Oral Answers to Questions

Andrew Gwynne Excerpts

Monday 11th July 2016 Commons Chamber

[Mr Vara]

I am grateful to my hon. Friend for raising this very important issue. I can give him an assurance that, in 2017, we will review whether the level of the charge cap should change, and whether to include some or all transaction costs in the cap.

[Andrew Gwynne (Denton and Reddish) (Lab)]

The Minister will know that in September last year, in evidence to the Work and Pensions Committee, the Economic Secretary said that if there was not transparency and comparability in fees, the Government would legislate. Does he think there has been transparency? If not, when will he legislate?

[Mr Vara]

The hon. Gentleman raises a good point. We are committed to transparency and openness, and, when opportunity allows, to putting them into place in legislation.

Disability Employment Gap

Andrew Gwynne Excerpts

Wednesday 8th June 2016 Commons Chamber

[Owen Smith]

I am going to finish this point. I might give way to the hon. Lady later.

Can the Secretary of State tell us how many fewer disabled students will go to university this September? I would be really interested to know, but I am not sure that the Government gather statistics on that. It would be good to know whether the cutting of that grant will mean fewer disabled students going to university. Can he explain how putting up barriers to disabled students is going to help his mission to halve the disability employment gap?

The biggest barrier that this Government have raised for disabled people seeking to enter the workplace is the cut to the work-related activity group under the employment and support allowance. That is a cut of around £1,500 a year for 500,000 disabled people whom the Government are meant to be helping into employment.

[Andrew Gwynne (Denton and Reddish) (Lab)]

I am glad that my hon. Friend has mentioned the fact that the cuts to the employment and support allowance will leave 500,000 disabled people £1,500 a year worse off. Those measures were passed by this Parliament only once the former Secretary of State had given an assurance to this House—and particularly to Conservative Members—that there would be a White Paper on a settlement package for disabled people before the summer recess. Is my hon. Friend as disappointed as I am that that White Paper does not appear to be forthcoming?

[Owen Smith]

I am deeply disappointed. I suspect that lots of Government Members, many of whom were sold the ESA cuts explicitly on the promise that the White Paper would come through, will be deeply disappointed. In fact, I may find it in my speech to mention a few of them in a couple of minutes’ time.

Oral Answers to Questions

Andrew Gwynne Excerpts

Monday 9th May 2016 Commons Chamber

[Justin Tomlinson]

This is a significant part of our ongoing work to bring the two main Departments together to help create additional opportunities and support for colleagues. We will bring forward further details soon.

[Andrew Gwynne (Denton and Reddish) (Lab)]

The fact is that analysis by the House of Commons Library shows that £1.2 billion of support to disabled people is set to be cut in this Parliament. Is this what the Secretary of State means about having a new conversation with disabled people?

[Justin Tomlinson]

Let me challenge the hon. Gentleman back on that. In my area, spending on personal independence payment and disability living allowance will be £16.6 billion, as compared with £12.7 billion under the previous Government. Overall, we spend nearly £50 billion a year on benefits to support people with disabilities and health conditions. That is rising every year to 2020. Record amounts of money are being spent.

Oral Answers to Questions

Andrew Gwynne Excerpts

Monday 14th March 2016 Commons Chamber

[Mr Duncan Smith]

Yes, and it is also worth noting that income inequality is now lower than it was in 2009-10. It is worth reminding ourselves that, for all the complaining from the Opposition, income inequality rose under Labour to the highest levels it had ever been.

[Andrew Gwynne (Denton and Reddish) (Lab)]

But the Secretary of State will know that research analysis from the House of Commons Library shows that three in four people who are currently receiving tax credits will see that in-work support reduced when they are naturally migrated over to universal credit. What does he have to say to those millions of workers whose in-work support will be revised downwards?

[Mr Duncan Smith]

As we have made clear on a number of occasions, anybody migrating across from tax credits will see no change to their income—the Institute for Fiscal Studies has made that clear publicly and we also make it clear. It is also worth reminding the hon. Gentleman, because his party seems to have opposed the advent of universal credit, that in the latest IFS-supported research universal credit claimants are seen to be much more likely to go into work than they would be under jobseeker’s allowance, they move into work faster, they stay in work longer and they earn more money. Those are major positives for people who are trying hard and working, whereas the last Labour Government penalised anybody who wanted to go to work.

