Welfare Reform (People with Disabilities)

Debbie Abrahams Excerpts

Tuesday 30th June 2015 Westminster Hall

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

I beg to move,

That this House has considered welfare reform and people with disabilities.

It is a pleasure to serve under your chairmanship once again, Sir Roger. It is poignant that this debate falls on the very day that the independent living fund closes. A further £1.2 billion is being cut from support for people with disabilities. Such cuts were a hallmark of the Tory-led coalition, and many are concerned that not only will this increase but the cuts will get worse under this Government. My purpose in calling this debate is to highlight where we are now and the effect on disabled people, but I also want to draw attention to the punitive and dehumanising culture that has been part of the delivery of these welfare reforms, which set the tone for the leadership within the Department for Work and Pensions and the Government’s wider tone on social security.

In the final days before next week’s Budget, I urge the Minister to listen to disabled people, their carers and the millions of compassionate people across the UK who are saying that enough is enough. Going back to the 2010 emergency Budget, we know that £500 million was cut within weeks of the general election. The following year the analysis by Demos on behalf of Scope assessed the cumulative impact of the Government’s so-called reforms, and estimated that, by 2018, £23.8 billion of support would have been taken from 3.7 million people with disabilities. Demos identified a total of 13 cuts, of which I shall mention the top few.

First, the indexation of social security payments was changed from the higher retail prices index to the lower consumer prices index, and there was also a 1% cap on the uprating of certain working-age benefits. That cut £9 billion from 3.7 million people. Secondly, people on incapacity benefit were reassessed, and we could have a whole separate debate on that—we had a number of debates in the previous Parliament on the work capability assessment. That cut £5.6 billion of support available to people with disabilities. Thirdly, there was the limiting of the time that disabled people in the work-related activity group are able to receive the employment and support allowance. Such people are now able to receive only two years of support, which is a further cut of £4.4 billion. Fourthly, and this is four of 13 cuts, disabled people in receipt of disability living allowance are being reassessed to determine whether they are eligible for the personal independence payment, which is another cut of £2.62 billion.

How have the Government managed that? How has there been buy-in from the public? How can such draconian cuts be acceptable? Part of the Government’s strategy has been the invidious spreading of a culture of blame and fear. In the 1980s we saw the unions being targeted; today the focus is on the poor and the vulnerable. The narrative associated with the so-called welfare reforms has been one of divide and rule, deliberately attempting to vilify people who receive social security as the new undeserving poor.

[Angela Rayner (Ashton-under-Lyne) (Lab)]

In the past year, across Tameside, Oldham and Manchester there has been a 230% increase in the number of people going to citizens advice bureaux for help after being sanctioned. One man in my constituency who is not computer-literate, is dyslexic and has a recognised learning difficulty was sanctioned for four weeks for not properly filling out a job search agreement. Does my hon. Friend agree that Ministers need urgently and closely to consider the impact of benefit sanctions across the whole of Greater Manchester?

[Debbie Abrahams]

My hon. Friend is absolutely right about the punitive sanctions regime. We have called for an independent inquiry into sanctions, following on from the Oakley review. Oakley himself said that his review was “insufficient,” which the Government still refuse to accept. Will the Minister respond to that?

The Government have spread a culture of pejorative language, such as “shirkers” and “scroungers”. They have intentionally attempted to demonise social security recipients, including disabled people. The innuendo that people with a disability or illness might be faking it or are feckless is, quite frankly, grotesque and belies the epidemiological data.

[Mr David Anderson (Blaydon) (Lab)]

The Chancellor of the Exchequer has said, “When you go to work in the morning and see the curtains of your neighbours pulled tight, you know there is somebody lying in there who can’t be bothered to get out of bed and go to work.” Somebody might actually be lying in there because they cannot get of bed owing to an incurable disease. Is it any wonder that some people tar everyone with the same brush? Was that not a deliberate ploy by the Chancellor?

[Debbie Abrahams]

My hon. Friend is absolutely right. I cannot remember whether it was during the Budget or the autumn statement, but it is absolutely shocking that the Chancellor used that language. Incapacity benefit and ESA are recognised as good population health indicators, so what is implied by words such as “shirkers” and “scroungers” is not supported by the evidence.

[Richard Graham (Gloucester) (Con)]

I am worried by the hon. Lady’s language. She is attempting to project the party of government as demonisers who are against people with disabilities, which is offensive to those of us who employ people with physical and mental disabilities. I ask her to look at the other side of the coin, which is the work that some of us have been doing on events such as Disability Confident to help get people back into work. What many people with disabilities in my constituency want is not more endless handouts but the respect of being encouraged and enabled to get jobs. Today some 320,000 more people with disabilities are in jobs than was the case a year ago.

