Con)
I am grateful to my hon. Friend for giving way at this early stage. I notice that the order applies, as she has just said, to cohabiting couples with children who were not at the time married or in any legal relationship. How would that apply to same-sex couples with dependent children, who are not married and not civil partners?
Mims Davies
My hon. Friend has kindly reminded us of all surviving partners, dependent children and the access to support that is available irrespective of that partnership and sexuality. I hope that the Committee find that welcome. That provision is absolutely right, and it is helpful to put that on the record early in our proceedings.
The benefits can only be paid to survivors who were in a legal union—married or in a civil partnership—with the deceased on the day that they died. However, the McLaughlin judgment in the Supreme Court, handed down on 30 August 2018, and the Jackson case in the High Court, handed down on 7 February 2020, identified that legislation on widowed parent’s allowance and the higher rate of bereavement support payment respectively was incompatible with article 14 of the European convention on human rights. That article requires all rights and freedoms set out in legislation to be protected and applied without discrimination. In both cases, the courts found that by restricting eligibility to those in a legal union, current legislation discriminates between children on the grounds of the legal status of their parents’ relationship.
The order provides a remedy for Great Britain and Northern Ireland by amending the Social Security Contributions and Benefits Act 1992, the Social Security Contributions and Benefits (Northern Ireland) Act 1992 and the Pensions Act 2014. I am satisfied that the provisions of the draft Bereavement Benefits (Remedial) Order 2022 are compatible with the ECHR. The Joint Committee on Human Rights has reported on the draft order and recommended its approval.
For the Committee’s wider understanding, I will provide an overview of bereavement benefits as I take Members through the proposed changes. Widowed parent’s allowance was introduced in 2001 alongside the bereavement allowance and the bereavement payment. The WPA was intended to provide ongoing financial support following the death of a spouse to those with dependent children, and from 2005 that support was extended to cover the death of a civil partner. With the introduction of universal credit, a benefit designed to help with ongoing living costs, it was necessary to look again at the whole package of bereavement benefits. That applied particularly to WPA, which could be paid for the same purpose as universal credit, and which was complicated to claim and to administer.
We modernised financial support for the bereaved by introducing a new benefit from 6 April 2017. Bereavement support payment was intended to help with the more immediate costs of bereavement and to allow for a period of adjustment following the death of a partner. It consists of an initial lump sum, followed by 18 monthly instalments. A higher rate is paid to those with dependent children. Unlike its predecessors, it is tax- free and disregarded for the purposes of income-related benefits, helping those on the lowest incomes the most.
Bereavement benefits have only ever been payable to those who were in a legal union with their deceased partner. They are contributory benefits, with eligibility linked to the national insurance contributions of the deceased partner. Such inheritable benefits, derived from another person’s national insurance contributions, have historically been based on the concept of a legal union.
I will now outline what this draft order covers. Eligibility for widowed parent’s allowance and the higher rate of bereavement support payment will be extended to surviving partners who have dependent children and who were living with their deceased partner as if they were married or in a civil partnership at the date of their death. That includes partners who are or were pregnant on the date of their partner’s death, and there will be no qualifying period of cohabitation. This change will benefit thousands of families with dependent children.
Tahir Ali (Birmingham, Hall Green) (Lab)
Can the Minister tell us what the current level of take-up of this benefit is and what the take-up is expected to be after the change comes into force?
Mims Davies
I believe that we are doing that work at this point, so I am happy to give the hon. Gentleman further details as we go through the impacts and—[Interruption.]
The Chair
Order. Mr Blunt, I appreciate that you were just getting the documents for the order, but that was in danger of being rude, I am afraid.
Mims Davies
Thank you, Mr Dowd. I think that, as I go on to talk about the qualifying numbers and the way this measure will be applied, it will be helpful if I look at those details and give the hon. Member for Birmingham, Hall Green a confirmed answer in writing, because this is quite complicated and we of course need to be clarifying the numbers.
To go back for the benefit of my hon. Friend the Member for Reigate, who has just joined us, this draft order applies to those who would have been entitled to either of these benefits on or from 30 August 2018. I recognise that that is a particular point of interest for hon. Members. I understand that, so I want to reiterate to Members why we have chosen that date. It was on 30 August 2018 that the Supreme Court, in the McLaughlin case, ruled that widowed parent’s allowance legislation was incompatible with the European convention on human rights. That was in effect the date on which the incompatibility was accepted as final. It is exceptional to make social security changes retrospectively, and we consider that a logical and fair start date. For bereavement support payment, where the death occurred before this draft order becomes law and the claim is received within 12 months of that date, claimants will get the full amount due to them. If the claim is received later, the claimant will get up to three backdated monthly payments, plus any remaining monthly payments due.
Mrs Natalie Elphicke (Dover) (Con)
My hon. Friend is helpfully setting out the time limits. If I have understood correctly, within 12 months is for the higher claim, but it has been more than four years—four and a half years—since the relevant case. Can the Minister confirm whether, in the unfortunate situation in which the surviving parent has died—is deceased—a claim is possible in relation to payments that would otherwise have been made?
Mims Davies
I fully appreciate that there has been a long gap between laying the proposed draft and the draft order. During the period, there has been a small cross-departmental team of officials looking at exactly the point that my hon. Friend makes, in terms of the complexity and ensuring that the policy is drafted properly and the implementation issues are covered. It is important that we get this right, and that throughout the process, the remedial order is made the priority for the Department to look into. My hon. Friend is absolutely right that we are looking at the issue. That goes to the point about who will be captured. I will be happy to confirm that more fully later in my comments, if that helps.
When deaths occur after the order comes into force, the bereavement support payment will be paid, subject to the usual claim time limits, which are 12 months for the initial lump sum, and three months for each instalment. It will help the Committee to learn that claimants will be eligible for widowed parent’s allowance if their partner died before 6 April 2017 and they continued to meet the entitlement conditions on 30 August 2018. They, too, must claim within 12 months of the date on which the order comes into force. They may also be entitled to ongoing payments if they continue to meet the widowed parent’s allowance eligibility criteria at the point of claim. I hope that gives my hon. Friend clarity.
The extension of the benefits to cohabiting partners means that there may be cases in which more than one person claims for the same death. That could apply in cases of polygamy, or of people dividing their time between two households, or where a separated spouse no longer lives with the deceased. As hon. Members can appreciate, this is a complex area, and my officials have been working hard to develop an approach that not only balances the need to protect taxpayers’ money with the contributory principle, but reflects people’s real-life circumstances. In such cases, the order proposes that we pay just once per death, prioritising the person who was living with the claimant on the date of death. If there are claims from different addresses, entitlement would be established as part of the normal decision-making and appeals processes.
In very rare cases, more than one potential claimant may have been living with the deceased on the date of death. Here, entitlement will be decided according to a hierarchy that is intended to reflect which claimant had the most established relationship with the deceased, as that person would usually bear the majority of the bereavement costs. Should that leave more than one potential claimant, the Secretary of State would determine who was entitled to the benefit.
Michael Fabricant
I am curious: it sounds as though my hon. Friend is saying that where there is a counter-claim, an absolute decision is made in favour of one person over another, or indeed all the rest. Why cannot time in the relationship be taken into account, and the benefit be apportioned among more than one person?
Mims Davies
Sorry, my hon. Friend. He is absolutely right, which is why we need to look into individual cases and treat them sensitively. Some people may find retrospectively that someone else is making a claim for a relationship of which they were simply not aware. That is, however, extremely rare. In all our engagement on the order, we have been looking in the round at all the circumstances that could come to pass, so that we can ensure that the decision made is fair, and so that situations in which families later find out things that are new to them can be managed. I hope that is helpful to my hon. Friend, and I thank him for that point.
Transitional protection will ensure that those who are in receipt of widowed parent’s allowance or the bereavement support payment before the date on which the order comes into force do not lose their entitlement for the duration of their award. The Joint Committee on Human Rights asked whether splitting the benefit might be more appropriate in cases of the kind that we are discussing. I am mindful that this is an incredibly sensitive area. If we split bereavement benefits, it would prove complex to administer, and it would be challenging for claimants to understand their potential entitlement before applying. That would be particularly true where claimants were, for example, eligible for different rates under bereavement support payment. We are determined to treat the issue appropriately and get this as right as we can.
Widowed parent’s allowance is treated as income for the purpose of income-related benefits, such as universal credit, and is assessed at the point of award. The order provides for all retrospective widowed parent’s allowance payments, up to the date of the claim, to be treated as capital and disregarded for 12 months or 52 weeks for the purposes of income-related benefits. That ensures that claimants will not lose any existing entitlement to income-related benefit as a result of receiving a retrospective award.
The order also ensures that there is a disregard for the same period for retrospective bereavement support payment awards. The usual rules will apply to future bereavement support payment and widowed parent’s allowance entitlements. We do not propose any changes for the treatment of income tax. Bereavement support payment is already tax-free, and widowed parent’s allowance will be taxed according to the period of entitlement, as per the existing rules.
We will communicate to widowed parent’s allowance claimants to make sure that they are fully aware of any payment under the draft order that may incur an income tax liability. We know that Members are particularly interested in how the Department will work with His Majesty’s Revenue and Customs to ensure that people can deal quickly with any potential income tax liability following the receipt of a payment under the draft order.
Where claimants pay tax as they earn, they will tell HMRC about any widowed parent’s allowance payment, including backdated payments. Claimants will not need to contact HMRC about income tax implications. Claimants who use the self-assessment process will need to declare payments on their tax returns for each tax year or write to HMRC to include back payments on previous tax returns.
The payment of bereavement support payment does not affect a person’s tax credit entitlement. Widowed parent’s allowance will be treated as income for tax credit purposes, as is commonplace for social security benefits. It will be assessed in the year of the payment rather than entitlement, so no adjustment to past years will be needed for these claimants.
In accordance with paragraph 3(1) of schedule 2 to the Human Rights Act 1998, a proposed draft of the order was laid for a period of 60 sitting days, on 15 July 2021, to allow for Members of both Houses and other stakeholders, including the JCHR to make suitable representations. I assure the Committee that Ministers fully considered all the representations made on the proposed draft order before preparing this draft for affirmative resolution. In doing so, Ministers agreed with the JCHR’s recommendation to amend the order to ensure that pregnant widowed parent’s allowance claimants were covered in the same way as those in a legal union. Ministers also agreed with its recommendation to ensure that the implications of the retrospective effect of the order on entitlement to income-related benefits were fully taken into account. Ministers have also included a number of technical amendments in response to comments from the JCHR.
Finally, before I let other Members contribute, I emphasise how easy the payment will be to claim. We know from our evaluation that claimants have had a very positive experience of claiming bereavement support payment, with 97% reporting satisfaction with the process.
Ms Marie Rimmer (St Helens South and Whiston) (Lab)
It is a pleasure to serve under your chairmanship again, Mr Dowd. I find this piece of work very rewarding. Certainly in my constituency, we have a lot of queries and upset about this issue. As we are going through certain things retrospectively, would it be possible to ask the Minister for a briefing note for the Committee? However, I sincerely thank her for the clarity that she has provided this morning.
Mims Davies
I thank the hon. Lady. This is a complicated but extremely sensitive area. Many of us have had constituents or heard stories about people who have found this to be a particularly painful challenge. We have spent much time liaising with the other place and, as I have laid out today, with people who are very keen to see their views and concerns reflected in the draft order. In the round, the regulations have been welcomed, but I appreciate that the issue is complex and everybody’s situation is also complicated.
