Oral Answers to Questions

Damian Hinds Excerpts

Monday 21st November 2016 Commons Chamber

[Bridget Phillipson (Houghton and Sunderland South) (Lab)]

2. What recent assessment he has made of trends in the level of self-employment.

[The Minister for Employment (Damian Hinds)]

Many people aspire to be their own boss. Although the bulk of the growth in employment in recent years has been in employment, there are now 4.7 million self-employed people in the UK labour market, accounting for approximately 15% of everyone in work.

[Bridget Phillipson]

I am grateful to the Minister for his answer, but notwithstanding what he has said there is a growing issue of bogus self-employment. Trade unions such as the GMB have been at the forefront of exposing such practices, so will he commit to working with trade unions as part of the ongoing Taylor review?

[Damian Hinds]

Of course, what the hon. Lady refers to does not apply to the great majority of people in self-employment, but some concerns have been expressed. The growth of atypical employment was behind the Prime Minister quite rightly saying that there would be a proper review under Matthew Taylor. That review will look at a whole range of things, as its terms of reference are quite broad: rights, responsibilities, representation, training, representation of under-represented groups and so on.

[John Howell (Henley) (Con)]

19. I am glad we are doing so much to help the self-employed get into business, but so many of them are on the legacy system for support rather than universal credit. What are we doing for those people?

[Damian Hinds]

My hon. Friend makes a very good point. We are launching a test—face-to-face and on a voluntary basis, from Jobcentre Plus work coaches—for self-employed people currently in receipt of tax credits. A range of support material is also available at gov.uk.

[Margaret Greenwood (Wirral West) (Lab)]

Ordering presents online is now a normal part of Christmas for many people, but there have been disturbing reports recently of delivery drivers who are classed as self-employed working dangerously long hours for less than the national living wage. Those workers make a vital contribution to the functioning of the digital economy. Will the Minister commit to meeting Labour’s five tests for social security for the self-employed?

[Damian Hinds]

I join the hon. Lady in recognising the necessity of looking at these issues. National living wage enforcement is very important. That is why we have raised the budget for it, as well raising the maximum penalty. As for the exact definition of self-employment, she will know that there are variations in definition for tax purposes and employment law purposes. The Matthew Taylor review is looking at precisely these issues to make sure that the appropriate protections are in place while enabling more and more people to avail themselves of the opportunities in the new economy.

[Sir Desmond Swayne (New Forest West) (Con)]

What is the Minister doing to help disabled people into self-employment?

[Damian Hinds]

My right hon. Friend makes a very good point. We know that many more disabled people want to get into work, and one route is through self-employment. I am pleased to be able to say that more than a fifth of the participants in the new enterprise allowance scheme are people with a declared disability, but there is a great deal more we can do.

[David Mackintosh (Northampton South) (Con)]

3. What steps the Government are taking to ensure that employers are supported in recruiting and retaining disabled people.

--- Later in debate ---

[Kerry McCarthy (Bristol East) (Lab)]

13. What assessment his Department has made of the potential merits of improving co-operation between Jobcentre Plus and food banks.

[The Minister for Employment (Damian Hinds)]

Jobcentre Plus district managers have discretion to work with food banks in their areas where those food banks are willing to work with them. This is part of the wider Jobcentre Plus outreach programme with community organisations.

[Kerry McCarthy]

In just six months the Trussell Trust has provided more than 2,000 children in Bristol with emergency food parcels, and east Bristol food bank has had to open another outlet in Fishponds. We know that changes to benefits or delays in payments account for nearly half of those cases, so will the Minister agree to the Trussell Trust’s simple request that a Jobcentre Plus hotline for food bank volunteers is provided?

[Damian Hinds]

First, I should say that 90% of out-of-work benefits are paid on time; of course, we always strive to make that better. On the question of whether the Jobcentre Plus network is willing to work with food banks, as I said, there is discretion locally to do that when it makes sense and if the food bank is happy to do so. There are plenty of examples of that happening around the country in terms of both signposting from Jobcentre Plus and work coaches going to food banks.

[Jeff Smith (Manchester, Withington) (Lab)]

14. What steps his Department is taking to ensure that personal independence payment assessments are undertaken fairly and appropriately.

--- Later in debate ---

[Alison Thewliss (Glasgow Central) (SNP)]

By Wednesday’s autumn statement, it will be 505 days since the Government first announced the two-child policy and the rape clause in the summer Budget 2015. The Resolution Foundation estimates that that policy will put 200,000 children into poverty by 2020. The Government still cannot tell us how it will actually work, and there is a measly 38-day consultation in which the public can respond. When will the Government finally admit that the rape clause and the two-child policy are completely unworkable and scrap the policy?

[The Minister for Employment (Damian Hinds)]

Difficult decisions had to be made in welfare reform, and the vast majority of families with children have two children or fewer. This is one decision that had to be made, and it applies only to new cases and will not take money away from those already in receipt of help. On the exemptions that the hon. Lady mentions, these are some of the most difficult and sensitive topics. It is right that we have a full consultation and that we work closely with experts within the sector to ensure that we get the process exactly right.

[Heidi Allen (South Cambridgeshire) (Con)]

T9. I was very pleased to hear last week from the Minister for Disabled People that she really understands the extra cost that people face in the employment and support allowance work-related activity group. She talked a lot about liquidity. She gave a reassurance to my hon. Friend the Member for Enfield, Southgate (Mr Burrowes) that the people who would no longer receive the extra ESA WRAG benefit would be compensated financially in other ways. Will she clarify that?