(2 days, 6 hours ago)
Commons Chamber
Chris Vince (Harlow) (Lab/Co-op)
It is a pleasure to speak in the debate. I thank the Minister and the shadow Minister for opening the debate on this important issue. It is hugely important that hon. Members have the opportunity to speak on this subject. The hon. Member for Bromsgrove (Bradley Thomas) suggested that Labour Members were risk averse, but I am going to take a risk: I will attempt to make a speech in which I will not make any political points. If I do at any time make a political point, I will allow the right hon. Member for Beverley and Holderness (Graham Stuart) to intervene. I think that is very fair.
I start by taking the House back to lockdown in March 2020. I made the decision to leave my job as a teacher; I will not go into why, because I do not want to make any political points. I went to see my headteacher and said, “I want to resign,” but he convinced me to stay until September, the start of the next academic year, so I handed in my notice on 22 March 2020. If hon. Members know anything about recent history, they will know that resigning on 22 March 2020 was quite a gamble, because the following day the country changed and we went into lockdown. I found myself working from home, giving online lessons and that sort of thing, and thinking to myself, “Now I’ve got to find a new job during lockdown.” I was not worried about it April, May or June, but when we got to August, I started to think, “Oh my gosh, in a couple of weeks’ time I will be unemployed.”
I will not pretend that I was particularly young in March 2020—I am not trying to claim that I am a young person—but I wanted to tell that story because for me, the idea of being unemployed was terrifying. I recognised the huge impact that being unemployed, for any length of time, would have on my mental health. Members across the House will agree that for people who suffer from mental health issues, which we recognise affect people to different degrees, work can be the solution, because it can provide an opportunity to give back to society and provide self-worth, which is really important.
Most of my contribution will be about the work of Harlow college. I was about to make a political comment, but I stopped myself. I came to this House not to be negative, or to talk down the country, but to talk up Harlow. Over the past year, the number of young people in Harlow not in education, employment or training has gone down, mainly because of the work being done by Harlow college. I pay tribute to the college’s principal, Karen Spencer, who has written a few points for me—it is not too long, and certainly not as long as what my mother would write, so hon. Members should not worry—about the work of Harlow college, and schools in my constituency, to get the NEET rate down in Harlow. I thank the college and those schools for their work.
Karen Spencer writes:
“Harlow college has developed a targeted NEET programme that recognises the complex barriers many young people face. Through flexible entry routes, small group provision and strong pastoral support, learners are helped to rebuild confidence, re-engage with education and progress into further study or employment. Importantly, these students are fully integrated into college life, including English and maths, enrichment activities and digital support. Harlow College also recognises that preventing young people from becoming NEET must begin earlier.”
That is a really important point that we can all understand. I know young people in Harlow who have been out of employment for a number of years, and whose parents have perhaps been out of work for a number of years, and we have to change that culture. She goes on:
“The college works closely with local schools, including Passmores Co-operative Learning Community.”
It is a community co-operative—“co-operative” is, technically, a political term, but it is in the title of the multi-academy trust.
I pay tribute to Vic Goddard, the executive head of Passmores Co-operative Learning Community, for his work with the college, because this must work both ways. Karen says that Harlow college works
“with college staff going directly into schools to discuss careers, support applications and help prepare young people for interviews. This early, collaborative approach reduces the risk of young people falling through the gaps at key transition points and demonstrates the vital role that further education colleges play in tackling NEETs and supporting social mobility.”
The right hon. Member for Beverley and Holderness has not intervened on me, so I do not think I have made any political points.
Let me finish by saying that I am absolutely determined for young people in my constituency to have the best opportunity moving forward. I am delighted that this Labour Government are investing in my town, and that the UK Health Security Agency will have its permanent home in Harlow. That will mean high-tech, high-skilled jobs for young people in Harlow.