I will liaise with the Government Whips administration office and work to issue a “Dear colleague” letter that will spell out the information to all colleagues, so that caseworkers and local teams working with the DWP are clear on entitlement. I thank the hon. Lady for suggesting that.
In terms of the support and satisfaction for the process of claiming bereavement support payments, we are in a good place. As spelled out by the hon. Member for St Helens South and Whiston and as pointed out by other hon. Members, we need to ensure that the next stage is easy for people who have waited, who are concerned and who have individual circumstances.
We have provided a paper claim form especially for cohabitees, an accessible online gov.uk form and the opportunity to call the DWP’s bereavement service. There will also be an option to claim the bereavement support payment online. I commend the order to the Committee and I look forward to colleagues’ comments.
Mims Davies
I thank all members of the Committee for their important contributions, challenging insights and constructive points, particularly from the hon. Member for Westminster North.
Despite the complex nature of the topics discussed today, at its core the draft order aims to achieve something quite simple and very important—parity and fairness—to ensure that surviving partners with dependent children can access the same financial support as those who were in a legal union with their deceased partner. I am content that this order achieves that purpose, and I am glad to see that it has been welcomed and agreed by the JCHR.
Under the draft order we propose—I hope I have made this clear this morning—a sympathetic approach that recognises the challenging circumstances, as outlined by the hon. Member for Westminster North, that follow a bereavement. In fact, in this case, several years later, we are tackling all of those challenges.
As Members will recognise, losing someone close is incredibly difficult. That is especially so when a child or children lose a caring parent. We appreciate that bereaved people will feel that such additional support is long overdue. From my work at DWP, I know that the loss of a parent and a close loved one is an extremely adverse childhood experience. I and my colleague in the other place, Lord Younger, vow to do what we can to mitigate that effect.
The hon. Member for Westminster North kindly indicated that she intended to raise lots of complicated points this morning, and I will do my best to address them. I know that we are dealing with a complicated matter when Hansard sends a message saying, “Please can we have your notes”. I will try to address all the detailed points raised by the hon. Lady.
By giving individuals who have already lost a partner a full 12 months to claim from when the order becomes law, introducing a disregard to protect existing entitlement to an income-related benefit where a retrospective lump sum is due, and introducing an approach to evidencing that reflects the reality of people’s lives, I hope that claimants will find the process of benefiting from the proposed change straightforward and sympathetic. As I mentioned in my opening speech, this draft order also ensures those individuals with dependent children who are sadly bereaved after the order becomes law can access the higher rate of bereavement support payment. We have built on some of the recent improvements that we have made to the core bereavement support payment offer to ensure a streamlined service for claimants. That includes providing an option to submit a claim online.
I echo the hon. Lady in thanking all interested organisations, including the Childhood Bereavement Network, Widowed and Young and the Low Incomes Tax Reform Group, for their fantastic work in support of this change, which they have welcomed and assisted.
On the expected numbers of claimants, I do not want to be held down to exact figures because this is a moving situation, but we expect the proposed changes to increase the BSP and WPA caseloads by between 4,000 and 5,000 a year. That is the projection running through to 2025-26. Obviously, we at DWP need to manage that correctly, so that people’s expectations and experience of engaging with us is likewise managed.
On how the retrospective elements of the remedial order will work, we proposed an extension of the WPA and a higher rate of BSP to cohabitees with dependent children, and that will apply from 30 August 2018.
Mrs Elphicke
On the retrospective nature of the order, if a married spouse had made a claim and, as result of the retrospective proposals, a second person was subsequently also entitled to make a claim, what would be the position of the person who had already been paid by reason of being the spouse?
Mims Davies
I understand my hon. Friend’s point. She has described a secondary, competing claim, and I think it is important that I set out my response to her and fellow members of the Committee in writing, because it is an issue that we are closely studying in terms of its management. We are looking at cases sympathetically, but I think I need to set out in writing the detail of how they will be managed. I think that would be helpful.
Mrs Elphicke
Can my hon. Friend clarify whether someone who was entitled as the married spouse would have to repay any sums by reason of the retrospective application?
Mims Davies
I can see some slightly puzzled looks, which is why I am keen to give my hon. Friend a proper response, rather than one in Committee. She makes an important point. I cannot see that in my notes, so there we go. I am sure that the officials present will send something over to me if they can give further clarity now. This morning’s conversation has absolutely shone a light on the fact that we are dealing with a mixture of retrospective, family and changed situations—as the hon. Member for Westminster North mentioned—and that is why we are trying to come up with something that is fair and right, based on what we have learned from engagement with stakeholders and what occurred in the court cases. I hope that will help.
The hon. Member for Westminster North made a point about proving cohabitation. The onus will be on the claimant to prove cohabitation, but we intend to use the existing DWP IT systems to verify information provided by the claimant as part of their claim. If the information provided cannot be confirmed, the claimant will be required to provide two forms of documentary evidence. We will accept evidence in line with that currently accepted by the DWP for proof of address, for example. That approach follows the existing evidence strategy for married couples and those in civil partnerships. Where claimants are unable to provide documents and the claim is retrospective, we will take the customer declaration on the telephone. That is a pragmatic and compassionate approach, which minimises the impact on the claimant, is deliverable and balances the risk of fraud. I hope that is helpful to the Committee.
On the implementation of the order and DWP staffing, the changes will be delivered by the DWP bereavement services team. Officials have been developing guidance and training on other products to ensure operational readiness on the go-live date. Even this morning, however, we have discussed more points we need to ensure are covered. Forgive me if I have missed anything. I am happy to pick things back up with the operational team.
We have spoken about the time taken to lay the remedial order. I hope that the Committee and those in the other place understand why it has taken some time. It is important to recognise not only the time taken, but the amount of challenges that we need to balance against that in getting it right. On the long gap, some cross-departmental work will ensure that the policy of the drafting works and that, ultimately, the implementation issues are battled through, taking full consideration of all the points. It is vital to get this right, and that remains the absolute focus.
On making a claim, we do not routinely keep details of people who have claimed before and been refused benefits on the basis of being in a cohabiting relationship. We therefore do not intend to contact previous claimants directly. Any claimant whose previous application was rejected, however, will have the opportunity to make a new claim. That is where the communication point—engagement with partners and stakeholders—will be important. We will ensure that the information on gov.uk is fully updated to help support people in making that new claim.
On the ease of claiming, we already know that the process of claiming bereavement support payment is quick, easy and well explained. We published a recent evaluation of that on gov.uk in December 2021. Overwhelmingly, claimants have reported a positive experience when claiming bereavement support—as I said, 97% satisfaction with the current claiming process. I do not want that to change because of the complexity of what we are discussing this morning. We are very mindful of that.
On the size of the award, the differences and the inequitability—if I have that word right, early on a Tuesday—I will write to the hon. Member for Westminster North. On deaths occurring before the order comes into force, the claimant has 12 months to apply to get their full entitlement. If a claim is made after that period, the usual rules will apply. Under those, a claimant can normally receive three backdated monthly payments—as I said earlier—of BSP, provided that the claim is made within 21 months of the order coming into force. The 12-month window provides a generous timescale for a prospective claimant to apply for either a WPA payment or the bereavement support payment but, for deaths occurring after the date of the order, normal rules will apply.
With regard to extending payments for the ex gratia scheme, it is our intention that the families should receive the same amount of the higher rate of BSP or WPA as their married counterparts, and only in respect of the entitlement after the August date, which goes back to the point of the hon. Member for Westminster North. It is not routine for social security changes to be made retrospectively and, as I say, we consider the date of 30 August 2018 to be logical and fair.
The hon. Member for Westminster North also mentioned the focus on online claims. The widowed parent’s allowance is a complex legacy benefit that has been closed to claims since 6 April 2017. Under the order, claims for WPA will be eligible only for a 12-month period, after which it will then close again. On that basis, it would prove disproportionate to introduce a brand-new online claim route that would have to be set up from scratch. Instead, we found that ensuring we have an online claim form that is as simple as possible, with clear guidance, is probably the best and most straightforward way forward. However, I take the points raised by the hon. Lady.
With regard to the claimants’ use of their retrospective payments being viewed as deprivation of capital, as spoken about by the hon. Member for Westminster North, we have a duty to ensure that means-tested benefits are paid to those who need them when they need them most and also to ensure fairness to the taxpayer. The deprivation of capital rules are intended to apply to those who act with the intention to access benefit or to get more benefit. Therefore, provided that any capital is spent reasonably and not with the purpose of accessing or getting more benefit, claimants should not be treated as having notional capital, which is taken into account in the same way as normal capital when they get a retrospective lump sum. I hope that that helps the hon. Lady.
With regard to how payments under the order will be treated for income tax purposes, we do not propose any changes on how either benefit is treated for income tax purposes, as I said earlier. BSP is already tax-free, and WPA will be taxed according to the period of entitlement as per those existing rules. To once again address the point raised by the hon. Member for Westminster North, this is a matter that needs to be spelled out to the Committee and both Houses to help those in that particular scenario.
I hope that I have covered all the points raised. Anyone who gets a benefit will be protected if in receipt on the day that the order goes live. It will be paid until the end of the award for unmarried claimants, which goes back to the point of the hon. Member for Westminster North. If and when the order goes live and someone is paid, and a second, rightful claimant comes forward, we will stop payments but we will not claw back any benefit, which was the point made by my hon. Friend the Member for Dover. Again, clarity on such particularly complex scenarios will be very important.
I thank Committee members for their important, constructive and helpful engagement. I emphasise to any of those who feel that they may be affected, those who represent stakeholders and those concerned regarding the order that the claim will be easy to make. It will absolutely focus on getting it right for all those who should be entitled. We have provided a paper form especially for cohabitees and an accessible, online gov.uk form as well. I reiterate DWP’s engagement with Citizens Advice on help to claim. Anybody who is struggling should look at the benefits calculator on gov.uk and the support for households with the cost of living as well. Remember that the DWP bereavement support service is there for people to call, and there will be an option to talk to somebody and claim online. I commend the order to the Committee.
Question put and agreed to.
Resolved,
That the Committee has considered the draft Bereavement Benefits (Remedial) Order 2022.
Oral Answers to Questions
Mims Davies Excerpts(1 year, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Joanna Cherry (Edinburgh South West) (SNP)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
The Department has completed the statutory annual review led by the Secretary of State on the levels of state pension and benefits. The outcome of the review was confirmed in a written ministerial statement tabled on 17 November last year. Benefits and pensions will increase by 10.1% in April, subject to parliamentary approval. We understand the pressures that people are facing, which is why this Government have provided cost of living support worth more than £37 billion in 2022-23. In addition, more than £1 billion will be provided in 2023-24 through further cost of living payments.
Martyn Day
While the Scottish Government are using their devolved powers to support families through anti-poverty measures such as the Scottish child payment, the Tory Government’s changes to the universal credit administrative earnings threshold will mean that 600,000 more people will risk having their vital payments sanctioned. Instead of preventing vulnerable families from receiving the vital social security to which they are entitled when they need it most, will the UK Government follow Scotland’s lead and match the child payment UK-wide?
Mims Davies
The hon. Gentleman talks about the Scottish child payment. The DWP is actively working with the Scottish Government to support its delivery, including by providing data through the Scotland Act 2016. I know that the hon. Gentleman has been holding cost of living events in his constituency. To his credit, he has been working with local jobcentres and the DWP to help people at this difficult time, which I applaud. The anecdotal evidence that I have of the AET changes, from visiting jobcentres, has been incredibly positive. People understand that they can earn more, take on more hours and fill vacancies, and that work is the best route out of poverty.
