Baroness Laing of Elderslie
Main Page: Baroness Laing of Elderslie (Conservative - Life peer)Department Debates - View all Baroness Laing of Elderslie's debates with the Department for Work and Pensions
(11 years ago)
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Madam Deputy Speaker (Mrs Eleanor Laing)
It will be obvious to the House that a great many Members have indicated that they wish to speak in this debate. It will also be obvious that the time available is very limited. I will therefore have to impose an initial time limit of four minutes on Back-Bench speeches, but I must—[Interruption.] Order. I must warn hon. Members that if everybody takes four minutes, plus the time allowed for interventions, only about a third of those who wish to speak will be able to do so. One would hope that Members, out of consideration for others, might take less than four minutes where at all possible.
Robert Halfon (Harlow) (Con)
I am hugely grateful to the hon. Lady for giving way. Why did her Government refuse to allow jobcentres to give out food bank vouchers? It was this Government who changed that. May I also—[Interruption.]
Robert Halfon
May I also mention to the hon. Lady—[Interruption.] They do not want to hear the truth, Madam Deputy Speaker. Why is it—
Madam Deputy Speaker
Order. The hon. Gentleman should make a brief intervention, but it must be heard by the House. He may now make his intervention, but briefly.
Maria Eagle
No.
To suggest that people can just arrive at a food bank asking for free food shows how out of touch Ministers are with the way food banks work. [Interruption.]
Madam Deputy Speaker (Mrs Eleanor Laing)
Order. I cannot hear the shadow Minister, but she is speaking perfectly clearly. There is too much noise in the Chamber. Members should have the courtesy to listen to the hon. Lady moving the motion.
Andrew Selous
On a point of order, Madam Deputy Speaker. I believe that the hon. Lady may have inadvertently misled the House by saying benefit delay was rising when it is actually falling by 6%.
Madam Deputy Speaker
The hon. Gentleman knows that that is a matter for debate, and I have no doubt that he will be able to put that point later in the debate. The more time we spend on points of order and on me quietening people down, the less time there will be for Members to make the points they wish to make.
Maria Eagle
To suggest that people can just arrive at a food bank asking for free food shows just how out of touch Ministers are with the way food banks work. The Trussell Trust is very clear: over 50% of referral agents are statutory agencies, and referrers include doctors, social workers, school liaison officers and citizens advice bureaux advisers. These professionals make sure that people turning to food banks are in genuine crisis.
People are using food banks not out of choice, but out of necessity, yet Ministers still refuse to listen. The Education Secretary has claimed that people are turning to food banks because
“they are not best able to manage their finances.”—[Official Report, 9 September 2013; Vol. 567, c. 681.]
How insulting, patronising and out of touch is that comment.
There is a very straightforward way for Ministers to clear up any doubt about the reasons for the increase in reliance on food aid: they can finally publish the official report into the growth of food banks, which was delivered to the Department for Environment, Food and Rural Affairs in June. That report has now been sat on by Ministers for six months, longer than it took to produce. In April, the then Minister of State at DEFRA, the hon. Member for Somerton and Frome (Mr Heath), said:
“The conclusions of this work will be available in the summer and published on the Government's website.”—[Official Report, 23 April 2013; Vol. 561, c. 821W.]
Now Ministers say the report is still being subjected to
“an appropriate review and quality assurance process.”—[Official Report, House of Lords, 26 November 2013; Vol. 749, c. 1293.]
I bet it is. It is very clear that the Government are determined to hide the true scale of the growth of food banks. They are right to be embarrassed by the truth, but they should come clean, so I say to the Minister today that she should finally force her fellow Ministers in DEFRA to publish this report.
Even without the Government’s hidden report, the reasons for the rise in food bank use is clear: it is the cost of living crisis facing householders up and down the country; it is because even as we finally see some growth in parts of the economy after three years of failure, that growth is not being shared fairly. Last week’s Office for National Statistics figures were clear: average earnings have risen by less than the rate of inflation for the fifth year running. Figures published alongside the autumn statement showed that real wages will have fallen by 5.8% by the end of this Parliament. Under this Government, we have seen the longest period of falling real wage values since records began, and the consequence is that working people are £1,600 a year worse off under this Government.
Maria Eagle
No.
The number of those paid less than a living wage is up by 1.4 million since 2009, to 4.8 million workers in the UK last year—[Interruption.] No, I have been very clear that I am not giving way again in this debate. [Interruption.] As pay packets shrink in real terms, prices continue to rise, and they rise faster than wages. That has happened for 41 of the—[Interruption.]
Madam Deputy Speaker (Mrs Eleanor Laing)
Order. I do not understand why there are conversations going on all around the Chamber. [Interruption.] I can see where they are taking place. If Members are here to take part in the debate, they must listen to the hon. Lady who is proposing the motion.
Maria Eagle
Thank you, Madam Deputy Speaker.
As pay packets shrink in real terms, prices continue to rise, and they are rising faster than wages. They have done that for 41 of the 42 months that this Prime Minister has been in Downing street.
Esther McVey
I will continue a little, because the truth must be heard.