(4 days, 6 hours ago)
Commons Chamber
Torsten Bell
I know that many of our sympathies would be with Miriam. Many Members have constituents who face challenges in the years running up to the state pension age and who are, for whatever reason, unable to work.
The hon. Lady has rather made the point that I just set out, though. She talks about losses of £50,000 or £60,000, which I also see in letters from constituents, but that does not relate to the issue of communication of the state pension age. What she is referring to—the increase and acceleration in the state pension age—was put in place by a Liberal Democrat Government, and not a single Liberal Democrat MP voted against it. It is important to be clear about what is and is not part of the PHSO’s investigation. As I say, it is very important that we take these issues seriously. We should not have seen an acceleration of the state pension age where some women were only given five years’ notice, but that was put in place by the coalition Government. We will not be making those mistakes.
Chris Vince (Harlow) (Lab/Co-op)
Mr Speaker, can I offer my deepest sympathies for your recent injury?
I pay tribute to the WASPI women in my constituency for their tireless campaigning on this issue. Will the Minister outline the difference that his Department and this Labour Government are making to all pensioners in Harlow?
Torsten Bell
Mr Speaker will not be on camera right now since I am speaking, but I can reassure the whole world that he is very much still with us. We all hope that that will be the case for some time to come, but when he does decide to become a pensioner, he will, like all pensioners, have the full support of the Government. We are bringing down waiting lists, which is benefiting pensioners right across the country. The biggest single disgrace facing older generations across the UK today is the state of our NHS, and that is why this Government are investing in bringing down waiting lists month after month after month.
(1 week, 2 days ago)
Commons ChamberI am trying to finish my speech—in fact, I had finished my speech.
This is a very important point, and we will push amendment 5 to a vote. As I said, we will challenge Labour MPs not to do the wrong thing for their constituents—for the young, hard-working graduates who are desperate to do the right thing.
Chris Vince
The shadow Minister, the hon. Member for Wyre Forest (Mark Garnier), challenged Labour MPs to champion their constituencies. One of the biggest concerns I have about pensions in my constituency of Harlow is the number of people who are not paying into any pension at all, particularly those who are self-employed or lower earners. Does the Liberal Democrat spokesperson agree that the real conversation that we in this place need to be having about pensions is how we encourage people in my constituency and beyond to save for their futures, which I think is what he is suggesting?
Charlie Maynard
I absolutely agree—well said.
The Government may well say that the Bill will not affect low earners, who are likely not to be saving £2,000 in a given year, as the hon. Member for Harlow (Chris Vince) has just said. However, that is too simplistic a way to look at this issue. The impact assessment by His Majesty’s Revenue and Customs found that an estimated 7.7 million employees currently use salary sacrifice to make pension contributions—that is around 25% of all employees. Of these, 3.3 million sacrifice more than £2,000 of salary or bonuses. That leaves millions of middle earners who are already feeling a significant squeeze as a result of myriad other cost of living pressures, who have had their taxes raised by the previous Conservative Government, and who are now facing an even greater hit due to this Government’s jobs tax and the extension of frozen income tax thresholds. If this Bill discourages those people from putting money away for their safety net in later life, the Treasury will pay the price in the long run.
Before the Budget, the Association of British Insurers warned that two in five Brits will save less in their pension if a cap on salary sacrifice schemes is introduced. With social care budgets also stretched to breaking point, we should be doing everything we can to incentivise people who are able to put money aside for a comfortable and supported retirement to do so. As the Institute of Chartered Accountants in England and Wales pointed out in its response:
“At a time when there is a pensions commission considering the adequacy of pension saving, this demonstrates a lack of joined-up thinking from the government.”
Torsten Bell
Thank you, Ms Nokes. I will follow your advice, but will try to respond to some of the hon. Member’s points when I address the question of how we have gone about making the changes that this Bill introduces.