Brendan O’Hara
We on the SNP Benches have long called out this Government’s many poverty-inducing policies, such as the benefit cap, the five-week wait and the brutal sanctions regime, which contribute further to debt when people are barely surviving the cost of living crisis. Now, the Conservative think-tank Bright Blue—backed by some on the Government Benches—has said that the welfare system is not providing people with enough support and has called for the introduction of a minimum income. If the Minister will not listen to us, will she at least listen to her friends at Bright Blue?
Mims Davies
I thank the hon. Gentleman for raising that issue. I will be very interested in the outcome of the work that the Scottish Government have been doing on the Scottish child payment system, taking the powers that have been devolved to the Scottish Government to support and link into their communities—that is absolutely what devolution is, and I will be following the outcome. But I reiterate that the work that goes on in his constituency and in the jobcentres that serve his community is also about people progressing through work, and that benefits are not the route out of poverty.
Patrick Grady
Food prices rose by 16.8% in the year to December, according to the Office for National Statistics, and that disproportionately affects households with children, particularly women-led, single-parent households. Given that the Government spent most of last week saying that they wanted to protect the rights of women and children, can the Minister explain how they are protecting the rights of the women and children in the 787,000 households affected by their two-child policy and the associated rape clause?
Mims Davies
Personally, I find the term “rape clause” obnoxious and completely inappropriate. I absolutely do not mind standing up for women, either at this Dispatch Box or outside the Chamber. On supporting families, we are acting, with Barnett consequentials, to support families to progress, whether through interventions such as the national living wage or on the cost of living. I am proud to be the Minister bringing forward the next stage of household support funds and the cost of living Bill. We are not leaving families behind. We are determined to help make work pay and ensure that we fill these sectors’ vacancies and opportunities in the whole of the United Kingdom.
Joanna Cherry
Many of my Edinburgh South West constituents were already suffering from policies such as the two-child limit and the failure to reverse the cut in universal credit before the cost of living crisis hit home. In its recent submission to the United Nations Committee on Economic, Social and Cultural Rights, Human Rights Watch gave a damning review of the United Kingdom Government’s restrictive social security policies, saying that they have a negative impact on the right to an adequate standard of living, to food and to housing for families with children. So, given the times that we are in and given that we are in the full thrust of our cost of living crisis at present, should not the Government be scrapping these policies?
Mims Davies
Over 8 million households on eligible means -tested benefits will receive additional cost of living payments up to a total of £900 in the year 2023-24, with more to come. The Government are committed to reducing poverty and supporting low-income families, and we will spend £111 billion on welfare support for working-age people between 2022 and 2023. But let us balance this up, because progression is not only about benefits. I say this as a former Employment Minister, and with the current Minister for Employment, my hon. Friend the Member for Hexham (Guy Opperman), sitting near me. With 1.16 million vacancies across the UK, our focus is firmly on supporting families, both in and out of work, to progress in work.
Esther McVey (Tatton) (Con)
While understanding the concerns of Opposition Members, can I ask the Minister, when making changes to the benefits system, always to be mindful of ensuring that work pays, given the need to get more people back into the workforce?
Mims Davies
My right hon. Friend is right. Whether it is cutting the taper rate, managing the AET, looking at in-work progression or focusing on people dropping out of the labour market at 50-plus, and whether it involves single parents such as myself or other people who need help to progress in work, we are focused on work paying. That should always the balance.
Theresa Villiers (Chipping Barnet) (Con)
A crucial way to help people in the benefits system is to get inflation down, so can I urge the Government to ensure that they deliver the reduction in inflation that we desperately need?
Mims Davies
My right hon. Friend is exactly right. We have heard about the cost of living challenge, but this is a global challenge; it is not only for us. We absolutely need to work together so that every family is doing better.
Jerome Mayhew (Broadland) (Con)
The best solution for low-income families is not increases in universal credit but access to better-paid employment, so will the Minister join me in encouraging the 1,130 universal credit claimants in Broadland to come to my jobs fair on 10 March at Taverham High School?
Mims Davies
I love a jobs fair; I have another one coming up in March in my own constituency of Mid Sussex. Opening up opportunities for people just down the road can often make the difference, and I applaud my hon. Friend for doing this. Every Member should be having their own jobs fair.
Mr Philip Hollobone (Kettering) (Con)
Will the Minister join me in congratulating and thanking the volunteers at citizens advice bureaux, especially the one in Kettering, for the work they do to help people access cost of living payment support? What more can the Government do to signpost people to the unprecedented level of support that is available?
Mims Davies
I thank my hon. Friend for raising the wonderful work of Citizens Advice, which does so much in Kettering and across the country, and indeed delivers our Help to Claim service. The benefits calculator on gov.uk and Help for Households can also support people; many do not know those resources are there. We are absolutely here for people and there is more out there. I will ensure that the household support fund is clearly branded and reaches people who may be just managing.
David Linden (Glasgow East) (SNP)
The Minister seemed to be appalled by the reference of my hon. Friend the Member for Glasgow North (Patrick Grady) to the rape clause, so let us use its Sunday name: the non-consensual sex exemption, as the Government like to call it. Is she genuinely comfortable with a Government who ask survivors of rape to prove that their child has been born as a result of sexual assault? The reality is that, with the limited devolution powers we have for social security, we have the game-changing Scottish child payment, while this Government ask women to prove that their children have been born as a result of rape just to get state support. Given that the Labour party has departed from many of its policies and is a pale imitation of the Tories, is it not the case that the only way to ensure that we have a decent social security system is with independence?
Mims Davies
We should be very careful with our language in this regard. It is absolutely right that people in every single circumstance can come forward positively, but labelling the provision in that way in the Chamber is not helpful—[Interruption.] It is not about whether it is our policy; that terminology is unhelpful. Universal credit is always tailored to individual circumstances. If anybody would like to come forward with anything that has happened to them, jobcentres are a safe place in which to declare domestic abuse or ask for support. I say to those people: please do step forward, as we have the J9 initiative and other ways to support people.
Chloe Smith (Norwich North) (Con)
Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
This Department is rightly prioritising the needs of care leavers, by simplifying their interaction with the benefit system and helping them into work, so they can progress and thrive in employment. The DWP does not provide direct support to prospective house buyers; households can access Government-backed schemes, such as Help to Buy and the right to buy.
Luke Pollard
I thank the Minister for that answer. It is a privilege to be working with Barnardo’s and care leavers in Plymouth in making the case that every young person leaving local authority care should have a home of their own, ideally one to be rented straightaway so that they do not fall back into emergency care. Many of these young people have been through awful experiences. Will the Minister set out what additional steps by her Department could help set up a guarantor scheme and provide help with the first rental deposit so that these young people do not miss out on a home when they leave local authority care?
Mims Davies
I visited Plymouth to see the exemplary youth hub and partnership work—which includes some great tourism tips—in June 2022. I thank the hon. Gentleman for his work alongside Barnardo’s; the Secretary of State and I look forward to meeting and discussing more next week. I believe that some local authorities, such as Kent County Council, have a successful rent guarantor scheme and I encourage others in doing this. I will look at this matter carefully.
James Gray (North Wiltshire) (Con)
I very much agree with the points that the hon. Member for Plymouth, Sutton and Devonport (Luke Pollard) is making. In my constituency, the problem is that the house prices are incredibly high and that that is coupled with a squeeze on the private rented sector, thanks to recent tax changes on private landlords. This means that care leavers in a place such as Wiltshire have little chance of staying where they come from and were born. What more can the Government do to find ways of encouraging these people to stay in their home area and helping them with it?
Mims Davies
I thank my hon. Friend for raises these issues, which we have around the country. Let me assure the House that the Department for Education is looking at how it can encourage more local authorities to develop similar offers to care leavers, which was part of an independent review of children’s social care. That is part of the work that I, and the housing taskforce, are doing on housing, and I am keen to look at it.
Peter Dowd (Bootle) (Lab)
Kate Hollern (Blackburn) (Lab)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
Parents claiming UC who move into work can get support with paying up-front childcare costs through the DWP flexible support fund. Once in work, eligible parents can claim back up to 85% of their childcare costs each month through their universal credit. That is worth up to £650 for one child and around £1,100 for two or more children, regardless of the number of hours that parents work. There is vital support for working parents and I encourage all hon. Members to visit their jobcentres to help them to understand that and the other crucial support available to their constituents.
Kate Hollern
Soaring childcare costs are compounding the cost of living crisis and in some cases pricing them out of work. According to the Coram childcare survey, parents in the north-west are paying on average £1,150 a month for a nursery place for a two-year-old. What plans does the Minister have to support parents who are out of work, looking to increase their hours or on a low wage and struggling with overbearing costs?
Mims Davies
I thank the hon. Lady for raising this matter, because it is important for employers to step up as well. Where they have vacancies, they should think about job design and being more welcoming to people wanting to take on more hours and to progress. That is some of the work we are doing through our changes to progression, working with our jobcentres. Of course, payments can also be made directly to the childcare provider, but I am very keen that this works for all parents and it is a matter I am looking at.
Siobhan Baillie (Stroud) (Con)
The DWP Committee has conducted an investigation into the childcare element of universal credit and, as we have heard, the offer is a good one, at 85% of costs paid. However, the system is not working and only 13% of eligible parents are taking it up. Parent after parent told us that they want to go out to work and that this is an issue. Will my hon. Friend confirm whether there have been discussions with the Treasury ahead of the spring Budget to think about funding our key asks of removing the up-front payment requirement and uprating the care?
Mims Davies
My right hon. Friend the Secretary of State takes a great interest in this matter, and I can assure my hon. Friend that we are all keen to see more parents in work. In fact, the current rate for lone parent employment is 64.6%. She knows this subject very well and advocates for change, so she fully understands the challenges. We will respond in due course to the Committee’s report, which was published at the end of last year. I reiterate my absolute passion for making this work for all parents.
Ms Karen Buck (Westminster North) (Lab)
Soaring childcare costs are indeed a major barrier to parents seeking to return to the workplace. Parents seeking to take a job may find that they have to have at least £1,000 in the bank in advance to pay for the first month’s childcare. Can the Minister explain how a parent on universal credit who wants to move back into work is supposed to fund those up-front childcare costs and then wait a month for them to be reimbursed?
Mims Davies
I thank the hon. Lady for that point, and take the opportunity to remind the House and all employers to think about job design, flexibility and inclusive recruitment, because that will make a difference. With regard to eligible claimants moving back into work, they can receive support for up-front childcare costs through the Department’s flexible support fund. Claimants can also receive support for up-front costs if they increase their hours and take on an additional job. Payments can be made direct to the childcare provider, and we are working on further guidance on that.
Peter Aldous (Waveney) (Con)
Gary Sambrook (Birmingham, Northfield) (Con)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
I wholeheartedly agree that, as we have heard, work is more than just a pay packet. I am delighted about the impact of more than 150 youth hubs, such as the Factory—I visited the one at the central library, but I did not get to that one—that are working with flagship employers and small employers. I am keen to see how that youth hub changes lives and opens up progression for young people who would like to learn from my hon. Friend’s local DWP team’s success.
Helen Morgan (North Shropshire) (LD)
Child Maintenance Services
Mims Davies Excerpts(1 year, 3 months ago)
Westminster HallRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
It is an honour to serve under your chairmanship, Mr Twigg. I congratulate the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone) on bringing this important debate before us. I welcome his efforts on the new Child Maintenance Service all-party parliamentary group, and I welcome the contributions from all Members from across the House today. The hon. Member for Westminster North (Ms Buck) spoke about the difference it makes to youngsters’ lives when parents work together to support them. Hon. Members know that, and I appreciate their passion and interest in the Child Maintenance Service.