State Pension Age

Andrew Gwynne Excerpts

Wednesday 2nd March 2016 Commons Chamber

[Mr Duncan Smith]

My right hon. and learned Friend is correct. I thought that the position of successive Governments was to take that as a non-party political point and agree on the need to make those changes, the pace of which should be decided independently. We have done that. It was brave of the Government of whom he was a part to start the process of change, but it was always going to be necessary to review the matter in line with demographics. Recent demographic shifts have been rapid, so we are carrying out such a review now. I regret the fact that the Opposition have chosen to play political games rather than supporting this necessary change.

[Andrew Gwynne (Denton and Reddish) (Lab)]

Does the Secretary of State accept that millions of people, having seen what the Government did in respect of the equalisation of the state pension age for women born in the 1950s, will look at the proposal and be worried that they are about to repeat those mistakes? Will he set out what transitional arrangements he expects for the changes, and whether that opens up the opportunity to look again at the injustice that has been done to those represented by the Women Against State Pension Inequality campaign?

[Mr Duncan Smith]

It is a legitimate concern to ensure that we give people plenty of notice, and Sir John Cridland will be looking at that carefully. If the hon. Gentleman wants to make a submission to the review about transitional arrangements, it is absolutely possible for him to do so, and I encourage him to do just that. This Government did not introduce those changes, but we introduced a transitional change for those who were affected to improve the lot of a large majority of those who would otherwise have been adversely affected.

Welfare Reform and Work Bill

Andrew Gwynne Excerpts

Tuesday 23rd February 2016 Commons Chamber

[Priti Patel]

No, I will not give way. I am speaking to Lords amendment 1.

[Andrew Gwynne (Denton and Reddish) (Lab)]

Will the Minister give way?

[Priti Patel]

I am going to make some progress on Lords amendment 1, and then I will give way to the hon. Gentleman.

I turn to why statutory income measures failed. They are flawed as they do not drive the right action to transform children’s lives. It is worth demonstrating that with a few examples. The Government are undertaking crucial reforms to improve people’s life chances, such as introducing the national living wage and increasing the personal allowance for the hardest-pressed families. Those policies will provide support for the hard-working families who need it the most, yet, according to Labour’s failed approach to measuring child poverty, their introduction would have supposedly led to an increase in child poverty. That failed approach incentivised the wrong actions. For example, it led the previous Labour Government to tackle the symptoms of poverty through expensive income transfers, such as spending more than £300 billion on working-age welfare and tax credits between 2003-04 and 2008-09, with very little return. The strategy failed to tackle the root causes of child poverty and did not make a long-term difference to children’s prospects.

[Priti Patel]

I will give way shortly.

The number of children in relative poverty remained broadly unchanged. In short, there are fundamental weaknesses in that system, which the Government are seeking to put right through our life chances measures.

[Andrew Gwynne]

The Minister would perhaps want me to remind her that child poverty fell by 1 million under the Labour Government, which is something we should be proud of. Her own advisers advised against removing the child poverty indicators, so why is she headstrong in ignoring the advice not just of the other place but her own commission, which has said that this is wrong?

[Priti Patel]

We discussed this issue in Committee. I just reiterate that the Government are right in our approach: we are focused on tackling the root causes of poverty. Ultimately, as the Prime Minister said in his recent life chances speech, we are here to make sure we can tackle those long-term root causes. This is not just about measurement. The economy cannot be secure if we spend billions of pounds on picking up the pieces of social failure. Economic reform and social reform are not two separate agendas, they are connected to one another. Therefore, it is imperative that we focus our resources on how we can transform people’s lives, which is through tackling the root causes.

The path I urge the House to take is the one that will incentivise the right action, and the one that the evidence tells us will make the biggest difference to children’s life chances. That is precisely why the Government are seeking to introduce the life chances measures contained in the Bill. The statutory measures on worklessness and educational attainment, combined with the non-statutory measures in the forthcoming life chances strategy—such as family breakdown, problem debt, and drug and alcohol dependency—will drive the right actions to transform children’s lives.

