Free School Meals/Pupil Premium: Eligibility

David Drew Excerpts

Tuesday 6th February 2018 Westminster Hall

[Mrs Sharon Hodgson (Washington and Sunderland West) (Lab)]

I beg to move,

That this House has considered future eligibility for free school meals and the pupil premium.

It is a pleasure to serve under your chairmanship, Mr Hollobone. With the support of my hon. Friend the Member for High Peak (Ruth George), I called this debate because of our serious concerns about the Department for Education’s consultation, “Eligibility for free school meals and the early years pupil premium under Universal Credit”. Those concerns arose following my oral question on universal credit and free school meals to the new Secretary of State last week, when, unfortunately, he completely missed my point.

The Government are disregarding the concerns of many in this House and outside it that their actions will push more children into poverty. Labour Members know that poverty is not an inevitability, but a symptom of failure to harness political will, think innovatively and take bold steps forward. This whole issue encapsulates that neatly. In my contribution, I will focus on the concerns flagged up by the consultation’s proposals and discuss what should be done to mitigate those concerns and why.

In my letter to the consultation, I said that I am a huge supporter of rolling out hot and healthy universal free school meals for all children—I always have been. That will be no surprise to hon. Members, who know that I have banged on about my support for wider access and the provision of free school meals for more than a decade now, and I will continue to do so until all children receive a hot and healthy meal in the dinner hall.

In the current transition to universal credit, all families claiming the new benefit are entitled to free school meals, which is great, but the Department’s consultation aims to roll forward that reform by rolling back one of its most progressive measures. By removing the universal entitlement to free school meals under universal credit and introducing a £7,400 threshold for eligibility for free school meals, the Government are forcibly creating a cliff edge that will be detrimental to families, especially children. That seems utterly ludicrous.

As the former Secretary of State for Work and Pensions, the right hon. Member for Chingford and Woodford Green (Mr Duncan Smith), wrote when the White Paper on universal credit was published in 2010:

“At its heart, Universal Credit is very simple and will ensure that work always pays and is seen to pay. Universal Credit will mean that people will be consistently…better off for each hour they work and every pound they earn.”

The Opposition do not disagree at all with the principles that he set out, but sadly, the reality has failed to live up to the promise made eight years ago. We all know lots of the reasons behind that, which ultimately led to him resigning, but that is a whole other story.

The proposals set out in the consultation are diametrically opposed to that 2010 vision and what it was meant to achieve, especially around making work pay. To give one example of how the proposal will be detrimental: someone with three children in their family who earns just below the £7,400 threshold is set to lose out on £1,200 in free school meals if they work only a few hours more or get a pay rise. The family’s annual wages would have to increase from £7,400 to almost £11,000 to make up for what they lost by rising above the eligibility cliff edge—a problem that would not occur under the working tax credit system because the legacy benefits system provides an offsetting income boost at the point that free school meals are withdrawn. Under universal credit, however, there is no equivalent mitigation. 

Another example, provided to my hon. Friend the Member for High Peak and me by the fabulous Dr Sam Royston of the Children’s Society, is that a single parent with no housing costs and one child would be £26 better off per week under the old working tax credit system than under universal credit. The Minister may think £26 per week a meagre amount, but for many outside this place it can determine whether or not they can eat or heat their home. The child of the single parent in Dr Royston’s example is not entitled to free school meals either under working tax credits or under the proposed universal credit rules, so it may seem that they will be no worse off, but the only way they can be so entitled is if the transitional plans are made permanent, so that all children in a family that claims universal credit receive free school meals.

[Dr David Drew (Stroud) (Lab/Co-op)]

My hon. Friend will be aware—as I am, since I represent a rural area—that one of the problems with free school meals is how many parents will not claim them because of stigma. Does she agree that changing to universal credit will only make that worse?

[Mrs Hodgson]

Yes. One of my reasons for supporting universal free school meals is that the stigma would be removed. It was proved in the excellent school food plan commissioned under the former Education Secretary, the right hon. Member for Surrey Heath (Michael Gove), that that was one of the benefits of universal free school meals. The poorest kids, who are entitled to them anyway, are the ones who benefit the most.