The CMS plays an important role in ensuring that children are best supported financially when their parents do not live together and are unable to come to private financial arrangements to support them. Our aim with the CMS is to help parents provide vital support for their children, and we are sensitive to the needs of both parties. It is designed to promote collaboration between parents where possible, but it offers a statutory scheme if that is not possible. We must all reiterate that child maintenance is so effective at lifting youngsters out of poverty and enhancing the life chances of children from separated families. I will come on to that later.
As mentioned, until recently the day-to-day policy responsibility for child maintenance sat with Baroness Stedman-Scott. She was incredibly passionate and strident in her desire for the CMS to be at its best. I witnessed that first hand, and I am sure that view is shared by Viscount Younger of Leckie, who has now taken over ministerial responsibility for the CMS. However, I reassure Members that my day-to-day work in DWP is supporting the most disadvantaged people, who have the most challenges: single parents, people leaving care and refugees—you name it. My job is to support people who need help, and supporting single parents, separated families, women and people leaving domestic abuse is an absolute priority. I hope that reassures Members that I will be working strongly with the new Minister, and I will outline some of that in my comments today.
I have a lot of points to address on how the CMS will improve its service to separated parents, and I will do my best to cover as many as I can. Many Members will have heard this topic being raised by constituents or in this House; it attracts great interest, as we have heard. I, too, am a constituency MP, and we have much better engagement and far fewer challenges in my area than in the past, but they are incredibly concerning. I appreciate all the MP caseworkers, charities and organisations who assist our constituents.
Family breakdown and partnership breakdown are extremely hard. As a single parent myself, I know how deeply emotional and different all those situations are. We would all want a magic wand in our constituency surgeries to help people going through such difficulties. I reassure the House that we are offering child maintenance support sessions with MPs’ offices in March to help with those constituency casework opportunities, so I am keen to hear from Members about particular areas they would like to cover. I hope that is of note.
I agree with the hon. Member for Westminster North (Ms Buck) about the challenge of how to best support separated families, and with regard to the poverty challenges if we do not get this right. She is completely right. Through family-based arrangements and the CMS, it is estimated that receiving parents got £2.4 billion annually in child maintenance payments between 2019 and 2021. As a result, 140,000 children were lifted out of poverty. The hon. Member for Weaver Vale (Mike Amesbury) mentioned that people are being held back from progressing and that the CMS is not working, and I would be very keen to see the constituency cases that he has raised.
I want to take the opportunity to reflect on the review. It was announced today, so this debate is incredibly timely and I thank the hon. Member for Caithness, Sutherland and Easter Ross for securing it. I am grateful for the excellent independent review of the CMS conducted by Dr Samantha Callan, who I met yesterday, and for the Government response to the review, which will be in Members’ inboxes this afternoon. The review was announced this morning, with an update. For those who are not aware, the Government response was released today and circulated to all Members of Parliament this afternoon. The report is really important and recognises that the CMS has worked very hard to improve the service and experience for those who are survivors of abuse, and remains motivated to take the practical step change to support parents to set up safe arrangements.
In meeting Dr Callan yesterday, I also met and engaged with Lorna McNamara, who has campaigned for changes after the loss of her sister, Emma Day. She has taken part in the review and has been engaged during the process. Yesterday, ahead of the announcement, I engaged with Refuge, Gingerbread, Families Need Fathers, ManKind, the Domestic Abuse Commissioner, the chief executive officer of the Surviving Economic Abuse charity—who, as we heard in the debate, was giving further evidence today—my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart) and the hon. Member for Birmingham, Yardley (Jess Phillips) in order to go through each and every recommendation and explain the Government’s thinking on this issue.
On recommendation 6, which the hon. Member for Rutherglen and Hamilton West (Margaret Ferrier) mentioned, it is that vital cross-Government work that will make the difference. Whether by working with separated parents groups or family hubs, we will absolutely ensure that, where we can pre-empt conflict and take the sting out of things, we do that across Government. That is a firm commitment.
The hon. Member for Motherwell and Wishaw (Marion Fellows) mentioned recommendation 10 and said she was trying hard not to be a cynic. I will help her out with that. On the working group and the implementation plan, we had conversations yesterday with stakeholders, which I need to discuss with my noble Friend in the other place. He has had other duties in his House, so we need to come together following the engagement yesterday to discuss timelines and the working group. It is important that we discuss how people feel engaged. We are still looking at that and listening to feedback.
Jamie Stone
I may have missed something here. Can I assume that the Minister and the Minister in the other place either have or will meet the organisations I mentioned?
Mims Davies
Yes. To be clear, yesterday afternoon we went through the review step by step and took on board some of the feedback. On recommendation 10, there is some feedback with regard to timelines and implementation that I need to take to my noble Friend to try to unpick some of the questions that were raised yesterday and have been raised during this debate. On the review and the taskforce, we are aware of what has been reported today. I am keen to look at that because, again, it has been picked up today. I hope that clarifies things for the hon. Gentleman. [Interruption.] Yes and no, then.
As I say, in the Government’s response we were keen to ensure progress, to ensure that parliamentary scrutiny and engagement with stakeholders occurred, and absolutely to look to what the hon. Member for Motherwell and Wishaw mentioned. I hope that we will find, in essence, a middle way. I cannot speak too roundly for my noble Friend, but I am very keen to engage on this matter.
On the wider recommendations, I am engaging in this place on the question of amending the legislation to prevent direct pay from being used as a form of coercion and control. The removal of the requirement to report domestic abuse to qualify for the application fee waiver has been accepted. On piloting the use of dedicated caseworkers for complex domestic abuse cases, that is absolutely something that we will bring forward. In addition, the hon. Member for Caithness, Sutherland and Easter Ross asked about reviewing the calculation formula to ensure affordability for low-income paying parents and including a broader range of agencies in CMS training, as did many of the charities and organisations I spoke with, and Dr Callan recommended that too.
Crucial work is being done both in the review and through the two private Members’ Bills mentioned by the hon. Member for Westminster North. The Bill promoted by my hon. Friend the Member for Hastings and Rye, which is supported by the Government, will help to ensure that anyone using the service who has suffered any form of domestic abuse can feel safe and be reassured that their case will be handled sensitively and efficiently.
I would like to outline some improvements we have made in the CMS area, but I want first to cover a few other points that have been made. The hon. Member for Caithness, Sutherland and Easter Ross mentioned training. The CMS reviewed its domestic abuse training in 2021, with input from Women’s Aid, but it has been challenged about whether that is enough to ensure that our caseworkers are fully equipped to support parents in these multiple and challenging vulnerable situations. Some aspects of the training teach caseworkers how to recognise the various forms of domestic abuse, as well about checking on previous reports of abuse and providing appropriate signposting to domestic abuse support groups.
Following the independent review of the ways in which the CMS supports survivors of domestic abuse, the CMS will review the training to ensure that it is up to date and fully in line with best practice. The CMS also uses a complex needs toolkit for its caseworkers, which includes clear steps to follow to support customers who are experiencing abuse. The CMS will continue to review and evaluate the effectiveness of the guidance and training with regard to domestic abuse.
Issues around enforcement have been raised in the debate—certainly by the hon. Member for Weaver Vale, who mentioned deductions from earnings. Deductions from earnings orders have proved efficient and effective as a tool for collecting child maintenance. In the quarter ending September 2022, almost half of child maintenance —£29 million—was collected from paying parents who had a deduction from earnings order in place at the end of the quarter. We are working closely with employers to ensure that they understand their legal obligations and to help them to collect and pass on payments to the CMS much more quickly.
On minimum payments, operating a scheme in which the Government guarantee child maintenance payments is not the intent of CMS policy. The role of the CMS is to encourage parents to take financial responsibility for their children. However, as I say, we are often in a very challenged place when managing this issue. In the UK, CMS payments do not have any impact on the money received from other benefits, which has a positive impact on child poverty.
Jim Shannon (Strangford) (DUP)
I apologise to you, Mr Twigg, and to the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone); I was in the main Chamber for questions and could not be here earlier, although I wanted to be here and I had a speech prepared.
May I ask about how we chase those who are reluctant to make child maintenance payments? In most cases they are men, and in many cases they are self-employed. I know of cases in which they return end-of-year statements that show minimal income yet live in half a million pound houses—paid for—and have top of the range cars that are worth perhaps £60,000. Their assets and quality of living would indicate that their income is far above what they declare. Is there any way that those cases can be looked at? I apologise to the Minister for not being here at the beginning of the debate.
Mims Davies
The hon. Gentleman was clearly double parked this afternoon—in two places at once. I will come on to his point; I will try to cover that for him.
The Child Support Collection (Domestic Abuse) Bill, the private Member’s Bill promoted by my hon. Friend the Member for Hastings and Rye, would amend the grounds for transferring people from direct pay to the collect and pay service in order to allow victims of domestic abuse to be transferred to collect and pay, and consideration is being given to exempting parents transferred for that reason from collection charges. The Bill will have its Report stage on 3 March, and I encourage Members to participate in that debate if they are able to.
Let me turn to unearned income, which has been mentioned this afternoon. The Government’s response to the consultation “Child Maintenance: modernising and improving our service” was published in March 2022. Currently, for certain taxable income a parents earns, such as income from property or investments, either parent must ask for that to be taken into account in the calculation. Our intention is to change the approach so that unearned income is identified at the initial case set-up stage and included in the calculation at that point. That will provide a more accurate reflection of the paying parent’s overall income; as the hon. Member for Strangford (Jim Shannon) alluded to, there are certainly concerns that that is not always the case. The change will require amendments to the legislation that governs the Child Maintenance Service, and we are exploring how that could be implemented. I shall come on to enforcement.
Hon. Members raised the issue of the 4% collection fee for the receiving parent, which is a contribution to the cost of using the collect and pay service. The fee is taken only from any maintenance received. The CMS often has to take action to secure child maintenance payments in the collect and pay service. There is a balance here, with the taxpayer subsidising a difficult service, but the fee acts as a nudge to encourage people to consider whether a voluntary arrangement can be made, whereby there are no fees to pay. However, I have heard hon. Members’ concerns about the fee.
With regard to the NAO findings on effective arrangements, the CMS is designed, as I have said, to encourage people to agree their own family-based arrangement. Some 40% of parents are now doing that, compared with just 29% before the CMS was established. This is a better system for children and families, and for the taxpayer. It is vital that we continue to push for such engagement.
Jim Shannon
I again apologise for not being here to get the full gist of what the Minister and others have said. Over the years, I have had some ladies come and tell me that their husband has transferred their house, their rental properties and everything else into his mum’s and dad’s names; the husband has actually moved out of the property that they were living in to live with their mum and dad. Quite clearly, that is an abdication of responsibility by those men. Is there a mechanism within the changes and the new legislation that the Minister has outlined to ensure that those people who blatantly and systematically try to avoid making payments for their children can be caught?
Mims Davies
I thank the hon. Gentleman for his intervention and I completely agree with him. The lengths that some parents will go to are astounding, which is why we support the work by my hon. Friend the Member for Stroud (Siobhan Baillie) on this issue.
At the end of the day, we all should be responsible parents who do the right thing. We know that the vast majority of parents want to do the right thing and do it. However, it is absolutely clear that some people are prepared to do something very different. We need to ensure that child maintenance is paid. That is appropriate, because we know—I have reiterated this point today—the difference that it makes.