While Labour was in office, it gradually wore away the financial strength of this country, eroding its savings and savings culture, and then it crashed the economy. Gas bills doubled, council tax doubled and fuel duty went up 12 times. The only things that grew under Labour were debt and overspending. It left the UK with—[Interruption.]
Madam Deputy Speaker (Mrs Eleanor Laing)
Order. This is not a football match. Do not shout at the Minister. She will give way when she is ready.
Esther McVey
It is only fair that I set the scene before taking interventions.
Labour left the UK with the highest structural deficit of any major advanced country. It wiped £112 billion off the economy, leaving a debt of about £3,000 to every household. Personal debt reached a staggering £1.5 trillion. That whirl of living beyond our means—that increase in prices, debt and unaffordability—had to come to a stop. It came to a stop suddenly and, sadly, we are all paying the price. The Government are paying the price, charities are paying the price, businesses are paying the price and individuals are paying the price as we try to balance not only our household budgets, but the budget of the country. [Interruption.]
Madam Deputy Speaker
Order. There is no point in having a debate if nobody listens to the person who is speaking. Be quiet.
Esther McVey
As I have said, I will take interventions when I have set out what has happened.
Let us be honest. The Trussell Trust saw what was happening in 2000. It looked at the evolving problem that was caused by personal debt, overspending and people living beyond their means. It set up the first food bank in that year and the food bank network in 2004. The number of food banks had grown tenfold by 2010. Most startlingly, when those food banks started, Labour did not want to know why. When they grew tenfold, Labour did not want to know why.
When the Labour councillor who had set up the Trussell Trust came for support and said, “Allow me to signpost food banks in Jobcentre Plus”, Labour said no. Labour wanted it to be its little secret because, beneath the veneer of what seemed like a sound economy, it was crumbling. It knew what was going to happen. Sadly and shamefully, there has been no investigation by the Opposition. They do not want to know what went on. It took my hon. Friend the Member for Harlow (Robert Halfon) speaking to the Secretary of State for Work and Pensions to get the food banks signposted.
Esther McVey
We have hardship payments and support payments. We have put in a new element of reconsideration to make the process quicker. The speed of the transaction for getting benefits has increased by six percentage points.
Let us not get away from how this started under Labour. What each and every one of us does is important. I have heard nothing from Opposition Members about the news that, because of our welfare-to-work programme, 30 million people are in jobs today. We know that under Labour, the number of households with nobody working doubled—[Interruption.]
Madam Deputy Speaker (Mrs Eleanor Laing)
Order. There are too many people standing up. The Minister is not taking interventions at this point. Allow her to make her speech.
Esther McVey
In Labour’s last term in office, the claimant count went up by 82%.
Esther McVey
I do indeed. If one thing came out of the disastrous years that made our country more vulnerable because of the disastrous finances of the Labour Government it was the fact that not only are this Government doing more to get people into work—I will say it again, although I heard no positive sounds from the Labour Benches before: there are 30 million people in work—and that businesses have helped to support people and have taken them on, but that the community has come together to support one another. That must be a positive move. [Hon. Members: “ Give way!”] No, I will make a little more progress.
Let us go back to the report that Labour obviously did not want, so as to keep it as its little secret. Labour Members did not want to look into why the Trussell Trust was set up and has grown exponentially, but we did. We looked into the matter, and it is right that we give an accurate report. It was the Labour party that brought us the dodgy dossier and never wanted verification of the facts—why let the facts get in the way of a tale of fiction? It is only correct that we get our facts right and deliver this report at the right time, as we are doing. As we have said, it is positive; people are reaching out to support others in church groups, community groups, local supermarkets and other groups. That is a fact—[Interruption.]
Esther McVey
In the UK, it is right to say that more people are visiting food banks, as we would expect. [Hon. Members: “ Give way!”] No. Times are tough and we all have to pay back the £1.5 trillion of personal debt, which spiralled under Labour. We are all trying to live within our means, change the gear, and ensure we are paying back all the debt that we saw under Labour.
It is important to look at what is happening around the world. The UK has a population of 63 million and 60,000 people are visiting food banks according to the Trussell Trust. In Germany, however, with a population of 82 million, there are 1.5 million users of food banks. Canada has population of 35 million, and there are 830,000 monthly users of the Trussell Trust. [Interruption.] We must put everything in context and look at what happened, whether that is the overspending and not being able to balance the books from 2002, or the financial crash of 2007. [Interruption.] We must look at how much we have done to balance and rebalance the economy, and get it on a stable footing.
Madam Deputy Speaker
Order. [Interruption.] Order. The House should pause for a moment, calm down and listen to the Minister. Everyone will have a turn to make their point in due course. [Interruption.] Order. I call the Minister.
Esther McVey
It is startling that the shadow Minister took only three interventions. We all listened then, so it would be appropriate to listen to the facts now. That is where we go wrong. We do not listen to what is going on.
The coalition Government were brought in to solve the mess that Labour got us in. Nothing more clearly shows what we have done to support people than what we have done on jobs. The best way to help people to get out of poverty is to get people into work. Children are three times more likely to be in poverty if they are in a workless household. Labour is the party that gave us workless households.
