Universal Credit

Debate between Chris Philp and Stephen Timms

Wednesday 17th October 2018 Commons Chamber

[Stephen Timms (East Ham) (Lab)]

The right hon. Member for Witham (Priti Patel) is absolutely right to say that change is urgently needed, and I hope that her Front-Bench colleagues will have heard that. Of all the many flaws in universal credit, the worst is the five-week delay between claiming and being entitled to benefit. Ministers can justify this—the Secretary of State had a go at doing so again yesterday—only in the case of people who have just left a monthly paid job and therefore have a month’s salary in the bank. The reality is that a very large number of people do not have a month’s salary in the bank when they make a claim for universal credit. Many are paid weekly or on zero-hours contracts; for all sorts of reasons, many are simply not in the position to have that much money in the bank. I spoke to a claimant on Merseyside at a time when the delay was even longer than it is now. She told me that the jobcentre had sent her away to live on water for six weeks. She reached the point at which she attempted to take her own life. Five weeks without support is not a realistic or acceptable feature of this benefit.

[Chris Philp]

I thank the right hon. Gentleman for raising that important case. Would his constituent not have been eligible to receive an advance payment, had she applied for one? They are now available at 100%.

[Stephen Timms]

She was not told about the availability of an advance payment. They are now being better publicised than when she made her claim, but the problem with advance payments is that people are being plunged into debt right at the start of their claim. For many, it is impossible to get out of debt once the system has forced them on to that slope. The result is that they have to go to food banks. We know that food bank demand rockets when universal credit comes in, because people get behind with their rent and other debts mount. I say to Conservative Members—many of them are fully aware of this—that this is not the way to treat our fellow citizens. Universal credit must be changed to stop this happening.