Where a parent fails to pay on time or in full, the CMS takes a proportionate approach. Importantly, it first tries to re-establish compliance. That gives the parent the opportunity to get back on track and to prevent the build-up of arrears. There are two different sorts of cases—those where people actively avoid payment, and those where people find that their circumstances change—and we need to be cognisant of that.
Where somebody consistently refuses to meet their obligations towards their children, the CMS will be robust in using enforcement measures. As I have said, it has powers to make deductions from earnings, bank accounts and certain benefits. It can also use enforcement agencies—previously known, in old language, as bailiffs—to take control of goods, and it has the power to force the sale of property. Baroness Steadman-Scott encouraged the CMS to be bold in using its enforcement powers and to leave no stone unturned to ensure that youngsters are adequately protected, supported and provided for. The hon. Member for Strangford outlined very important action that the CMS has to take, although it must be balanced in its approach. I know that some paying parents whose circumstances change wish for that to be understood more fully.
We are absolutely committed to the highest standard of engagement in terms of the customer experience, which has been raised today, with a focus on getting back to people and communicating better, and making digital improvements so that people can update us and engage with us more quickly. The phone line has been mentioned today, but customers can also apply online; indeed, over 90% of applications are now made digitally, which makes it easier for parents to access support. There is now an online service—My Child Maintenance Case—that allows customers to access and maintain data themselves. Parents can now report 20 different changes of circumstances online, and automation means that it will be much quicker for them to manage their arrangement.
Key changes have also been made to help people arrange child maintenance. A more accessible, 24/7 digital service helps customers try to work out the most suitable arrangement for them. It is a more modern, flexible service for the majority of customers and ensures that our caseworkers are able to focus on the most complex cases and the ones with which parents need more support and engagement.
In this conflicted parental environment and in supporting troubled families, customer satisfaction is key. We are reviewing the customer service framework through the digitalisation and transformation programmes. There is a focus on gathering customer insight and perception. Anecdotes from Members of Parliament are key, but it is important that we use that voice and change things in real time more quickly. The CMS recently piloted real-time customer feedback to better understand the customer experience and is now supporting a wider roll-out. We are focused very much on efficiency and improvements, and of course the review that I have responded to today and the two private Members’ Bills will help.
Jim Shannon
The Minister is being most generous—I want to put that on the record. Another concern that my constituents tell me about is the time it takes for an investigation to start and conclude. In the changes that the Minister has referred to, which I welcome, by the way, will a timescale be put on an investigation so that a lady who applies for a benefit can say, “In three months’ time”—or whatever the time is—“I will have this concluded”?
Mims Davies
That is a really important point, and I will take it away with me. This is often something that we hear from constituents in the process: “How does it work? How long will it take? What can I expect?” Certainly when it comes to supporting families, I can understand the point that the hon. Gentleman raises.
I want to conclude by saying that I appreciate all the insights and engagement from across the Chamber this afternoon. The response to the CMS independent review has been roundly welcomed by the sector and many of those who have heard some of our response today. I look forward to engaging further. I can assure hon. Members that although responsibility for the policy sits predominantly in the other place, there is interest across both Houses. That will not change as we try to support and help youngsters and families in these difficult times.
I thank Members for the opportunity to respond to this debate. I have tried to cover most of their points and I thank them for their constructive and helpful feedback. The DWP and the CMS will follow reports by the all-party group and other with great interest, and will always do what is best to support families and youngsters to get the best opportunities by working together.
Work and Pensions
Mims Davies Excerpts(1 year, 4 months ago)
Ministerial CorrectionsRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Mims Davies
Since June 2022, the Child Maintenance Service has collected £2.7 million from paying parents with the court-based enforcement action in process.
[Official Report, 9 December 2022, Vol. 724, c. 680.]
Letter of correction from the Under-Secretary of State for Work and Pensions, the hon. Member for Mid Sussex (Mims Davies):
An error has been identified in my response to the debate on Second Reading of the Child Support (Enforcement) Bill.
The correct response should have been:
Mims Davies
In the year to June 2022, the Child Maintenance Service collected £2.7 million from paying parents with the court-based enforcement action in process.
Baby Banks: Government Support
Mims Davies Excerpts(1 year, 5 months ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
It is a pleasure to respond to the debate, and I congratulate the hon. Member for Walthamstow (Stella Creasy) on securing it.
This is a time of—understandably—great public concern about the cost of living. I personally was so grateful, as a new mum, for the advice that I received, along with the bargains, hand-me-downs, products, ideas and insights on what really matters in that bewildering time. Who knew that you needed a Bumbo seat? I never thought I would use that term here in the House of Commons, but it is an infant seat to help babies to sit up when they are taking their first solid food, especially during baby-led weaning.
My mum’s Poundland box, of which she was incredibly proud, was an absolute marvel. We still have it, with all of the paraphernalia inside. The hand-me-downs mentioned by the hon. Lady, such as smocked dresses, came my way. I was very proud when I arrived home last night to find my oldest doing a shoes and clothes clear-out to help others, mindful of both need and the environment. There is currently a coat exchange to help people in my town of Haywards Heath. There is huge pressure on new parents to have new things and buy new things, and to make sure everything is perfect, but we know that our lovely little terrors get their sticky mitts on everything and draw on everything, and they do not really care. Sharing advice, products and information about what really works makes a big difference.
As Minister responsible for social mobility, youth and progression, I fully understand the hon. Lady’s point about “invest to save”. It is my mission in Government. I also note the points that she made about the landfill tax, fly-tipping and other matters. I will keep this debate in mind when we come to the next stage of the design of the household support fund, and will think about how we can reach parents and understand the pressures they experience.
Let me reassure the hon. Lady and the House that the Government are committed to providing key support for families with new babies and very young children through targeted support and more general schemes, and by expanding both employment and skills opportunities for parents. Many mums, as we have heard, use the opportunity to grow their thinking and turn things they have learned into future businesses—never more so than in the mum arena.
The support schemes available include the Sure Start maternity grant, the NHS’s healthy start scheme, family hubs, our childcare offer for recipients of universal credit, cost of living payments, the household support fund and the wider universal credit payment system, which got a significant uprating from April 2023. However, I take the hon. Lady’s point and, as a former charities Minister, I always admire the great work people take on for causes that matter to them, nationally, internationally and locally.
Baby banks are independent charitable organisations that help local communities to come together to support people nearby and are another example of the generosity of spirit in our great country. They are very welcome as a support network, as the hon. Lady mentioned, and as a showcase of community kindness. They are also environmentally friendly and positive. In researching for this debate, I found it eye-opening to see just how many brilliant organisations and individuals are aiding mums in that time of need.
Christine Jardine
On that point about environmental damage, one of the things the hon. Member for Walthamstow (Stella Creasy) mentioned was the impact on the environment when she spoke so movingly about mothers reusing nappies. I find myself, in this recycling age, doing things my mother did, such as having glass milk bottles and paper bags in shops. Would there be a way of encouraging the comeback of reusable nappies such as those we used to have when I was a child? I remember, although it was a while ago now, just how expensive and what a drain on someone’s income the constant buying of nappies can be.
Mims Davies
The hon. Lady makes an important point. Speaking to many mums and grandmums, having baby in the garden in the pram and pegging out the reusable nappies—those lovely white nappies—is a moment of pride: “I’m getting this right and it’s going well.” It is extortionately challenging to try to balance the environmental problem with nappies and also reusing; I know many mums who have managed to do that successfully; I must admit, to my shame, that that was not me, but I was very admiring of anyone who did manage it. We need to make those schemes more acceptable and understandable. Some people think they are strange and that the only option is disposable.
Stella Creasy
I hope the Minister will agree perhaps to meet me and representatives of Little Village and my own local baby bank to discuss this point. Many of our environmental organisations, particularly within local government, have schemes to encourage reusable nappies and recycling. However, that does not join up with a recognition of how that can help to tackle poverty, and it is baby banks that are doing that joining up. I am pleading for Government to do that joining up as well, so that is not just brilliant volunteers at a local level saying, “Actually, there is a scheme for reusable nappies from our local environmental charity”, but Government helping to make that network happen. If she meets the organisations I mentioned, she will find people who would be fantastic advocates to take to other Government Departments on these issues, for example.
Mims Davies
The hon. Lady makes in important point: the cost of living, nappies and the environment, Healthy Start and ensuring that those most in need know where to turn and are not overlooked are all cross-Government issues. I will take her point away across Government to look at the right way to take forward what she is asking for. I hope that is helpful to her.
I want to mention the work that many people do knitting hats and supporting newborns. One of the biggest things I learned as a new mum is how much warmth newborns need. People in this space add so much that, whether through knitting, advice, or creating baby banks. I was certainly quite surprised to see just how much the sector has grown. I understand the hon. Lady’s passion for and interest in this particular area, and this debate has certainly sparked my interest, so I thank her very much for bringing it to the House.
The Sure Start maternity grant provides £500 in England, Wales and Northern Ireland for costs associated with the expenses of caring for a baby—as we have heard, becoming a parent is a very expensive business—if there are no other children under the age of 16 in the claimant’s family. The Sure Start maternity grant was devolved to Scotland in December 2018, and the Scottish Government have established alternative support through the Best Start scheme.
The NHS Healthy Start scheme also provides £4.25 a week to eligible low-income families in England, Wales and Northern Ireland to buy fresh fruit and vegetables, with recipients also eligible for free Healthy Start vitamins to help them to boost their children’s long-term health.
To give families holistic support, family hubs are bringing together services for children of all ages. I am particularly interested in how that links into the start for life offer, which is at the core of those. The Government are investing more than £300 million jointly with the Department for Education and the Department of Health and Social Care to transform our start for life services from conception to age two. That includes boosting family support services in 75 local authorities in England.
The Government are providing a network of family hubs. I note that that is not the same thing that the hon. Lady talked about, but that is how we assist positive parent and infant relationships, support perinatal mental health and infant feeding, and boost and help people with their parenting skills. In addition, the DFE will ask all those 75 local areas to publish their start for life offer and will provide funding on innovative trials of workforce models for a smaller number of authorities. I wonder whether that is a way to link in some of what has been discussed today.
I reiterate that the Government’s universal credit childcare offer aims to make it easier for low-income families to choose to work, stay in work and progress in work, so that after the baby comes, parents can move to a point where they can be more financially resilient. I remind people that eligible UC claimants can claim back 85% of their registered childcare costs each month, regardless of the number of hours that they work, compared with 70% in tax credits.
Additionally, those who need extra financial support with their first set of childcare costs or when moving into work or taking on additional hours can apply for further help from the flexible support fund. That discretionary, non-repayable payment will pay their initial childcare costs directly to the provider. Help is available for eligible universal credit claimants through budgeting advances.
I say to anybody struggling, listening, or helping and advising in the sector, “Please look at the benefits calculator on gov.uk and at the cost of living website. Please make sure that you are claiming everything that you are entitled to, because there may be further help out there that you are not aware of. There is also the Help for Households campaign. We are helping with £37 billion of support for cost of living pressures between 2022 and 2023, and an extra £26 billion was announced for that purpose in the autumn statement, so please make sure that you reach out. For households on eligible means-tested benefits, up to £900 in cost of living payments is available for people to take up.”
Stella Creasy
The Minister is setting out the help that the Government believe there is for those on low incomes. Baby banks are a big boost for tackling poverty, but there is an environmentally sustainable element. We want to encourage everybody, whether they are wealthy or not, to donate, because families do not need a cot or a pushchair for that long. They will be perfectly serviceable for someone else to use. One of the benefits of baby banks is that they ensure that the quality of the items is such that people will want to reuse them. That revolution in thinking is not one for those on the lowest incomes alone but for everyone if we are to save the planet as well as saving parents cash.
