DWP Policies and Low-income Households

Debate between Drew Hendry and Craig Williams

Tuesday 17th January 2017 Commons Chamber

[Drew Hendry]

I absolutely agree, and there is more to come.

It is not just the homeless who are affected, but families in private rented accommodation who have been waiting for three months for universal credit claims. There is no fairness there. The only simplicity is that it is simply nuts. Highland Council is left carrying the debt of the money that Gavin and others simply do not have. It has already accrued an additional debt of more than £180,000 as a direct result of universal credit. According to a report by Glasgow Council, a total of 73 homeless people in Glasgow are now on the benefit, and have racked up £144,000 in arrears between them.

The National Federation of ALMOs—arm’s length management organisations—and the Association of Retained Council Housing, which together represent more than 1 million council homes in England, found that the percentage of council home tenants in receipt of universal credit who are in rent arrears has increased by seven percentage points—it was up to 86% in March last year. That compares with 39% of tenants in arrears who do not receive universal credit. The average arrears total has also increased, from £321 to £616.

The SNP Scottish Government have consistently done everything they can to mitigate the worst impacts of Tory welfare cuts, and new devolved powers over social security and employment support will include disability benefits, carer’s allowance and the winter fuel allowance. With these limited new powers, we will seek to build a Scottish social security system with dignity and respect at its heart—

[Craig Williams (Cardiff North) (Con)]

Will the hon. Gentleman give way?

[Drew Hendry]

I am going to finish up.

It is wrong that the Scottish Government and the council should foot the bill for UK Government cuts. It is also true that the proposal to cut 50% of jobcentres in Glasgow—a subject I know my colleagues will speak on shortly—is a bad idea. Let us not forget that these proposals come on the back of last year’s announcement of the closure of 137 HMRC offices across the UK, with potentially thousands of job losses in Scotland.

There is a damning litany of failure, confusion, heartache and indignity and a crushing drive towards increased poverty in the universal credit system. Long delays to payments, short payments, lost sick notes, misplaced documents, failure to respond, confusion between departments, crushed morale for the poor Jobcentre Plus staff and an inability to respond to common sense are rife in universal credit. It is time to halt this tragic experiment—the bad IDS idea—and think about how we provide for those who need our help, rather than those few who stand to profit from austerity.