Oral Answers to Questions

Andrew Gwynne Excerpts

Monday 1st February 2016 Commons Chamber

[Mr Vara]

My hon. Friend makes a good point. I can assure him that the Government use a wide range of channels. On pension credit, we believe that one of the best ways to reach people is through community partners, and we provide a web-based pension credit toolkit containing a range of resources to encourage take-up among pensioners. Information and leaflets on other benefits are also available from the Department’s offices, advice agencies and local authorities, as well as some post offices and doctors surgeries. Information about all benefits and how they may be claimed is readily available on the gov.uk website.

[Andrew Gwynne (Denton and Reddish) (Lab)]

A triple lock of nothing is still nothing. The women of the Women Against State Pension Inequality campaign have been done an injustice by this Conservative Government. We also know that a group of women from 1956 will miss out on the new state pension benefits too. What has the Minister got against women from the 1950s?

[Mr Vara]

The hon. Gentleman has a problem understanding, so I will say this very slowly: as a consequence of the triple lock, which means an increase in line with whichever is highest out of inflation, earnings and 2.5%, when the new state pension comes into place in April, pensioners will get £1,000 a year more than under the old system. As he should remember, Gordon Brown insulted pensioners with a 75p rise, so we will take no lectures from the Opposition on who really cares about pensioners.

Under-occupancy Penalty

Andrew Gwynne Excerpts

Thursday 28th January 2016 Commons Chamber

[Justin Tomlinson]

We are determined to protect the most vulnerable in society. As we have shown, these people were getting the funding that they should have got and were entitled to.

[Andrew Gwynne (Denton and Reddish) (Lab)]

We have now had over half an hour of non-answers from this hapless Minister, when actually we wanted his boss, the Secretary of State, to come to the Dispatch Box to defend this disgusting and pernicious policy. Will he now answer the question asked by my hon. Friend the Member for Kingston upon Hull North (Diana Johnson) —how much public money are this Government wasting to defend the indefensible?

[Justin Tomlinson]

That level of anger pretty much matches that of some of the families I met waiting on the waiting list to whom the hon. Gentleman wishes to turn a blind eye.

Housing Benefit and Supported Housing

Andrew Gwynne Excerpts

Wednesday 27th January 2016 Commons Chamber

[John Healey]

My hon. Friend makes an important point and I shall come on to touch on that matter, albeit lightly. People will make their own judgments about whether Ministers and the Government know and care enough so that they act to stop the cuts.

The devastating decision has been made with no consultation, no impact assessment and no evidence. This is not a tussle between Government and Opposition Front Benchers because the situation concerns each and every Member of the House. Every MP has in their constituency hundreds of residents in supported or sheltered housing, many of whom cannot pay their rent and service charges for themselves and totally depend on housing benefit to help to cover their costs.

[Andrew Gwynne (Denton and Reddish) (Lab)]

Is not the real unfairness that supported housing, for many of our constituents, is an expensive but necessary choice? Without additional support from the housing benefit system, those people would not be able to afford such accommodation, which is vital to their everyday needs.

[John Healey]

My hon. Friend characteristically puts in a couple of sentences the main point that I am making, and he does so extremely well.

--- Later in debate ---

[Brandon Lewis]

I am slightly surprised by the hon. Lady’s comments. If she looks back at the Hansard report of this debate, she will see how many interventions I have already taken, so she might want to talk to her colleagues about the fact that they got in before her. I am sure that she appreciates that I will always take an intervention from the Chair of the Select Committee first.

The future of supported housing matters, which is why my Department and the Department for Work and Pensions have jointly commissioned a fact-finding review of the sector. This will report by the end of March and will deepen our knowledge and understanding. The research has included extensive consultation with local authorities, supported accommodation commissioners and all categories of supported housing providers, be they charities, housing associations or, indeed, those in the commercial sector. It will provide us with a better picture of the supported accommodation sector.