Mims Davies
I absolutely agree. This is not revolutionary thinking but old-fashioned sensible thinking that is suitable for our environment and our families. An issue that parents often worry about is quality, and sharing and responsibility when it comes to reusing items. I take the hon. Lady’s point about safety. We have seen that particular charities are willing to take some products but not others. That means that, as she pointed out, sometimes very large, useful products are the things that you see stuck on the side of the road, creating fly-tipping problems. But they could be incredibly useful for young families if they can be accredited.
I want to reassure the House that the Government are taking action to support families on low incomes. We will continue to remain vigilant about what people need in these challenging times, particularly those who are most vulnerable, or indeed those who are on the just-about-managing list—a lot of people who have come into focus due to the impact of the covid pandemic. I urge those people to reach out and know that there is help for them.
I thank the hon. Lady for her work and for securing this debate on the value of baby banks. I remind people of the Sure Start maternity grant, Healthy Start, family hubs, the childcare offer, cost of living payments, the household support fund and our benefit uprating. We will tackle the root cause of poverty, but it is right that, where communities can, they do everything they can to help families in need.
Question put and agreed to.
Child Support (Enforcement) Bill
Mims Davies ExcerptsFriday 9th December 2022
(1 year, 5 months ago)
Commons ChamberRead Full debate Child Support (Enforcement) Act 2023 View all Child Support (Enforcement) Act 2023 Debates Read Hansard Text Watch Debate Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
It is an honour to speak in this debate, and I thank my hon. Friend the Member for Stroud (Siobhan Baillie) for introducing the Bill and raising this important issue. I am pleased to confirm that the Government intend to support the Bill.
I was going to start by providing a brief background on the purpose of the CMS, but many Members have done a brilliant job on that so I will instead turn to the context of the Bill, making a couple of points and answering some questions, of course. I also want to pay tribute to all the DWP teams that work tirelessly in this space delivering the CMS service so diligently. As a constituency MP and a friend to many single parents, I have seen cases where help from former partners is needed to support children; making sure positive arrangements are in place is crucial to youngsters in every constituency.
I must declare an interest as a single mum. I know personally how important it is for children to know, where possible, that they have the support of both parents, both financially and emotionally. I thank the Gingerbread charity for its advocacy work. I concur with many of the points made today. Our Minister in the other place, Baroness Stedman-Scott, who has day-to-day responsibility for the policy, is strident in her support for reducing parent conflict and making sure that children get the backing that they need and deserve from both parents. We are determined to ensure that the CMS process improves.
I thank all hon. Members who have contributed, including my hon. Friend the Member for Bosworth (Dr Evans), who raised the CMS process and the other private Member’s Bill, the Child Support Collection (Domestic Abuse) Bill, which will be in Committee very shortly. I am delighted to have his support. There were thoughtful contributions from my hon. Friends the Members for Newbury (Laura Farris), for Darlington (Peter Gibson) and for Bracknell (James Sunderland). My hon. Friend the Member for Devizes (Danny Kruger) rightly paid great tribute to MPs’ caseworkers, who deal with the challenges and manage both sides of this issue day in, day out. We are grateful to them. On the point made by my hon. Friend the Member for Broadland (Jerome Mayhew) about the delays in court and liability orders, it takes three to six months from the case being referred to court for a liability order to be granted. We expect that to reduce significantly.
On the wider point about the Child Support Collection (Domestic Abuse) Bill introduced by my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart), I am glad to endorse what many Members have said. The Bill will allow for cases to be moved from direct pay to the collect and pay service when one parent is a victim of domestic abuse. That is an important measure, and I am grateful to hear further support for it in the Chamber today. Its Committee stage is forthcoming.
On the point made by my hon. Friend the Member for Newbury about why compliance figures have been decreasing, the Child Maintenance Service has been experiencing falling compliance figures since March 2021 after a period of improving compliance. A key driver of falling compliance is the difficulty of deducting child maintenance from universal credit payments. Universal credit prioritises other third-party deductions ahead of child maintenance deductions. Let me reassure the House that work is ongoing with universal credit policy colleagues to identify how deductions for child maintenance can be rightly reprioritised, and to recognise that collect and pay deals often with the most difficult cases. Parents can co-operate and make their own arrangements—that is one scenario—but we are talking about the difficult scenarios.
I thank the hon. Member for Reading East (Matt Rodda) for raising concerns about backlogs. The CMS is committed to delivering service of the highest standards and has been recognised with customer service accreditation, an independent validation of achievement. It responds quickly to parents using the service. In the quarter ending June 2022, 84% of changes in circumstances had been actioned in 28 days. I say to parents that, as we heard from my hon. Friend the Member for Devizes, if something has changed, they should let the CMS know. Call handling has been improved, with calls directed to the most appropriate person.
I would like to pick up on what my hon. Friend said about why maintenance calculations changes are factored in. Parents are able to report changes of income at any time. I reiterate that to him and any of our caseworkers. Where that change is greater than 25% of the income we hold on our system, we will alter their liability. Parents can ask for a calculation decision by the CMS to be reviewed through the mandatory reconsideration process within 30 days. If they are still not satisfied, they can appeal to the tribunal service.
Danny Kruger
I very much appreciate that point and that is indeed the case. I just wonder why 25% is the cut-off. It is quite a large amount. If a change comes in just underneath that, why should not that be considered as well?
Mims Davies
I thank my hon. Friend for raising that. I do not personally know the answer, but I am happy to look at that point and write to him.
James Sunderland
The Minister is talking eloquently about the need for courts to uphold and the need for parents to be chased for the money that they owe through the CMS. By the same token, although it is not within the scope of the Bill today, could she comment on the ongoing plight of those who do not have access to their children—those who are prevented from seeing them? We can all recall the plight of Fathers 4 Justice—Spiderman hanging from the gantries on the M25. It is important that we discuss, or at least raise today, the issue that it works both ways and that we also have to give deference in law to those seeking access to their children.
Mims Davies
I thank my hon. Friend for raising that. He is right to say that. We have seen this in our constituency surgeries: there are always two sides to every story. It is right that we have processes that are able to respond to that and that parents are able to see and engage with their children. I reiterate that my hon. Friend in the other place, who has day-to-day policy responsibility for this matter, is very much focused on reducing parental conflict. Above all, this is about supporting children, getting them the best start and ongoing support to thrive in life.
Let me make some progress on the importance of today’s Bill. Child maintenance payments provide vital support to separated parents. Approximately 140,000 fewer children are growing up in poverty as a result of child maintenance payments. This includes payments through the family-based process and through the service. As my hon. Friend the Member for Stroud has already stated, in the past 12 months, more than £1 billion-worth of support was arranged and collected through the Child Maintenance Service. That exemplifies the intent of the service, which is to promote collaboration between separated parents and encourage parents to meet their responsibilities in providing for their children, meaning that youngsters get the financial support that they need for that good start in life.
Research shows that children tend to have better emotional wellbeing and higher academic attainment growing up with parents who, together or indeed separated, have that good-quality relationship and are able to manage conflict well. Child maintenance cases are managed by two processes, as we discussed earlier. The collect and pay caseloads are more challenging. That is where a collaborative arrangement has either failed or not been possible. Therefore, these parents are considered less likely to meet their payment responsibilities.
We know the difference that child maintenance can make in people’s day-to-day lives, so unpaid child maintenance should be paid immediately. We know that the vast majority of parents want to do the right thing to support their children financially. Where a parent fails to pay on time or in full, our strategy is to tackle payment breakdowns at the earliest opportunity and to take action to re-establish compliance and collect any unpaid amounts where they have been accrued.
The Child Maintenance Service is able to deduct £8.40 a week towards ongoing maintenance or arrears from certain prescribed benefits, as I have discussed. Where measures prove ineffective or inappropriate in collecting arrears, the CMS will apply to the court service or the sheriff court for the liability order.
The liability order enables the use of more stringent powers, as we have heard, and we are able to take more serious action. Since June 2022, the Child Maintenance Service has collected £2.7 million from paying parents with the court-based enforcement action in process. We regularly review processes and policies in line with best practice to deliver the best outcomes for parents and children, and I note the point made by my hon. Friend the Member for Devizes.
Mims Davies
I just wanted to turn to the hon. Gentleman’s point. I would like to write to him on that as I am not the Minister responsible for that day to day. I hope that he will understand.
The details of these powers will be set out in secondary legislation, with the right for a liable parent to appeal against an administrative liability order. Regulation powers and other provisions will be included. That means that proper scrutiny can be undertaken by the Government and the relevant Committee. We can then make sure that the regulations include the right to appeal. Those regulations will also be subject to the affirmative procedure.
The Bill is of great importance for the Child Maintenance Service. It will make sure that we make the necessary improvements we have heard about today to the enforcement process and, above all, that we get the money to children more quickly. I am pleased that the Bill has been introduced, and I commend my hon. Friend the Member for Stroud for bringing it to the House.
Oral Answers to Questions
Mims Davies Excerpts(1 year, 5 months ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
The Government are providing generous, tailored support for parents through universal credit, the free childcare entitlement and skills support to help parents to get into work and to progress. Eligible claimants can receive financial support for up-front childcare costs as well as support for ongoing costs.
Mike Amesbury
Sandra in the Northwich part of my constituency—like many people up and down the United Kingdom, predominantly women—faces a significant barrier as a result of increased childcare costs. The childcare element of universal credit has been frozen since 2016. When does the Minister intend to do the right thing and unfreeze that element of universal credit?
Mims Davies
Universal credit-eligible claimants can claim up to 85% of their registered childcare costs each month, regardless of the number of hours they work; I would compare that favourably with 70% in tax credits. What I would say to employers who may be overlooking single parents is that they are not understanding the wide range of childcare challenges. I am a single mum—I get it. Looking at job design and flexibility is equally important.
Liz Twist (Blaydon) (Lab)
Andy McDonald (Middlesbrough) (Lab)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
I thank the hon. Gentleman for raising that matter and it is a concern. There are 11 armed forces leaders and 50 champions across the DWP. I would be very happy to look at this particular case, if he were able to raise it directly with me.
Sir Stephen Timms (East Ham) (Lab)
We were grateful for the answers that the Secretary of State gave at the Work and Pensions Committee meeting last week, and we are looking forward to him returning on 11 January. He has been pressed this afternoon, repeatedly and rightly, about local housing allowance, and I have heard his answers to those questions. Next year will be the fourth year that the local housing allowance has been frozen at its current level, during a period when rents have risen sharply. Does he recognise that the case for rebasing local housing allowance, so that it reflects actual local rents, is becoming a very pressing one?
Mims Davies
I thank my hon. Friend for raising the issue. This is the first I have heard of it and I would be keen to meet him and hear more about it.
Stephanie Peacock (Barnsley East) (Lab)
Many Barnsley pensioners would be better off if they were on pension credit. Why will the Government not automatically enrol all pensioners on pension credit to help to lift them out of poverty?
Draft Biocidal Products (Health and Safety) (Amendment) Regulations 2022
Mims Davies Excerpts(1 year, 5 months ago)
General CommitteesRead Full debate Read Hansard Text Read Debate Ministerial Extracts
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
I beg to move,
That the Committee has considered the draft Biocidal Products (Health and Safety) (Amendment) Regulations 2022.
