Universal Credit

Baroness Watkins of Tavistock Excerpts

Tuesday 4th February 2020 Lords Chamber

[Baroness Stedman-Scott]

I can give a commitment that we are listening to the most vulnerable. We will make changes as soon as we can, once they have been agreed. There is nothing in it to delay things or to make life worse for people. I certainly do not want to be a Minister who is known for that.

On food banks, I have no doubt, and the previous Secretary of State confirmed it, that usage of food banks was up due in part to universal credit. I do not run away from that point. Last Thursday I sat down in a food bank in Hastings called The Pantry. I will arrange it for any noble Lord who wishes to go there, because it is a most dignified example of a food bank. I asked them: “Why do people use it?” Relationships break down, or people’s priority is to fund their addiction. When their money comes through from universal credit, they are at the cashpoint at 1 am or 2 am to get the next fix or the next drink. One person left a job on a Friday, went to a new job on Monday and by Monday evening it was all over. He found himself in a very difficult position. All credit to the food banks for what they do, but please, do not lay the increase completely at the door of universal credit.

[Baroness Watkins of Tavistock (CB)]

My Lords, are we collecting any central statistics on the increasing rent arrears for some people on universal credit? There is a real challenge, particularly for people in London, where rents are high in relation to universal credit. We are very concerned that some people are going without food in order to pay their rent.

[Baroness Stedman-Scott]

I thank the noble Baroness for raising what is another very valid point. Rent arrears is a problem, but the majority of arrears were incurred with the legacy benefits. It is not just universal credit. I am not saying that there is not a contribution, but 12% of social-rented households are on universal credit. It cannot be laid entirely at that door, but the issue is live, and we are on it.