(4 weeks ago)
Lords ChamberI am sorry to hear of the experience that the noble Baroness’s friend or family member had. What she said goes right to the heart of what we are doing. The point of the national jobs and careers service is that it is not just for people claiming benefits: it is for anybody who needs help getting into work, getting back to work or getting on in work. If we narrow it down to simply being about benefits, we will end up putting the incentives in the wrong place.
One thing that worries us about how the system has worked is that a lot of work coaches’ time is spent checking up to see whether everyone has ticked all the boxes and whether those on benefits have done all the right things. Of course, conditionality will always be a part of the system, but we want to see whether there are ways to reform that so that we can test different ways of making sure that people stay connected and work coaches can spend more time devoted to individuals —including the person that the noble Baroness described —to get them back into work if they want. There are 600,000 people out there who are long-term sick or disabled who want to work, but somehow they are not able to. We have to do something about that and we are determined to.
My Lords, there is much to welcome in these proposals for reform of employment support and their aim of better health and good work. But can my noble friend please assure me, first, that the emphasis will be more on carrots than on sticks? Secondly, can she assure me that transforming a department for welfare into a department for work will not mean further social security cuts or abandoning any attempt to repair the serious damage wreaked on the social security system over the past 14 years, at the cost of its role in addressing poverty and providing genuine security?
Let me reassure my noble friend of two things. First, we are absolutely committed to tackling the scourge of child poverty, and the Government are completely committed to making sure that how the social security system works is part of that—so I can reassure her on that front.
Secondly, we often talk in terms of carrots and sticks, but I am not sure that that is very helpful. Most people want to get on: they want a satisfying job that will be rewarding in itself and that will also feed them and their family. People want the same things that we want for them, but lots of things get in the way. Our job is to set the system up so that it is aligned to go with that—to get barriers out of the way, to support people, to give them all the help they can get and to get them over the line.
Obviously, some people will not be able to work on grounds of severe disability or perhaps sickness, or maybe their caring responsibilities do not make that possible. The Department for Work and Pensions is there to support them, as it is to support pensioners and those who need our help. A small number of people really do not want to work and, frankly, they should. We are quite clear that we will support them and, in return, we expect them to do their bit. But, in between, surely we can design a system that is not just carrots or sticks but goes with the grain and helps people to be themselves.
(1 month, 3 weeks ago)
Lords ChamberMy Lords, nobody went out thinking that this is where we would like to be, but the noble Baroness knows very well the economic situation that we inherited, and she will know exactly why it was necessary to save money in year. I remind the noble Baroness that, by definition, the poorest pensioners are getting the support they need provided they apply; we will make it as easy as possible for them to do that. For everybody else, the Government have committed to sticking to the triple lock for this Parliament. That means that somebody on the new state pension will find that, over this Parliament, the value of that state pension will rise by £1,700, and the value of even the basic state pension will rise by £1,300. That is where the huge extra support will come from for the pensioners that she is talking about.
My Lords, with reference to the triple lock, my noble friend the Minister will be aware that a number of charities have been calling for a double lock on benefits for children; that is, that they should uprated in line with either earnings or prices. Given this Government’s commitment to putting children at the heart of policy-making, might this be considered for the future?
My Lords, obviously the noble Baroness will not expect me to comment on the Budget, or I would be back asking questions rather than answering them as quick as she can say “Chief Whip”. She will be aware that the work of the child poverty commission to develop a strategy will involve looking in the round at the challenge of child poverty in our country, including social security systems. It will be looked at in that context.
(2 months ago)
Lords ChamberTo ask His Majesty’s Government what assessment they have made of the impact of the benefit cap on child poverty.
Child poverty is a multifaceted issue and the benefit cap is just one factor that can influence the level of financial support available to children and families. Comprehensive action is essential to address the root causes of child poverty. This Government are committed to examining all the ways to dismantle barriers to opportunity, alleviate poverty and help families move towards sustainable employment. The child poverty task force is driving forward this work and will publish its strategy in the spring.
My Lords, as my noble friend knows well, not only is the cap a driver of child poverty, especially deep poverty, but it undermines government goals with regard to homelessness and domestic abuse. Will she therefore impress on the child poverty task force the case for its abolition alongside the two-child limit and, in the meantime, do what she can to ensure that at least the cap is uprated in line with inflation as a matter of course so that some of the poorest families are not denied the protection of the annual uprating?
My Lords, the Secretary of State is currently in the process of reviewing the levels of social security benefits that are uprated annually, and a statement will be made in due course. When the benefit cap was introduced by the coalition Government in 2013, the legislation required that it be reviewed every five years. The next review is due by November 2027. However, I hear my noble friend’s comments about the challenges facing many families in poverty. The child poverty task force, which is getting to work already, is determined to use all available levers to drive forward short-term and long-term actions across government to reduce child poverty. It is taking evidence from families, activists, local government and people across the country, and I will make sure that her comments are conveyed to it.
(5 months ago)
Lords ChamberTo ask His Majesty’s Government what plans they have for the future of the local authority Household Support Fund, due to expire in September.
My Lords, the household support fund is a scheme to provide local support to those most in need. For the period April to September 2024 DWP has provided £500 million, of which £421 million is for local authorities in England to spend at their discretion, with the balance going to the devolved Administrations. No funding was budgeted beyond September. As a new Government, we keep all policies under review, including the household support fund.
My Lords, I welcome my noble friend to her rightful place. May I urge her to impress on her government colleagues the urgent need for the fund’s extension for at least six months, to give local authorities certainty and to enable the development of a longer-term, ring-fenced local crisis support scheme to replace also the discretionary welfare assistance that many authorities have scrapped and that is vulnerable to further cuts? As she knows, the alternative is even greater hardship for people in very vulnerable circumstances and even greater reliance on food banks.
My Lords, I thank my noble friend for that question and for the warmth of her welcome. We appreciate very much the crucial role that local authorities are playing in providing crisis support to vulnerable people in their areas. Indeed, my department is engaging closely with each local authority in England to make sure that we understand the ways in which they are using the household support fund.
She mentioned that it is not the only source of support; some local authorities still have local welfare assistance schemes and there are other forms of localised support. But the Government are very conscious of the financial pressures facing local authorities and we are committed to ensuring that councils have the resources they need to provide public services to their communities. As I say, the policy is under review but my noble friend’s points are well made and I will take note of them.