[Debbie Abrahams]

I would not want to impugn the hon. Member’s reputation because I know he is an honourable gentleman, but, frankly, I refer back to the language that is being used. We can see a pattern and, again, the Government have to be responsible for that. I will come on to what the Government have done, or how little the Government have done collectively, to support people with disabilities into employment.

Unfortunately, the regular misuse of statistics is another way that the Government are trying to harden the public’s attitude. The facts are that, in an ageing population, the largest proportion of social security recipients are pensioners and not, as is often implied, the workshy. Again, fear and blame are not the Government’s sole preserve. We all need to be very careful of the language that we use and how it is perceived. As the Government prepare to cut £12 billion from the annual social security budget in next week’s Budget, there are real concerns that, in addition to potentially slashing tax credits for the working poor, they will cut further support for working-age people with disabilities.

A recent analysis of trends in disability benefit spending showed that, far from being generous, disability benefits are approximately 15% of average earnings. With the recent changes—the 1% uprating and the indexation to the consumer prices index—they will fall even further. The 2012 public spending on people with disability was just 1.3% of GDP. If we compare that with our European neighbours, we find that that is lower than Austria, Belgium, Croatia, Denmark, Estonia, Finland, Germany, Hungary, Iceland, Luxembourg, Italy, the Netherlands, Norway, Portugal, Serbia, Spain, Sweden and Switzerland.

That figure has decreased since 2012, given the Government’s welfare spending cuts in 2013. Total social security spending in the UK in 2012, before the cuts, was only 15.5% of GDP. That spending supports our pensioners, the sick and disabled, people in low-paid work and people out of work. We are 17th out of 32 EU states. Again, I contrast that with the fact that the Government are trying to say how generous we are in terms of what we provide.

[Ian Lavery (Wansbeck) (Lab)]

Does my hon. Friend agree that it is an outrage that disabled people spend an average of £550 extra in connection with their disability, and that one in 10 disabled people spends more than £1,000 extra?

[Debbie Abrahams]

My hon. Friend is absolutely right. I will come on to the additional costs of being disabled.

[Mr David Burrowes (Enfield, Southgate) (Con)]

The hon. Lady mentioned percentage of GDP, which I might address later if I have a chance to catch Sir Roger’s eye. What does she think the percentage should be? We spend 0.7% on international development and 2% on defence. What does she think is the appropriate and right percentage of GDP to spend on disability?

[Debbie Abrahams]

I would not be so pushy as to state such figures at this stage in a Parliament. I am making a point about the mood music that the Chancellor in particular is stressing before the next Budget. I warn hon. Members that we are not over-generous; our spend is 1.3%, and we need to bear that in mind.

There are more than 12 million people in the UK living with a disability, impairment or limiting long-term condition, 7 million of whom are of working age. That is one in five of the population. Of those, 4 million working-age disabled are working already, and another 1.3 million can and want to work but are currently unemployed.

[Ian Paisley (North Antrim) (DUP)]

Does the hon. Lady agree with me that there are about 5,000 people with motor neurone disease, which is a rapidly progressive and fatal illness, and that not all of them can obtain a DS1500? That pushes things to the point where people think that they can or should work, when they are not physically capable of doing so. The Government must deal with that rapidly to ensure that all 5,000 people in the UK with MND are taken care of.

[Debbie Abrahams]

The hon. Gentleman makes a good point. The work capability assessment’s insensitivity to mental health conditions, progressive conditions and fluctuating conditions makes it unfit for purpose at the moment, and there is a lot of evidence to support that.

[Richard Graham]

The hon. Member for North Antrim (Ian Paisley) raised an interesting point about MND sufferers. Has the hon. Lady also thought about people suffering from multiple sclerosis, a condition that often deteriorates over time? Some of my constituents with MS who have been assessed physically and moved from disability living allowance to personal independence payments are receiving an increased amount of money because their condition has worsened over time. It varies from condition to condition and situation to situation, does it not?

[Debbie Abrahams]

It does indeed, but the fact is that 600,000 fewer people will be eligible for PIP than currently receive DLA; those are the statistics. However, I will come to that.

