Benefit Claimants Sanctions (Required Assessment) Bill

Conor Burns Excerpts

Friday 2nd December 2016 Commons Chamber

[Conor Burns (Bournemouth West) (Con)]

I join my Conservative colleagues in congratulating the hon. Member for Paisley and Renfrewshire South (Mhairi Black) on securing this private Member’s Bill.

There is surely a consensus on both sides of the House that unemployment is a tragedy when it befalls anyone. There can be few things in life worse than wanting to work and failing to find it. However, I begin by bringing a group of people into the debate who were mentioned only once by Opposition Members in all the interventions in the hon. Lady’s speech: the taxpayer, which was referred to by the hon. Member for Aberdeen South (Callum McCaig). Every benefit that is paid to a benefit claimant is paid out of the receipts that the Government take in tax. The hon. Member for Paisley and Renfrewshire South referred at one point to something that would cost the Government. The Government do not have any money; the Government have only taxpayers’ money.

[Mike Weir (Angus) (SNP)]

Does the hon. Gentleman not recall the National Audit Office report that showed that this sanctions regime does not actually save any money? His point is without merit.

[Conor Burns]

The hon. Gentleman is approaching this from exactly the wrong angle. The point is that the Government have an obligation to ensure that every person who is in receipt of a benefit is entitled to it. That is part of the social contract that underpins our society. It was at the very core of the Beveridge report, whereby people paid in in times of good, in times of work, and drew down in times of sickness, unemployment and retirement—drew down in terms of need.

If the hon. Gentleman is suggesting that we should carry on in certain circumstances, where people have been demonstrated not to be legitimately in need of benefits, that is an abuse of the taxpayer. Many of those taxpayers are on very modest incomes indeed and work extremely hard to contribute to our society.

[Callum McCaig]

The hon. Gentleman entirely misses the point of this Bill. He listened to me enough to get part of the picture, but he has missed the point I was making entirely. When we sanction people, there is a cost to that. There is the immediate cost and the immediate saving to the taxpayer, which seems to be all Government Members care about, but the long-term costs—in health to the individual and society—are immeasurable. Let us think about that, let us not forget it and let us spend now to save in the long term.

[Conor Burns]

I understood the hon. Gentleman’s point absolutely; I referred to him because he was the only Member on the Opposition Benches who mentioned the word “taxpayer” at all. I was making a more fundamental point that we need to approach these debates from the perspective that the Government have an obligation to ensure that those who receive benefits are entitled legitimately to receive them.

[Mhairi Black]

The point the hon. Gentleman is making is that we need to have sanctions in place because people have to be claiming benefits legitimately—fine. We disagree on that, but that is not what this Bill is about. What it is about is preventing people from being sanctioned wrongly; it is about making sure that nobody is left destitute. It is not about sanctions overall; it is about one small change to prevent hardship.

[Conor Burns]

I hear the hon. Lady and I take her point absolutely, but I am afraid she did rather give the game away early in her speech when she said that in her view we should not have a sanctions regime at all—[Interruption.] That is the perspective from which I will give way to my hon. Friend the Member for Bury North (Mr Nuttall).

[Mr Nuttall]

I am grateful to my hon. Friend for giving way. It has been suggested a couple of times this morning—and we need to put an end to it—that the NAO report states that the system costs money. Page 43 of the report, in figure 23, clearly states:

“The total costs and benefits to government of sanctions are unknown”.

The NAO does not come to a conclusion; it leaves the matter open. It is not saying that there is a cost. Does he agree that one cannot put a cost on how many millions and billions of pounds are saved by ensuring that everyone complies with the rules?

[Conor Burns]

I entirely agree. I do not think we can put a cost on the opportunity for work. Of course, it is this Government—through the policies of those on these Benches, both in coalition and now in majority Government—who have ensured the economic conditions that have led to our having more people in work than ever before in history.

[Several hon. Members rose—]

[Conor Burns]

I will make a little progress, if I may, and then I will give way to the hon. Member for Glasgow South West (Chris Stephens).

