Fairness and Inequality

Debate between Angus Brendan MacNeil and Debbie Abrahams

Tuesday 11th February 2014 Commons Chamber

[Debbie Abrahams]

I will indeed. I also want to pay tribute to Oldham college, which has introduced its own system to ensure that people from the poorest backgrounds can still attend college without being financially penalised.

The Government are restricting access to justice through their legal aid changes. Inequalities are also being created through job insecurity resulting from zero-hours contracts. The swathe of policies that the Government have introduced have done nothing to reduce inequalities. On the Government’s so-called welfare reforms, I absolutely detest the divide and rule narrative that has been deliberately introduced in an attempt to vilify people receiving social security as the new undeserving poor. The pejorative language of “shirkers” and “scroungers” has been really disingenuous, and the Government are distorting statistics to try to prop up their welfare reforms. That is absolutely shameful.

Collectively, the impact of public spending cuts is significantly greater in deprived areas. Academic studies also show the relationship between public spending and, for example, life expectancy at birth. The immediate impact of these socio-economic inequalities on health inequalities is already showing. Following the 2008 recession, there was an increase in male suicides, with an additional 437 suicides registered in the UK in 2011, roughly mirroring the increase in unemployment. It will take time for health conditions such as cancer and heart disease to develop. There is always a time lag between such conditions and their immediate precursors. We also know that the protective, positive factors that can mitigate these negatives are being eroded.

[Mr MacNeil]

The hon. Lady is making a clear, thoughtful speech. She has touched on regulation, and on positive factors. Does she agree that one of the malign aspects of state regulation is the excessive regulation of trade unions, especially when the OECD has shown that strong trade unions can help to reduce inequalities? Does she also agree that this is one area in which the UK has definitely gone too far?

[Debbie Abrahams]

I am a trade unionist and I fully support trade unions.

On the current policy trajectory, the social pattern of health inequalities will continue. For example, the gap in life expectancy is set to increase, rather than decrease. In England, there is now a nine-year difference for men and a seven year difference for women. The Government’s indifference to inequality reflects their belief in the dated theory that reducing inequality reduces incentives and slows growth. That theory has had a number of iterations, but the converse has been shown to be the case. For example, Stiglitz produced evidence last year to show that inequality caused financial instability, undermined productivity and retarded growth.

The previous Labour Government did not get everything right, but I am proud that we achieved our targets on health inequalities. Our key successes were in achieving our objectives, first, to reduce health inequalities by 10% as measured by life expectancy at birth for men in spearhead areas, and, secondly, to narrow the gap in infant mortality by at least 10% between routine and manual socio-economic groups and the England average. That was quite a feat, and it has not been acknowledged by this Government. I am sure that the Minister will take an opportunity to mention it in his closing remarks. We did not get it right, but we are definitely moving in the right direction with the policy initiatives we have announced: strengthening the minimum wage; increasing support on child care; freezing energy bills; repealing the bedroom tax; providing support on business rates; and improving the quality of jobs.

Jobseekers (Back to Work Schemes) Bill

Debate between Angus Brendan MacNeil and Debbie Abrahams

Tuesday 19th March 2013 Commons Chamber

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

I would like to put on the record once again my belief that anyone who can work should work. For that to happen, we first need to have good quality jobs. As I suggested in my intervention, the percentage of such jobs that are available is getting worse, not better.

[Mr MacNeil]

The hon. Lady says that those who can work should work. Does she agree that they should be paid for that work, and that they deserve the support of MPs to be paid for their work?

[Debbie Abrahams]

I was about to make the point that schemes such as work experience, when they are co-determined, can be valuable tools in enabling people who are yet to find a permanent, full-time job to find one.

The Bill is a new low for the Government. It is the result of an abuse of power and incompetence, mixed with an ideological drive to run down our welfare state. I, for one, do not support it.

The recent court ruling that the Bill seeks to overturn quashed the 2011 jobseeker’s regulations, which failed to describe the specifics of the employment schemes and the requirements to participate in those schemes, including the time that must be spent on them. The Secretary of State had empowered himself to make regulations, but the form that he had chosen was judged to be unlawful. The regulations did little more than name the scheme.

The second part of the judgment related to the sanctions that were applied to claimants. DWP letters failed to explain what they were required to do. The ruling stated:

“the answer to my mind is plainly that there could be no question of sanctions being validly imposed if no proper notice of the sanction consequences was given.”

Again, I support the principle of a sanctions regime. If somebody consistently fails to turn up for work experience or a Work programme scheme, sanctions should be applied. However, I believe that sanctions are being applied indiscriminately. For example, one of my constituents was a beneficiary of employment and support allowance after they had retired on grounds of ill health as a result of a heart problem. He was required to attend a work capability assessment with Atos. During the assessment, he was told that he was having a heart attack and the nurse said that she had to stop the assessment. He got a letter a couple of weeks later saying that he had withdrawn from the assessment and, as such, was being sanctioned. That beggars belief. I have other examples, as I am sure do colleagues.

I welcome the opportunity for a review of the sanctions regime, which my right hon. Friend the Member for Birmingham, Hodge Hill (Mr Byrne) has proposed, and the provisions on the appeals process. As he suggested, there is an indiscriminate approach to sanctioning. I was contacted by a Jobcentre Plus employee who was concerned that he was being forced to sanction people inappropriately. I hope that more whistleblowers will come forward during the review to describe the issues with the schemes.

The Government say that the Bill is needed so that they do not have to pay back the sanctioned benefits. That is absolute nonsense, as was suggested earlier. There is test case law from 2012 that disputes that argument.

Not only are the Government trying to push through retrospective legislation that undermines the judiciary and the rule of law, with all the appalling implications that that has; I believe that the Bill is part of the divide-and-rule narrative that underpins the Government’s ideology. They are again pointing the finger at the undeserving poor. They are emaciating our hard-fought-for welfare system on the convenient back of austerity. I believe in our country and our people. I believe that in good times and bad the welfare system is there to protect them. There will always be a few who abuse that system and we need to have measures in place to prevent that. However, the Bill goes beyond the pale and I, for one, will fight this emaciation of our welfare system.