In the meantime—Lord Freud has written to all interested parties outlining this today—the 1% reduction will be deferred for 12 months for supported accommodation. We will get the findings of the review in the spring. We will work with the sector to ensure that the essential services it delivers continue to be provided while protecting the taxpayer, making sure that we make best use of the taxpayer’s money and meet the Government’s fiscal commitments. We will look at this urgently to provide certainty for the sector.

[Andrew Gwynne]

I am grateful to the Minister for giving way and for setting out the next steps. I put it to him politely that he ought to have done that kind of research before making the announcement in the first place. In order to give those housing providers certainty, can he now also tell the House precisely what kinds of measures will be implemented to offset the changes in housing benefit?

[Brandon Lewis]

I say gently to the hon. Gentleman that the financial mess in which the previous Labour Government left this country means that we have to make difficult decisions and move quickly to ensure that hard-working taxpayers are properly protected. I am proud to be working with a Chancellor who sees that as one of our first and foremost duties.

Universal Credit Work Allowance

Andrew Gwynne Excerpts

Wednesday 6th January 2016 Commons Chamber

[Owen Smith]

We have repeatedly asked for any sort of impact assessment in respect of these measures, and as usual the Government signally fail to offer one. I believe that in the hon. Gentleman’s constituency 13,000 households will lose out by the end of this Parliament as a result of these cuts, and in the constituency of the hon. Member for Hertsmere (Oliver Dowden) I believe 5,000 people will lose out by an average of £950 by the end of this Parliament; perhaps he ought to reflect on that when he votes on this motion later today.

[Andrew Gwynne (Denton and Reddish) (Lab)]

I commend my hon. Friend on bringing this motion to the House today, because the impact of these changes will be devastating to a very great number of my constituents in Tameside who, because they go through the Ashton-under-Lyne jobcentre, were part of the pilot for UC. Does my hon. Friend agree that there is another con here in that the Secretary of State has indicated that the £69 million support fund will help to bring in transitional arrangements, but that fund is used for myriad other purposes, and we already know the impact of the cuts to working families of UC changes this year alone will be £100 million?

[Owen Smith]

My hon. Friend is absolutely right as usual, and I think 10,000 of his constituents will eventually be affected with lower incomes as a result of these changes. He is also right about the transitional protections and the way in which the Secretary of State has, I think, sought to misrepresent those as covering the losses; I will come to that later in my speech.

--- Later in debate ---

[Justin Tomlinson]

I will take some more interventions, but let me make a little more progress because they might be on subjects that are coming up.

Against that backdrop, universal credit is removing the barriers to work that existed in the old system. The major reforms that are needed to our welfare system after 13 years of Labour’s culture of dependency are not without difficult choices, but universal credit is designed to provide certainty for claimants and provide the right incentives and support to find work and, crucially, progress in work. That has always been at the heart of universal credit, and it continues to be so. Universal credit policy remains unchanged since the summer Budget, despite attempts by the Opposition to suggest the contrary. The improved public finances allow us to reach the same goal of achieving a surplus while cutting less in the earlier years. We are smoothing the path to the same destination. That is a welcome move and the point I made in response to an earlier intervention.

I want to remind the House of the incentives that universal credit creates and the support it provides.

[Andrew Gwynne]

Will the Minister give way?

[Justin Tomlinson]

Shortly, shortly.

A single taper of 65% means that financial support is withdrawn at a consistent and predictable rate, helping claimants clearly to understand the advantages of work. Universal credit also extends financial incentives to people working fewer than 16 hours per week and removes the limit to the number of hours someone can work each week. Nobody can understand why we had a welfare system that created those artificial barriers.

[Andrew Gwynne]

I am grateful to the Minister for giving way. Although we all understand how universal credit is intended to work, does he not understand that there is an inbuilt disadvantage for those areas that were universal credit pilots, such as the Tameside part of my constituency? As universal credit is phased in across the country, these cuts will hit the areas that were the early entrants to the programme much harder than other parts of the country.

[Justin Tomlinson]

We are seeing that people on universal credit are more likely to progress into work and to secure more hours, and I will come on to that in more detail later.