I will say this again because the Opposition still have not acknowledged it. Thirty million people are in jobs today. That means that a further 1.25 million people are in jobs since the general election. The Opposition told us—[Interruption.]
Madam Deputy Speaker
Order. If hon. Members do not keep quiet and listen to the Minister, she will have to repeat her speech over and over again—[Interruption.] Order. If the House keeps interrupting me, I will call order again and again, and very few hon. Members will have the chance to make the speeches they have prepared. Let us have silence. I call the Minister.
Esther McVey
We have 1.25 million more people in jobs than we had at the election. We know that the best way out of poverty is to be in a job. The Opposition said that 1 million more people would be out of work. They were wrong. They said there would be a double-dip and treble-dip recession. They were wrong. They are also wrong on food banks.
That is why we must compare Labour’s legacy of a debt-fuelled boom with what this Government have done. What are this Government doing and how have we supported people? Under Labour, 5 million were on out-of-work benefits, the number of households where nobody worked doubled, and 2 million children lived in workless households. That is what we do not want—[Interruption]—but it is Opposition Members who say, “Shame.”
How are the Government helping families? We want to ensure that work always pays. That is why we have brought in universal credit—to ensure that 3 million people are better off. That is what the Government are doing.
Let us be honest. One thing the Opposition do not understand is that disposable income is different from income. What have we done to support people with disposable income?
Esther McVey
The Opposition spokeswoman gave way three times. We will finish what we are saying. I appreciate that Back Benchers will have only four minutes, but, should there be time, I will give way.
What have the Government done? We have taken 2.7 million people out of tax. We have cut tax for 25 million people, giving them, on average, £700 extra a year. We have stopped Labour’s fuel and petrol price increases, saving families £300 and someone in a business with a van £1,000. All of that is key. The winter fuel allowance and cold weather payments have stayed, and we have given tax breaks to young people who are going to be in a job. That is what we have done to support people. When we talk about what happened under what Government, what happened when and how the Trussell Trust started, and when we talk about the removal of the spare room subsidy—[Interruption.]
Madam Deputy Speaker
Order. Members must not shout at the Minister. It is clear that she does not intend to give way, and she is not going to give way if you shout at her. Please be quiet, allow the Minister to finish her speech and then everyone will have a chance to make their contribution.
Esther McVey
The Trussell Trust started under Labour—it hid that away—and the removal of the spare room subsidy in the private sector started under the Labour Government in 2008. Rewriting history does not work. The British public want to know the truth: those on the Labour Benches ruined the economy and we are getting it back on track.
Sheila Gilmore (Edinburgh East) (Lab)
I am very grateful to the Minister. On the one hand, she has spent a long time telling us that there are now many more people in work, although the rate of employment has still not returned to pre-recession levels. But if —[Interruption.]
Sheila Gilmore
If everything is going so well, why since 2010 has there been such a substantial increase in the number of people using food banks? The only explanation can be the Government’s changes to welfare policy.
Esther McVey
The Opposition like to forget all about that. The industry I know most about is probably the construction industry, which was brought to its knees in 2007 under the guidance of those on the Opposition Benches. Many industries had a tough time pre-2010. That is when it all happened. Equally, the Opposition are so bad with numbers they do not understand that there needs to be a change of gear to rebalance an economy and change things to get back on track. It does not happen overnight; it happens over a long period of time. Something to ponder on for a second is that it was the shadow Secretary of State, the hon. Member for Leeds West (Rachel Reeves), who said that the Opposition want to be tougher on benefits and do more than we are doing. I wonder how Opposition Members feel about that and whether they believe that use of the Trussell Trust would be higher or lower were that to happen.
I will come to a close now. [Interruption.] Sadly, there is chanting from the Opposition. I find how the Opposition left this country—in a vulnerable position—a really sad moment. [Interruption.]
Madam Deputy Speaker
Order. Hon. Members will allow the Minister to conclude her speech.
Esther McVey
For the people of the UK, I find that deeply saddening. For me, it is not something to be chanting and cheering about. The Opposition need to reflect—for about the next 20 years—on what they did to UK plc, while we get it right. For those reasons, and many, many more—mainly its inaccuracy—I reject the Opposition day motion. Instead, I welcome the promising signs that we are delivering for jobs and growth: the fastest growth in the G7 this quarter, more people in work, more businesses going, more exports, more work for everybody. That is why we object to the motion and welcome what we are doing on this side of the House.
Mr Tom Clarke (Coatbridge, Chryston and Bellshill) (Lab)
On a point of order, Madam Deputy Speaker. Given the huge interest in this debate, not least among our constituents, is it within your power to extend the time for the debate?
Madam Deputy Speaker
I fully appreciate the right hon. Gentleman’s point. Another way to phrase it would be: if Members had behaved with decorum during the Front-Bench speeches, would there be more time for Back Benchers? He is right that there is a lot of interest in the debate, but sadly it is not within my power to extend the time available. I am glad he made his point of order, however, because it gives me the opportunity to ask hon. Members to be courteous to other hon. Members and keep their speeches as brief as possible.