As I have said, change is inevitable, but it is important to take a pragmatic approach, which is my answer to the hon. Member for Torbay (Steve Darling). The Bill is pragmatic in that it continues to allow £2,000 to be salary sacrificed free of any NICs charge, ensuring that 95% of those earning £30,000 or less will be entirely unaffected. It is pragmatic in that it gives employers and the industry four years to prepare.
Chris Vince
The Minister has said that the cost to the Exchequer of the salary sacrifice scheme is going to triple by the end of this decade. Does he agree that that is unsustainable for the Treasury, and also that we in this Chamber have to get real? The reason why people in my constituency of Harlow cannot even begin to think about pensions or savings is that they are living day to day. What this Government need to do is tackle the cost of living crisis, and that is what they are doing.
Torsten Bell
In a shock move, I entirely agree with my hon. Friend. Members of those parties who have said that they intend to vote against this Bill today cannot keep coming to this Chamber, day after day, calling for additional spending in more areas, while opposing any means of raising taxes. [Interruption.] Well, you have raised the welfare budget, and without trying—
(1 month, 1 week ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
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Sarah Hall
I thank the hon. Member for his intervention; I absolutely agree. I echo his comments about the fantastic work that is being done in Northern Ireland on inclusion, and I am sure that the Minister will address the points he made in her closing remarks.
It is also important to say this clearly: not all neurodivergent people have a diagnosis, and many are diagnosed far later in life. In some parts of the country, people wait years for assessment. During that time, they are still expected to work, cope and perform, often without any understanding of why things feel harder than they should. We cannot design workplace support around a system that is already overstretched and inconsistent. Support has to be based on need and not on paperwork.
Chris Vince (Harlow) (Lab/Co-op)
It is a pleasure to serve under your chairmanship, Mr Twigg, and I thank my hon. Friend for securing this debate and for her very personal testimony. Does she agree with me and PACT for Autism, which is based in my constituency, that we should not only support people in work, but support people into work? The application process for some roles is often so complicated that people who are neurodiverse are put off even applying for them, which means that they cannot realise their potential.
Sarah Hall
I could not agree more. My hon. Friend makes a very good point.
Research by the Chartered Institute of Personnel and Development has found that one in five neurodivergent workers have experienced harassment or discrimination at work because of their neurodivergence.
(1 month, 1 week ago)
Commons Chamber
The Exchequer Secretary to the Treasury (Dan Tomlinson)
Thank you, Madam Deputy Speaker, for bringing the Front Benchers on both sides to heel at just the right time, before I make the closing remarks. It is a pleasure to close this Second Reading debate, and I thank all Members on both sides of the House for their contributions. I thank my hon. Friend the Member for Dartford (Jim Dickson) for his contribution and his brief foray—and it was brief—into broader points around the Budget, which I did appreciate. I will try to minimise doing so in my remarks.
The shadow Minister, the hon. Member for North Bedfordshire (Richard Fuller), raised a few points. While he is whispering over there, I will confirm to him that the costing provided by the OBR accounts for the dynamic effects of this policy. The costing itself has been certified by the OBR. The reason why the change does not come in for a number of years is because it will give businesses time to plan, which we think is an important thing to do when we are making significant changes to the pension system.
This is an important Bill, if small. This is an important debate to have, although it has felt somewhat rushed given that it has come after the many final-week statements and urgent questions today. But that has given me a bit more time to prepare some remarks, which I have hastily cut down from the 30 minutes I was planning; we will see whether we can make faster progress than that for the sake of all concerned.
In my extra time this afternoon, I thought I would attempt to shoehorn a Christmas theme into my closing remarks, given that this will be the last time the House divides before Christmas. Very briefly, I present “The Twelve Numbers of Christmas: the Salary Sacrifice Edition”. I start with 12 words from Baron Hammond of Runnymede on how some employees are, in his words,
“able to sacrifice salary…and pay much lower tax….That is unfair”.—[Official Report, 23 November 2016; Vol. 617, c. 907.]