The UK currently has a disability employment gap of 30%. The Oldham fairness commission, which I chaired, found that the local disability employment gap is 34%. As the vast majority of disabled people—90%—used to work, that is a waste of their skills, experience and talent. Attitudes, perceptions and judgments can often get in the way of identifying someone’s talent or skills—

--- Later in debate ---

[Sir Roger Gale (North Thanet) (Con)]

I indicate to Members now, to allow them a little preparation, that I intend to impose a five-minute limit on Back Bench speeches. Six hon. Members from various parties have indicated a desire to speak: if you can manage it in less than five minutes, it will help others. That will leave about five minutes each for Opposition Front-Bench speeches and for the Minister.

[Debbie Abrahams]

I was discussing the experiences of disabled people, 90% of whom have worked. For people with disabilities, the experience of an interview can be particularly discouraging.

People with disabilities should be able to access the same opportunities as everyone else, including being able to use their talent and skills to the best of their ability. No one should feel that they are unable to reach their potential or that their hopes and dreams do not matter. The Government have cut the support for disabled people that allows them to live as normal a life as possible, but they have failed to provide meaningful support to help disabled people into work and enable them to thrive, thereby protecting them from leaving the labour market prematurely.

Having just one disability employment adviser for 600 disabled people is quite shocking and reveals the Government’s priorities. Similarly, there is chaos, and inadequacies, in the specialist employment support service Access to Work, which last year supported just 35,000 disabled people into work and at work. That just does not cut it. What happened to the money de-invested from Remploy, which was meant to be reinvested in Access to Work?

The extra costs commission analysed the additional costs faced by disabled people and found that on average they spend an extra £550 per month on costs associated with their disability. By contrast, in 2015-16 the average award of personal independence payment or disability living allowance was £360 per month. On top of this, as I mentioned earlier, Scope has estimated that 600,000 fewer disabled people will be eligible for support. Couple this with the £3.5 billion cut to social care and it all adds up.

It comes as no surprise that people with disabilities are twice as likely to live in persistent poverty as non-disabled people: 80% of disability-related poverty is caused by extra costs. This has implications for disabled people’s families as well, because a third of all families living in poverty include one disabled family member.

George has a mild learning disability. He has suffered with a bad back since an accident a few years ago and can no longer do the heavy lifting work that he used to do when he worked in a warehouse. George works 12.5 hours a week as a cleaner in a local college, but wants to work more to earn working tax credit. He said:

“Hopefully I might be able to find another job or increase the hours with the job I’ve got. Next year I might have a word with my supervisor but everyone is short of cash at the moment so I’ll have to wait and see!”

For now, he relies on employment support allowance to top up his wages. He lives a modest life. He attends a local self-advocacy group, where he receives additional support when he needs it, and meets up with friends and family when he can. He certainly does not have cash to spare. Without ESA he could not afford to get out and about and would risk becoming very isolated. He has been in financial difficulty in the past, and it was only because of the support he got from the self-advocacy group that he managed to keep his own home—he was under threat of being made homeless. George is lucky. Unfortunately, thousands of people do not have the benefit of the support that he has.

I am sure it has not escaped your attention, Sir Roger, that more than 336,000 people have signed a petition calling on the Government to publish data on the number of people on incapacity benefit and ESA who have died since November 2011. This petition was started followed a ruling by the Information Commissioner on 30 April compelling the Government to publish these data in 35 days, including the number of those who died following being found fit for work.

Last week there was an amazing sequence of events. On Monday, the Secretary of State told me that he could not publish these data because they were not kept, and told me to stop scaremongering; on Wednesday, the Prime Minister said that they would be published; and this was swiftly followed by the Government saying that they were appealing against the Information Commissioner’s ruling, stating that publishing these data would lead to “probable misinterpretations” and “was too emotive...and wasn’t in the public interest”. What an absolute shambles! I could not disagree more. This is definitely in the public interest. As a former public health academic, I am more than aware of the strict criteria for establishing causality, but there are no grounds for not publishing numbers of actual deaths as well as the Government-proposed standardised mortality ratios, including those who died within six weeks of being found fit for work. Will the Minister now confirm when these data will be published?

At the same time, following on from Select Committee on Work and Pensions inquiries into sanctions beyond Oakley, I should be grateful if the Minister confirmed when the Government will publish redacted information on the circumstances of the deaths of claimants who died while sanctioned, and what changes the DWP instigated in the light of reviews of these deaths. It is notable that, since the Government’s new sanctions regime, the rate of sanctioning of people on IB and ESA has doubled. Will the Minister also confirm whether the significant surge in suicide rates for both men and women since 2010—but particularly for working-age men—is being analysed by the DWP? I thank my former public health colleague Ben Barr for providing me with these data.