It is a pleasure to serve under your chairmanship, Mr Robertson. This draft statutory instrument was laid before Parliament on 18 October. It is a technical change only, and there are no policy changes. It relates to biocidal products, which are used to control harmful organisms and include disinfectants, insecticides and rodenticides. These products have important roles in protecting human health and critical infrastructure, and it is therefore essential to society that their legal supply is not disrupted.
Although biocidal products are critical to society, they can pose risks to human health, animal health and the environment if used incorrectly. Therefore, to allow a biocidal product on the GB market, a two-step authorisation process is in place. First, the active substances used in biocidal products must be approved. Approval involves a rigorous scientific evaluation to ensure safety and efficacy—a process that takes one to two years and costs approximately £180,000. If an active substance is approved, applications can be made to authorise biocidal products containing that active substance. This evaluation looks at the safety and efficacy of the formulation—a process that takes about a year and costs approximately £25,000. As Members will understand, the applications are large dossiers of scientific data, and require complex evaluation and assessment by a range of specialist scientific disciplines to ensure that there is no danger to human health, animal health or the environment. The Health and Safety Executive operates a cost recovery model, so applicants bear the full cost of processing applications.
Biocidal products are regulated under the Great Britain biocidal products regulation—GB BPR—which was retained following EU exit. The authorisation process in Great Britain is similar to the EU, except where references to EU arrangements were replaced by domestic arrangements. Also retained in the legislation were legal deadlines by which applications should be processed. Those legal deadlines were in place to ensure consistency across the EU in how long was given to process applications and to provide transparency to applicants. While the UK was still in the EU, a steady stream of applications was processed across EU member states, though even at that time, deadlines were often missed.
In preparation to meet our ambition for the HSE to become a world-class stand-alone chemicals regulator following the UK’s departure from the EU, significant investment has been made to increase the HSE’s capacity and capability, and to embed new processes and procedures. Through a major transformation programme, the HSE’s headcount for its chemicals regulation division has increased by around 40%, with ongoing significant investment in both people and IT.
As part of EU exit preparations, transitional arrangements were put in place to ensure a smooth transition for businesses to the new domestic systems. Those arrangements required businesses that had applications in process at the end of the implementation period to re-submit them to the HSE by deadlines in 2021 if they wanted to retain access to the GB market. Under the arrangements, biocidal products already on the GB market could continue to be made available until their application was processed. It was unknown at the time how many re-submissions would be made by applicants to access the GB market until those deadlines passed.
I am pleased to report that more than 70% of the biocides applications seeking access to the UK market under the previous EU system have been resubmitted to GB. That clearly shows that the industry has faith in the GB market and in the HSE as the regulator, but it also generates a greater workload than was originally anticipated. As a result, it is not possible to process the large one-off influx of biocidal product authorisation applications within the legal deadlines in place.
The HSE has been hindered by its loss of access to EU databases that hold historical reports containing scientific information relevant to the processing of applications. However, a resolution should be in place by the time the information is required to process the applications. The HSE will also consider what future digital solutions may be required once a resolution has been implemented. Nevertheless, we must recognise that the issue has caused some further delays in the processing of applications.
Following EU exit, the legal deadlines in the Great Britain biocidal products regulation amount to deficiencies in current retained EU law; therefore, the appropriate course of action available to the HSE is to make technical amendments through this statutory instrument under the powers in the European Union (Withdrawal) Act 2018 to remedy deficiencies in the current legal framework. The technical changes proposed by the statutory instrument are straightforward: the legal deadlines in place to process biocidal product authorisation applications will be temporarily extended for an additional five years.
The period of five years is derived from resource modelling from the transformation programme to which I referred earlier. It represents the amount of time that the HSE forecasts it will take to address the backlog and return to a position in which applications can be processed within the original legal deadlines. I trust it is understood that the processing of applications is not simply a rubber-stamping exercise and that it requires highly trained staff who cannot simply be brought in in large numbers at short notice.
To clarify, the amendment to the legal deadlines should have no impact on businesses. An extension of the deadlines does not cause any additional cost to the applicant; instead, this statutory instrument provides legal certainty that when biocidal products are on the GB market awaiting the outcome of their application, they can remain there. That may not otherwise have been the case had the legal deadlines been missed. In turn, that ensures that there is no disruption to the legal supply of essential biocidal products while the applications are cleared.
The statutory instrument will affect a small number of new biocidal product authorisation applications. However, those applications will be prioritised to ensure that where businesses are waiting for authorisations before they can supply their products, they will not experience any delays.
Finally, this statutory instrument also adds an additional transitional measure—an oversight in the previous EU exit statutory instruments—that allows a type of biocidal product authorisation application called “same product applications” to transition to the GB market and be treated in the same way as other applications. This, too, has no impact on businesses. It is a technical correction to ensure that the biocide regime is fully functioning as intended.
I hope it is helpful for the Committee to know that this statutory instrument was robustly debated in the other place and passed without challenge. I can confirm that consent to make the statutory instrument has been obtained from Ministers in Scottish and Welsh Governments, in line with the normal conventions. The regulation of biocides in Northern Ireland follows separate arrangements under the Northern Ireland protocol and is not affected by this instrument. I hope colleagues of all parties will join me in supporting the draft regulations, which I commend to the Committee.
Mims Davies
I have many notes. I thank the hon. Member for Lewisham, Deptford for her questions and the spirit of them—I am being passed even more notes, so I feel pretty sure that I can answer most of her questions.
Let us start with the most important issue: resourcing and funding. The HSE has already increased the number of staff working on chemicals regulation by around 40% from 256 in March 2020 to 355 in March 2022, with further significant recruitment planned over the next two to three years, which I hope answers the question raised by the hon. Member for Birmingham, Hall Green. That reflects the need for increased resources for the HSE’s post-EU exit responsibilities.
Likewise, the total budget for the HSE’s chemicals regulation division has grown by 39% from £22.4 million to £31.2 million between 2018-19 and 2022-23. It was always anticipated that it would take several years to reach full operating capacity following Brexit, due to the need to recruit and train large numbers of new staff in specialist disciplines required for chemicals regulation.
It is an honour to be the Minister responsible for the HSE. The depth of work it does across covid and all sectors is a joy to behold and learn from, with its cost recovery scheme and the way that it works. One of its recruitment plans is to grow and progress more of its own people, which I very much welcome.
Andy McDonald (Middlesbrough) (Lab)
Given what the Minister just said, does she see it as a matter of regret that we have lost over 400 HSE inspectors since 2010? During the covid crisis, their roles had to be adopted by debt collectors, who were performing their functions by inspecting premises and carrying out tick-box exercises in their stead.
Mims Davies
I thank the hon. Gentleman for that point. In the time that I have been working with the HSE as a Minister, whether on visits to Derbyshire or to Bootle, I have been really impressed with its ingenuity and the way it has got people to come into the sector, grown its local workforce and given people opportunities. It is brilliant at bringing people in and training them. If he is saying that we welcome people from all walks of life to come into this growing sector, we are on the same page.
Sir Jake Berry (Rossendale and Darwen) (Con)
Will the Minister confirm that, as part of this welcome recruitment drive, the ministerial head of the HSE will insist that all new employees have to work from an office base, rather than working from home? We are talking about deep scientific research, a key part of which is collaboration. I understand that the Government cannot do much about civil servants who had their terms and conditions altered during covid, but will she confirm that, on an ongoing basis, the civil servants she is recruiting into the HSE will have to work from an office, rather than from home?
Mims Davies
My right hon. Friend is right to talk about learning and development within the business, which is really important. In my engagement with and visits to the HSE, it has been very clear about that, but it also has many people in the field and around the country who balance working from home with working from the base where they deliver their processes. It is a mixed picture, but I am happy to look at that point and raise it with management.
The HSE’s chemicals regulation division has reached full capacity and will be in a position to meet the usual timescales set out in the legislation, but it is important to bring this measure to the House, to give us the time to achieve this recruitment and, ultimately, make sure that this area is safe and works. I hope that reassures hon. Members.
The hon. Member for Lewisham, Deptford asked why we have to do this and whether we envisaged the timetables. The changes will ensure that regulatory deadlines provide sufficient time for the HSE to clear the backlog of applications, and will give legal certainty to the affected businesses, whose products, vitally, will be able to remain on the market while their applications are, rightfully, assessed.
The active substances will be reviewed by the HSE, and the legislation allowing flexibility and timeliness should be welcome. I reassure hon. Members that the work to review the programme is in development. The HSE will continue to communicate and engage with stakeholders on its work in due course. It has already started work on evaluating the active substance applications, which fall outside the formal review programme.
There was a question about how the businesses will be notified about applications. Businesses have been notified and have submitted more than 400 biocidal product applications. That includes new applications, changes to existing authorisations and renewals, while 250 are complex new applications, which require the most resources. Compared with the EU workload, that represents about 70% more than anticipated, but I strongly believe that the HSE can withstand that. I thank the hon. Member for Lewisham, Deptford for making those points.
I have covered the staffing measures. On the long-standing transition arrangements that allow the biocidal products to stay on the market until their applications are assessed, most affected products have previously been on the market for many years, and in most cases in the EU as well. I reassure colleagues that this is nothing for us to worry about. The HSE has the experts, and the draft regulations will allow it to do its work and to monitor as it can and should.
The HSE has a process for monitoring international scientific information of relevance to UK active substances and products, including the EU assessments. Should new evidence emerge, the HSE will again work with any relevant regulatory agencies and take any suitable action as a result.
Andy McDonald
The Minister is being generous in giving way. Given the commitments she has made this afternoon, is she able to give any indication to the Committee as to the increase in the HSE’s budget following the autumn statement? It has an awful lot more work to do.
Mims Davies
I am happy to write to the hon. Gentleman about the budget. I have information about the staffing that I can give him, but I point to the cost recovery in this area. The HSE is exemplary on that. I am happy to write to him with more detail, if that is helpful.
I want to cover data; forgive me, I have so many notes here, I cannot find the bit on data. Here we go—so many bits of paper! I hope hon. Members appreciate that this is a technical instrument and it is important that we get it right. I would rather give more detail and data than less.
The HSE’s assessment of biocidal products remains based primarily on the data submitted by the businesses. They have to act for the authorisation in place for their products on the market. The businesses can continue to do that without access to the EU databases. That is not under threat. The risks of loss of access to the EU databases are being considered as part of HSE’s work to manage biocide authorisations taking into account the loss of access to EU databases, but HSE’s long-term objective is to develop solutions that will allow the authorisation processes to work without disruption, so that no risks materialise.
I hope that I have covered most of the questions put to me. I welcome the Committee considering the draft regulations. I reiterate that the statutory instrument is a technical change only and that there are no policy changes. It relates to biocidal products that are used to control harmful organisms, including disinfectants, insecticides and rodenticides—products that have important roles in protecting human health and critical infrastructure. The instrument will therefore allow us to ensure that the legal supply of such products is not impacted in the long term.
The draft instrument provides important additional time for the HSE to complete biocide authorisations while applications are addressed, and extends the relevant deadlines by a one-off period—I stress the “one-off”—of five years after the regulations come into force, by which time the HSE forecasts that the authorisations will have been cleared. After that, it will return to the normal processing times set out in legislation.
I remind the Committee that no cost to businesses arises from the changes made in this draft statutory instrument. Importantly, it provides legal certainty that, where biocidal products are already on market in Great Britain waiting for an authorisation decision, they can continue to be used and supplied. That will ensure that suppliers of biocides are treated fairly and that there is no disruption to the legal supply of essential biocidal products while the backlog of applications is cleared.