The Whips can count, and I can see that they have counted that as 12 words—very good. It is clear that even 10 years ago the Conservative party was aware of issues with salary sacrifice schemes. They knew that we must ensure that significant tax reliefs totalling £75 billion a year are properly targeted. That is why we are capping pension salary sacrifice contributions at £2,000.
Let us be clear: we are not removing pension tax relief, just the ability for unlimited relief via salary sacrifice, which many people cannot access in any case. That brings me to my No. 11. Those earning £11, £12 or £13 an hour at the national minimum wage or the national living wage cannot make use of salary sacrifice schemes because if they sacrificed their salary, they would be paid less than the minimum. It is the richest who benefit the most from these schemes.
Chris Vince
It’s Christmas! I have been here the whole time, by the way, Madam Deputy Speaker.
The Minister talks about the impact on different earners. The Parliamentary Secretary to the Treasury mentioned that only one in five self-employed people actually gets a pension, and there was another statistic about low earners. Can the Minister reflect on that? We need to get more people signing up for a pension.
Dan Tomlinson
Some 4.4 million of the self-employed are also not able to save into salary sacrifice schemes; it is right that we make the scheme fairer for all.
Let me continue to run through my numbers. Some 10 million people have signed up to a pension since auto-enrolment, which has limited the need for salary sacrifice. There are more than 900 tax reliefs; this is one of a number that we are reducing to raise revenue fairly at this Budget. Without intervention, salary sacrifice would have cost £8 billion a year by the end of the decade. Instead, we will now raise £7 billion from this change over the course of the scorecard.
The change will affect those on higher earnings more: 60% of the contributions come from the top fifth of employees and just 5% of those earning less than £30,000 will be affected. We will give businesses time to plan—this is not coming in for a bit less than four calendar years.
(1 month, 3 weeks ago)
Commons ChamberThe hon. Lady knows that there are already resources going into schools to provide mental health support to children and young people early on. There is also additional money going in through the Government’s investment into the NHS, which will include mental health services.
I am pleased that the hon. Lady highlighted the range of options available to people with mental health conditions, because we know that those people are very diverse and that there is no one thing that will support them into work and keep them in work. As she said, we have work coaches, Pathways to Work advisers, Connect to Work, and employment advisers in NHS talking therapies. There is a whole range of options to ensure that we get people with mental health conditions into work and keep them there.
Chris Vince (Harlow) (Lab/Co-op)
What conversations has the Department had with the Department of Health and Social Care to ensure that the 10-year plan tackles the root causes of mental ill health? My constituents in Harlow tell me that they get mental health support only when they are really facing crisis, and by the time they have got to that crisis point, they have already given up work and training.
My hon. Friend raises an important point. We know that 6,700 workers in the NHS are already providing that additional mental health support and, as I have said, work is going on in schools as well, recognising that early intervention is so important. I have also had meetings with the DHSC, particularly to look at how the two Departments can work together to ensure that we are providing wraparound care to people in work. This is happening alongside the Charlie Mayfield review “Keep Britain Working”, because we know that people may develop mental health conditions during the course of their life in employment, and we want to ensure that they stay in employment with the right support wrapped around them.
(2 months, 3 weeks ago)
Commons Chamber
Chris Vince (Harlow) (Lab/Co-op)
It is a pleasure to speak in the debate, and I pay particular tribute to my hon. Friend the Member for Loughborough (Dr Sandher) —who has just left the Chamber—for speaking without notes, which I think is commendable.
You will be aware, Madam Deputy Speaker, that my mind is currently dominated by thoughts about babies. It is incredible that human babies are so reliant on their parents and guardians to feed them, clothe them, bath them and keep them warm. That led me to consider how, given its humble beginnings, the human race has been so successful, creating societies, creating communities and—if I may give a local plug—creating the fibre-optic cable in Harlow. Then I realised that it was because of exactly these vulnerabilities that human beings formed societies and communities. It is not only human nature for us to support one another; it is essential. I believe it was Mahatma Gandhi who said that a society should be judged on how it treats its most vulnerable.