We should also understand that this system of sanctions is not new; it has operated and existed for decades. It underlies a fundamental principle of ensuring that those who are being supported are not abusing the support that is being offered. There is a very real risk that the practical effect of the hon. Lady’s Bill, however well intentioned it is, would be to render the system of sanctions impotent, preventing it from encouraging claimants to meet their commitments.

It is important that we understand the historical context and practical purpose of sanctions. Conditionality has been a long-standing feature of welfare benefit entitlements in the UK since the formation of the welfare state itself. The Beveridge report spoke of the citizen having a “profound reciprocal obligation” to co-operate fully in the restoration of his earning power. Maintenance would be provided by society but

“only to the extent to which its members are willing to accept their corresponding social obligations”.

Access to full unemployment benefits has always been conditional on the recipient being involuntarily unemployed, being available for work and doing as much as can reasonably be expected to find such employment.

[Chris Stephens]

The hon. Gentleman has been talking about the “taxpayer” and about how benefits are not a right. Does he know that 3,665 employees in the Department for Work and Pensions are chasing benefit fraud estimated at £1.2 billion, but that only 320 employees are based in the High Net Worth Unit of Her Majesty’s Revenue and Customs chasing tax avoidance estimated at £70 billion? Should we not be going after the tax avoiders far more than we should the most vulnerable in our society?

[Conor Burns]

First, I say to the hon. Gentleman that I did not say that benefits are not a right; benefits are a right, and a right that I fully respect and uphold. Secondly, on the point that we have heard many times—we had Opposition day debates on it when I was a bag carrier in the Treasury—as he knows, the Chief Secretary to the Treasury, when he was Financial Secretary to the Treasury, reconfigured HMRC by focusing on more regional offices, so that we can have greater impact in the collection powers of HMRC and the focus it has on ensuring that the tax collected is the tax owed.

[Michael Tomlinson]

I am very grateful to my hon. Friend and constituency neighbour for giving way. He mentions the Beveridge report. I am reminded by my hon. Friend the Member for Faversham and Mid Kent (Helen Whately) that it is from 1942, but in fact the sanctions regime goes back to 1911 and the setting up of the first unemployment benefits regime.

--- Later in debate ---

[Conor Burns]

My hon. Friend and neighbour is absolutely correct. It is the reciprocal arrangement between the benefit claimant and the taxpayer, who is supporting that person in distress, that underpins the social contract that is at the core of our society.

The scope of behavioural forms of conditionality and the severity of the sanctions applied for failure to comply with the required conduct—attending appointments with the unemployment advisers and so on—have increased substantially since the 1980s. A series of social security reviews conducted by Conservative Governments between 1979 and 1997 led to the introduction of a stricter benefit regime from the late 1980s and culminated in the introduction of jobseeker’s allowance in 1996, which intensified the monitoring of unemployed claimants’ job-seeking behaviour.

It was the last Labour Government who adopted a “work first” and “work for all” approach, embracing JSA’s monitoring of claimants’ job search activities, backed up by benefit sanctions in cases of non-compliance.

The coalition Government further intensified benefit conditionality. The roll-out of universal credit has further extended the scope of the conditionality regime. Individual claimant commitments increase jobseeking expectations for most claimants. In addition, claimants of universal credit who are in work but on low income are also subject to conditionality for the first time. The current sanctions reflect the conditionality, in that longer periods of sanction are imposed for the most serious failures, such as giving up work voluntarily, refusing to apply for a suitable job, or not taking up the offer of a suitable job. Less serious failings, such as missing an appointment or not updating a CV, of course incur a shorter sanction.

[Tommy Sheppard]

I am confused about why the hon. Gentleman is trying to defend the principle of conditionality, when there is nothing in this Bill that says that conditionality would be removed. Does he not understand that there is a difference between people being required to look for work if they are in receipt of benefit and removing people’s method of staying alive if they miss an interview by 10 minutes because their child was sick or because they had a personal catastrophe? We should be looking at the individual and not treating people as a bloc.

[Conor Burns]

As was acknowledged in earlier interventions, there are procedures for emergency payments, so the idea that the hon. Gentleman is perpetrating—that somehow it is these cruel, callous Tories—

Proceedings interrupted (Standing Order No. 11(4)).