My final comments relate to next week’s Budget. There is much concern that the Government may once again target disabled people. Will the Minister pledge today that there will be no further erosion of support for disabled people, including taxation of universal disability benefit or restricting the Motability scheme, which enables over 56,000 to keep their job? He did not answer the questions I asked him during our previous exchange on the PIP process, so I should be grateful for a yes or no answer today.

Being disabled is not a lifestyle choice. I am proud of the principles underpinning our model of social welfare, where any one of us is afforded protection should we fall ill or become disabled, but it is at risk from this Government. I urge the Government not to take any further steps along their regressive path.

[Sir Roger Gale (in the Chair)]

The debate will end at 5.55 pm. I shall have to call the Front Benchers to speak not later than 5.40 pm.

--- Later in debate ---

[Justin Tomlinson]

I have only four minutes in which to respond, so that is what I have to do.

On the disability employment gap, in the past 12 months, an extra 238,000 people got into work, which is 650 a day, an increase of 2.4%, which is the biggest in the past decade. We are committed to halving the disability employment gap—it is about a further 1 million. That is a key priority.

Scope’s Extra Costs Commission report was fantastic. I have already met with Scope’s chief executive to look at different ways to support it—for example, this morning I was at the Inclusive Technology Prize competition. Clever people are coming up with ways to improve access in people’s everyday lives to the sorts of things—

[Debbie Abrahams]

Will the Minister give way?

[Justin Tomlinson]

Honestly, I would like to, but I cannot.

The amount of money spent on disabilities actually increased by £2 billion over the last Parliament, and DLA and PIP are uprated in line with inflation. Access to Work was also mentioned in the debate, and numbers increased to 35,500 last year, which is up 4,000. It is demand-led. We are always looking to promote that, which is where the Disability Confident campaign comes in, in particular by highlighting Access to Work to small businesses, which provide 45% of private sector jobs and are not always aware of things. I know from meeting the Federation of Small Businesses that that is felt to be important.

I hear the concerns about sanctions, which were expressed by more than one Member. They are a last resort and we are looking continually at how they are operating. Even the Oakley review stated that sanctions were

“a key element of the mutual obligation that underpins both the effectiveness and fairness of the social security system”,

and we accepted 17 of its recommendations to improve the process. I am happy to provide details on those 17 points.

[Debbie Abrahams]

rose—

[Justin Tomlinson]

I know that the hon. Lady wishes to come in, but time is tight.

On the point about George, universal credit will help, in that different disabilities can have different impacts from week to week. That would therefore allow somebody to maintain a certain income, and where they work extra, they have an income on that. We will be publishing them the mortality stats—I know the hon. Lady is keen to see them soon; we would all like to see them as soon as possible.

The hon. Member for Bridgend (Mrs Moon) kindly made her points in a debate two weeks ago and has agreed to meet with me on Thursday, with Parkinson’s UK and the Motor Neurone Disease Association. I am grateful for that. It will be an opportunity to discuss all the points made today. With regards to terminally ill people, we are processing things within six days and 99% are being awarded. I understand the points made about the DS1500 form. GPs are not comfortable doing it. We are talking to the Department of Health about that, so we can expand on that from the meeting.

My hon. Friend the Member for Enfield, Southgate (Mr Burrowes) again took a reasoned and proactive approach. A lot of stakeholders echo the words that were used—[Interruption.] The hon. Lady should not panic; I am coming to that.

I understand what the hon. Member for Torfaen (Nick Thomas-Symonds) was saying about the frustration, but I am afraid that this happens with every single Budget, whoever the Government are. There is always uncertainty before the Budget. I am no different to anyone else present—we are not the Chancellor. What I do know, however, is what underpins his reform. We will continue to support disabled and vulnerable people. We are providing a strong welfare net for those in need and we will always ensure that work pays. The hon. Gentleman is a strong voice and I would be keen to continue to work with him, in particular on issues arising from surgeries or personal experience.

My hon. Friend the Member for North Devon (Peter Heaton-Jones) and I have shared experience of employing people with mental health conditions. The Government have spent £42 million on a series of pilots that provide group work, telephone support and face-to-face individual support. In the Budget earlier this year, we put in for direct purchase of support, to bring it about much quicker. Through the Access to Work scheme, that can provide help for people within work, and there is a 92% success rate.