The original motion claims that it is a moral duty to stop benefits for certain people. I must be honest and say that I do not like that wording, although I recognise the need for welfare reform. I feel that there needs to be a great deal more meat on the bones: what do the Opposition mean by “lower-level” mental health issues? The motion also refers to the Government’s “failure” to get people on benefits back into work. I mean, come on! Give us a chance. Let me gently point out that inactivity increased on the Conservatives’ watch, and the United Kingdom was the only G7 country whose employment rate was still lower than it had been before the pandemic.
I support the Government’s aim to get people back into work, and I welcome the inactivity trailblazer scheme, whose purpose is to design local solutions to tackle this issue. I will talk later about having been a teacher, because I do that in every speech, but having worked for a homelessness charity, I know that the reasons for which people are out of work for long periods are complex and often vary, so those local solutions are very important.
Sir Ashley Fox
On that point, will the hon. Gentleman give way?
Chris Vince
I am going to make some progress, but I must get to my “teacher” point. I may have mentioned a few times in the House that I used to be a teacher. When I visit Harlow’s schools and colleges, I am blown away by our talented young people. I want the best for them: high-quality jobs, and an ambition that does not stop at a glass ceiling and a lifetime on benefits.
I genuinely believe that getting people into meaningful employment can and will help some of the mental health issues that people suffer from. I have seen that in my work for a homelessness charity. I therefore welcome getting employment advisers into GP surgeries and mental health institutions.
One way to get people back into work is by getting NHS waiting lists down. I know a number of self-employed people in Harlow who are really struggling because of the huge impact that long waiting lists have on them getting back to work. This Government are funding our NHS not just for now, but for the future.
I gently add that the number of people claiming unemployment benefits has actually gone down over the last year under this Government, which we should welcome. I also welcome the review into PIP, and I am glad that my right hon. Friend the Minister for Social Security and Disability is leading the charge on that important piece of work.
Fred Thomas (Plymouth Moor View) (Lab)
We have heard a lot of nonsense from the Conservatives; we have had a nursery rhyme and the claim from the hon. Member for South Northamptonshire (Sarah Bool) that the first instance of welfare in this country was the monasteries under Henry VIII. But to take that example, when Thomas Cromwell came in to advise King Henry VIII, he realised that they were not working and needed reform. It was extremely difficult. That Government passed two very difficult Acts of Parliament to dissolve those monasteries and to get the wealth back out to people. Does my hon. Friend agree that the difficult act of Government is actually to reform these things, rather than just to complain about them retrospectively?
Chris Vince
I thank my hon. and gallant Friend for his intervention. I cannot pretend to be a huge historian—I do not know a great deal about the selling of the monasteries—but I take his point about the difficult decisions that Governments need to make, and that reform is really important. There are so many things that have been left for us to look at in terms of reform. As a former teacher—I always mention it—special educational needs and disabilities reform is obviously a huge one that needs to be on the agenda.
As I was saying, I welcome the review into PIP being led by my right hon. Friend the Member for East Ham. After I left teaching, I worked for a homeless charity and had to help clients with PIP forms; they are cumbersome. I would encourage people from my constituency to participate in that review, either through the formal process or by writing to me. I will make sure that their feedback gets to my right hon. Friend.
The one thing in the Conservative motion that I would agree with is the need for more face-to-face assessments. It is right to say that the number of assessments went down because of covid—of course it did—but it is important that we get back to those face-to-face PIP assessments.
Finally, one of my top priorities in this place is to ensure that all young people in Harlow have the opportunity and aspiration to succeed, not just for the good of the community and our society, but for themselves.
