Social Security (Additional Payments) (No. 2) Bill

Debate between Debbie Abrahams and Angela Richardson

2nd reading
Tuesday 21st February 2023 Commons Chamber

[Angela Richardson (Guildford) (Con)]

I rise to speak in support of this legislation. I warmly welcome the extra cost of living measures that it provides, which will benefit my constituents in Guildford and Cranleigh and in our villages. Colleagues across the House have mentioned the context in which we are debating these necessary measures, which is that we are facing tough economic headwinds because of global energy and food supply shocks resulting from the appalling Russian invasion of Ukraine. The Chancellor was right to take tough but necessary decisions in the autumn statement and subsequently, in order to put our public finances on a sustainable path while ensuring that those in need are supported. An inflation rate not seen since the early 1980s, fuelled by the rise in energy and food prices, has had a disproportionate impact on lower income households across the country, and I know that the Chancellor will do all he can to ensure that they are supported through this challenging period until inflation is back at a sustainable level. This Government understand the current pressure and are taking unprecedented steps to protect households from the rising cost of living, spending almost £70 billion to help households through to 2024.

Although my Guildford constituency is thought of as an affluent area, I know from my surgeries, from my inbox and from speaking to residents on the doorstep that there are many who, over the past few months, have faced rising bills with great anxiety. However, they are always incredibly grateful for the important financial help provided by this Government.

As this Government and Prime Minister work diligently to halve inflation by the end of this year and to ease the pressure of price rises on families, we must support those facing challenges in the here and now, but we also know that economic growth is what gives people financial security. The Prime Minister is right to make growth one of his five key priorities.

This Bill will support more than 8 million families across the country, including almost 7,000 families in Guildford, with at least £900-worth of cost of living payments split into three instalments. These payments, the first of which will be received at the end of April, followed by payments in October 2023 and February 2024, will go to households on means-tested benefits.

[Debbie Abrahams]

Will the hon. Lady comment on the adequacy of social security, including the additional payments in this Bill, given that 4.2 million people in work, many of whom receive support, are still in poverty?

[Angela Richardson]

The hon. Lady is right to ask that question, but across these many measures, the Government are having to work within quite constrained parameters. I know that the Chancellor and the Secretary of State for Work and Pensions will be looking at it as we head into the next fiscal event. It is right that we are providing this extensive support, but we also have the equal challenge of making sure we get inflation down so that people are able to use their funds more effectively, rather than being hit by the very high food and energy prices we have discussed.

In addition to the 8 million families supported with further payments, more than 6.5 million people in receipt of disability payments, including 6,300 in Guildford, will receive £150 to help tackle the rising cost of equipment. I urge struggling households and families in my constituency to check the Government’s website to see what support they are able to access. My office is always on hand to guide constituents towards the appropriate support channels.

This Bill is part of the Government’s wider package of measures to ease the cost of living, which will be worth £26 billion in 2023-24. I welcome the fact that pensioners who are entitled to the winter fuel payment will receive an extra £300 this winter, providing certainty to many households through to spring 2024. I urge all pensioners to check their eligibility for pension credit so that they can unlock these cost of living payments.

I also welcome the announcement of an extension to the household support fund, including more than £10 million of extra funding for Surrey, which will help local authorities to support the most vulnerable households. In the period from October 2022 to March 2023, Surrey County Council used its allocated funding from the household support fund to enable the continued provision of food vouchers during the October, December and February school holidays; to provide energy support to care leavers; to place additional funding into the Surrey crisis fund; to give money to food banks and community fridges; to provide payments to families with disabled children; and to give funds to charities that work with vulnerable and less well served communities. The remaining funds will be distributed by borough councils to households identified as financially struggling.

It is important to think back to covid and this past winter, to understand that it was right that the Government gave money directly to councils that know which are their most vulnerable families and can get support directly to them.

In recent months, the Government have: put in place the largest cash increase in the national living wage, to £10.42 an hour, benefiting 2 million workers; announced the uprating of benefits, with the state pension and the benefit cap increasing by 10.1% from April; and delivered the energy price guarantee, protecting households from sky-high energy bills caused by Putin’s barbaric war in Ukraine, which represents one of the largest support packages in Europe.

The cost of living payments being introduced today will go some way in easing the rising costs facing families and those on disability benefits, but, in the longer term, we must combat the challenge of inflation. This Government’s plan to halve inflation by the end of 2023 will benefit everyone across the country, including my constituents in Guildford, Cranleigh and our villages. I am confident that this Government will continue to support those who are in need, and I welcome the steps that are being taken here today.