The draft regulations provide a transitional measure to supplement the existing Great Britain biocidal products regulation or GB BPR, bringing over the last elements of pre-EU exit regulation. That change ensures that a certain type of biocidal product authorisation application, namely same product applications, can be treated in an identical way to other applications. Again, that has no impact on businesses and is a technical correction to ensure the biocide regime is now fully functioning as intended.
To conclude, the draft instrument will provide the necessary extension to the legal deadlines to enable HSE to process affected biocidal product authorisation applications. That will provide legal certainty to businesses that biocidal products on the market awaiting their application to be processed can remain there. In turn, biocidal products essential to the functioning of society can continue to be made available and used appropriately.
Question put and agreed to.
Oral Answers to Questions
Mims Davies Excerpts(1 year, 6 months ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Dan Carden (Liverpool, Walton) (Lab)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
No assessment has been made. Emergency measures brought in during covid meant that the sanctions rate was artificially low. We always expected the rate to increase when we reintroduced face-to-face appointments and conditionality in order to help fill record numbers of job vacancies.
Dan Carden
I am disappointed with that answer. The current high rate of universal credit sanctions is unprecedented. Right now, twice as many people on universal credit are being sanctioned and having their benefits cut as did before the pandemic, three years ago. At this very moment, families face the reality of hunger and freezing homes because of soaring food prices and energy bills, as well as rising rents. Instead of making things harder for those who are struggling, and punishing those on the lowest incomes, will the Minister commit to raising social security in line with inflation and end the sanctions regime, which will only inflict more hardship and homelessness this winter on those in areas such as mine?
Mims Davies
I am afraid that I do not agree. People are sanctioned only if they fail to attend appointments without good reason, and fail to meet the requirements that they have agreed to meet. Conditionality is an important part of a fair and effective welfare system. It is right that there should be a system to encourage claimants to take reasonable steps to prepare for and move into work. I reiterate that claimants with severe mental health or wellbeing conditions are not subject to work-related requirements or sanctions.
Ms Karen Buck (Westminster North) (Lab)
The Secretary of State has indicated that there will be a difference in tone in the Department. There is a way that he can demonstrate that. The Department conducted an examination of the effect of sanctions and conditionality that his predecessor refused to publish. He has the opportunity to allow us to have an informed debate in the Chamber on the effectiveness of sanctions. Will he now publish that report?
Mims Davies
Sanctions are incredibly important to support the work coach in doing their job. This really matters, because engaging with the work coach is important where there can be underlying issues—if an individual is a care leaver or there is something going on at home. Sanctions do not apply to all claimants. As I said earlier, if an individual has limited capability to work or there are issues around how they can work, work coaches will use their full discretion to ensure that people are supported, but not engaging is not the right option.
Bob Seely (Isle of Wight) (Con)
Alison Thewliss (Glasgow Central) (SNP)
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
We have already taken decisive action to make work pay by cutting the universal credit taper rate to 55% and increasing UC work allowances, which mean that on average low-income households have about an extra £1,000 a year. In addition to that, two cost of living payments, which total £650, are being paid to more than 8 million low-income households on UC, tax credits, pension credits and legacy benefits. There has also been extra help for pensioners and those on disability benefits. That totals more than £37 billion this year.
Martin Docherty-Hughes
I am grateful for the Minister’s answer, but the Joseph Rowntree Foundation has warned that if social security does not get uprated with inflation, it will be the
“largest permanent deliberate real-terms cut”
to the basic rate of social security by a British Government in history. According to the Child Poverty Action Group, that would push 200,000 children into poverty. Even the UN rapporteur on extreme poverty and human rights warns that it will mean that “lives will be lost”. What will the Minister do to stop that?
Mims Davies
I thank the hon. Gentleman for that question. I note that he will be visiting his Dumbarton Jobcentre Plus shortly, which I am sure will help him to see the range of interventions in jobcentres, as well as the benefits calculator and the cost of living interventions on gov.uk. I remind him that the Scottish Government have a range of powers, including the ability to provide their own welfare benefits to people in Scotland using existing reserved benefits. The Scottish Government can see how they would like to use their powers and budget themselves.
Alison Thewliss
Happy Hallowe’en, Mr Speaker. Many of my constituents have found social security payments inadequate, because they have not kept pace with the cost of living. For William Thompson and Anne McCurley, however, it is even more frustrating because they narrowly miss out on pension credits and all the passported benefits—Anne misses out by only £3 a week. Will the Minister review the cut-off so that as many people as possible can access the support that they badly need this winter?
Mims Davies
I thank the hon. Lady for the point, and I have mentioned two particular websites that I think are incredibly important for people to make sure they get every single bit of help they need. There is always a cut-off point, which is very challenging. I understand there is a huge amount of work going on in her own community to support people, including getting people into work and progressing them, and working with local employers. Of course, the pensions issue is something that the Secretary of State has just answered and will be further updated on 17 November.
Chris Green (Bolton West) (Con)
I thank my hon. Friend for the answers she has already given for those people meeting the costs of living on social security payments. A big concern many of my constituents have is about the cost of energy over the course of the winter, and the Government have a plan for the next six months to support people. Can my hon. Friend give my constituents reassurance that that plan, when it comes towards its end, will be under review to see what ongoing support could be offered, if required?
Mims Davies
I thank my hon. Friend for raising that matter. I worked with the Prime Minister on the plan for jobs, and he has been very clear that he wants to protect the most vulnerable, which is why we are providing families with direct payments worth at least £1,200 over the winter. We will all look with interest at what the Chancellor does on the 17th.
Vicky Foxcroft (Lewisham, Deptford) (Lab)
Too many disabled people have been disproportionately hit by the cost of living crisis, with extra costs of over £600 a year. Sadly, we have seen too many unable to cope with this. The Information Commissioner ruled that the DWP unlawfully prevented the release of over 20 reports into the deaths of benefit claimants. We must be able to scrutinise whether the actions taken by the DWP were sufficient or timely enough to prevent the harms identified from happening again. So will the new Secretary of State agree to publish these and all other secret reports—and a yes or no would actually suffice?
Mims Davies
I thank the hon. Lady for her question, and I understand the Opposition have an interest in such reports. However, my role at the DWP is about people—helping people up and down the land—and that is what we are doing for people with disabilities. With the extra costs part of the disability payment, about 6 million will be helped by the extra one-off payment of £150, ensuring that we all across the DWP are focused on the most vulnerable.
Kirsty Blackman (Aberdeen North) (SNP)
I welcome the new ministerial team to their place. I hope to meet the new Secretary of State in early course; it was quite difficult to secure a meeting with some of his predecessors, unfortunately. The new Prime Minister spoke of the difficult decisions that will have to be made, but the real difficult decisions are those being forced on our constituents—people on low incomes struggling to afford the basics, pay their bills, heat their homes or feed their children. Let us not forget the reality of the tragic human cost of over a decade of Tory austerity, which urgently needs to end. Does the Minister agree that uprating benefits in line with inflation is not a difficult decision, but is instead the only moral course of action?
Mims Davies
That is not a matter for me, but I would like to reiterate at the Dispatch Box that the Government fully understand the pressures we are all facing. We all have constituents facing these matters, and it is absolutely right that we take that decisive action to support people with their bills. Members are talking as if we are not supporting people, but there is £37 billion of help with the cost of living, including the £400 of non-repayable discounts to eligible households provided by the energy bills support scheme. In addition to the benefits calculator and the cost of living webpage on gov.uk, I would ask people please to reach out to their councils. Members are talking this afternoon as if there is no help, and it is important that our constituents know that that is far from the case.
Tom Hunt (Ipswich) (Con)
A few weeks ago, at Paul’s Sports and Social Club, I met my constituent Nigel Seaman, who is a veteran, to discuss his work with Combat2Coffee to get veterans who may be homeless or struggling with the transition to civilian life into work and employment. Will the Minister meet me and Nigel to discuss what more can be done to support excellent veterans’ charities such as Combat2Coffee with helping veterans into work?
The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)
I am very pleased that I am wearing my Help for Heroes band today. I am delighted to hear about the work of the charity that my hon. Friend mentions. We are working with our champions in jobcentres to get people who have been service leaders into work, and we have work coaches who are dedicated to that. I would be happy to meet my hon. Friend to find out more about the charity and tell him more about what we do in jobcentres.
Marsha De Cordova (Battersea) (Lab)
It appears that the Government’s plan to clear up the economic disaster that they created is to implement austerity 2.0. Nearly 1.5 million people, including many of my constituents, have now been pushed into poverty as a result of their policies: the cuts to the social security net, the benefit cap and the cuts to support for disabled people, as well as the cruel and inhumane conditionality and sanctions regime. What discussions is the new Secretary of State having with the Chancellor to ensure that those in low-income households will not have to face any further cuts to social security to help to clear up this mess created by his Government?
Mims Davies
The benefit cap is important because it restores fairness to the balance between those on working-age benefits and taxpayers in employment. Along with changes in the taper rate, this means that moving people into work wherever possible is the best way out of poverty.
Peter Gibson (Darlington) (Con)
Last year an estimated 1 million people of working age were receiving carer’s allowance. A constituent of mine, after three and a half years of caring for his father full time—his father passed away recently—is now unable to access jobseeker’s allowance because he is not considered to have been employed. What is my right hon. Friend the Secretary of State doing to rectify the position?
Ronnie Cowan (Inverclyde) (SNP)
A number of my constituents who work for the DWP have told me that they are not being given the enhanced holiday pay that they were promised in return for working overtime consistently. In response to my inquiry, the DWP has told me that current legislation provides no definition of regularity. Will the Minister please address this issue?
Mims Davies
I thank the hon. Gentleman for raising the matter; I shall be happy to look into it if he writes to me with the details.
Nick Fletcher (Don Valley) (Con)
I have written to the DWP twice about the relocation of back-office staff from Crossgate House in Doncaster city centre to Sheffield, but have received only negative replies. This is not what the staff want and, with many council offices empty owing to the new model of hybrid working, Doncaster is losing much-needed footfall. Will the Minister meet me so that we can establish whether the decision can be reversed?
Mims Davies
This is an issue that I was already looking into. I am aware of my hon. Friend’s concern, and I shall be happy to meet him and be given an update on the situation.
Helen Morgan (North Shropshire) (LD)
Along with many other Members who are present today, I have received a number of emails from concerned pensioners, including one who wrote that if the triple lock is not maintained:
“myself and many others will have to pare our spending even more. Occasional meet-ups with friends will be the next to go and then more and more people will become isolated and depressed.”
Does the Secretary of State agree that maintaining the triple lock will improve the health and wellbeing of our pensioners as we go into the winter?
Oral Answers to Questions
Mims Davies Excerpts(1 year, 10 months ago)
Commons ChamberRead Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Julie Marson
I thank the hon. Gentleman for his question. Kickstart has delivered more than 163,000 starts, and I think that is hugely to be welcomed. One of the things that is so amazing to me in this role is to recognise the absolute impact on the individual people concerned of those 160,000 job starts. That is something we should welcome.
Mims Davies (Mid Sussex) (Con)
I congratulate the Secretary of State and her updated DWP team on their successes up and down the country. It is okay that it is my hon. Friend the Member for Hertford and Stortford who is at the Dispatch Box, rather than anyone else. Delivering help and opportunities up and down the country—true levelling up in action in jobcentres—has been the difference for the Way to Work campaign. Can I ask my hon. Friend, the new Minister, how she is looking to continue to progress for everybody, building on the success of getting half a million people into work through the Way to Work scheme?