(3 months ago)
Commons ChamberI have to remind the hon. Member that when his party was in government, it supported the acceleration in the rise of the basic state pension age, and that has given rise to some of the questions he raises. You would not expect me to comment on ongoing litigation, Mr Speaker, and I will not, but I can assure the hon. Member and the House that we will take all relevant factors into account when considering the process for the future.
Chris Vince (Harlow) (Lab/Co-op)
Previous to my election to this place, I worked for a homeless charity in Harlow called Streets2Homes. One of its cases involved a man who was homeless due to delays in getting his state pension. How is the Department ensuring that delays like that are not commonplace?
We hope that those entitled to the basic state pension receive a seamless and fast service. This is a pension that people contribute to throughout their life, and when they reach state pension age, we of course hope that they get it as soon as possible.
(4 months, 4 weeks ago)
Commons ChamberI fundamentally disagree with the hon. Gentleman’s premise. Economic inactivity is down by 400,000 because we are moving more people from being out of work and not looking for work to starting to have to look for work. Employment is up by 725,000. We have created 380,000 jobs. I know there is more we need to do. We are working very closely with employers. We are overhauling what we are doing. One of the things that employers say to us is, “We do not want to tell our story to thousands of different job centres.” We are putting in a single account manager and we are overhauling our support for employers. I would be happy to meet him and employers in his constituency to see what more we can do to support them, because we want to get Britain working and earning again.
Chris Vince (Harlow) (Lab/Co-op)
Let me start by congratulating all the pupils who have received their exam results over the last few weeks. Having good qualifications is essential in today’s economy, and it is brilliant to see so many young people doing so well. However, the number of young people not in education, employment or training is one of the biggest challenges facing the country, and young people are much more likely to be NEETs if they lack basic skills. That is why I am so proud of the action that the Government are taking to increase the number of youth apprenticeships, overhaul foundation apprenticeships and, above all, introduce a youth guarantee so that every young person is earning or learning.
Chris Vince
I hope you had a lovely recess, Mr Speaker.
Harlow is full of fantastic schools, and I see the potential of young people there every single day, but that potential is often overlooked because of economic circumstances. Will the Secretary of State explain how the new crisis and resilience fund will support the poorest children in Harlow?
In the spending review we announced this first ever multi-year settlement for local support, replacing the household support fund. The crisis and resilience fund will provide £1 billion every single year, and will give families emergency help if, for example, their white goods break down or they need food urgently. However, we want to start shifting it increasingly towards tackling the root causes of poverty, helping people to become more financially resilient through the provision of debt advice. We recently held a meeting with more than 600 stakeholders to discuss how we could achieve that shift, because we want to prevent people from falling into poverty and to give them the tools that they need to emerge from poverty themselves.
(6 months, 4 weeks ago)
Commons ChamberI am not surprised that the hon. Gentleman is baffled, because he is clearly not listening to what I am saying. We had three conditions. We have been very, very clear that we want to see the welfare budget come down. I will make some progress.
Even with the changes in this Bill, welfare spending will still be higher by billions at the end of this Parliament. Slowing down an increase is not a cut: we need to get this under control.
I will make some progress.
Despite the obvious flaws in the Bill, we offered to support benefit changes in the national interest. The hon. Member for Gateshead Central and Whickham (Mark Ferguson) asked a question, and I will answer it very clearly for those who have not been paying attention. We agreed to support the Government if they could make three simple commitments; they were not unachievable or unreasonable commitments. First, they had to cut the overall welfare bill, because we are spending far too much already. Secondly, they had to get more people into work. Thirdly, they had to stand by the Chancellor’s own commitment that, with taxes at a record level because of her choices, she would not come back for more tax rises.
What did we get from the Government? A sneery response indicating that they could manage on their own. How’s that going? What happened instead was that the number of MPs opposed to the Bill grew ever larger, until the inevitable U-turn finally came, announced by a press release dispatched after midnight and a panicked letter setting out that the reforms had been gutted. The Bill is now more incoherent than it was at the beginning.