Oral Answers to Questions

Guy Opperman Excerpts

Monday 9th October 2017 Commons Chamber

[The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)]

The Secretary of State has regular discussions with the Chancellor on a range of issues. The Department has had specific discussions with both the Treasury and the Financial Conduct Authority on the FCA’s proposed remedies in this area, and our plans to ensure that details of these costs and charges are published and given to pension scheme members.

[Kelvin Hopkins]

Is not the reality that for millions of ordinary people the only way to guarantee a sufficient income in retirement is a good state pension together with a state earnings-related pension scheme for all, with defined contributions and defined benefits?

[Guy Opperman]

I am grateful to the hon. Gentleman for his question. He will be aware that auto-enrolment has reversed the decline in work-based pension saving, with 8.5 million people signed up and further progress to be made. The reality is that, by reason of the coalition and this Government, we have a new state pension that is worth £1,250 more than in 2010.

[David Hanson (Delyn) (Lab)]

3. What recent discussions he has had with the Chancellor of the Exchequer on improving pension transition arrangements for women born in the 1950s.

[Patricia Gibson (North Ayrshire and Arran) (SNP)]

14. What recent discussions he has had with the Chancellor of the Exchequer on improving pension transition arrangements for women born in the 1950s.

[The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)]

The Secretary of State has regular discussions with the Chancellor, but the Government will not be revisiting the state pension age arrangements for women born in the 1950s that are affected by the Pensions Acts of 1995, 2007 and 2011.

[David Hanson]

My hon. Friend the Member for Swansea East (Carolyn Harris) and I, Members of the Minister’s own party, and all Opposition parties in this House, including the Democratic Unionist party, have introduced a Bill, to be debated on 27 April, to provide for transitional arrangements to be put in place. Will the Minister support the Bill? If not, will he tell the House why not?

[Guy Opperman]

I can only repeat the answer I just gave: the Government do not intend to revisit the state pension age arrangements for women born in the 1950s who are affected by the Pensions Acts of 1995, 2007 and 2011. The cost would be in excess of £70 billion.

[Patricia Gibson]

The Minister will be aware that, following the Brexit vote, bond yields dropped by 30%, increasing the public sector pensions bill by a hefty 30% to £1.8 trillion over the last year. Is this latest example of Government ineptitude the real reason WASPI women are being ignored, penalised and denied their pensions?

[Guy Opperman]

I am grateful to the hon. Lady for her question, but if her Government in Scotland disagree with any aspect of the UK Government’s welfare reforms, they have the powers to do something about it. I refer her to the letter of 22 June from Jeane Freeman, my opposite number, which specifically discusses the uses of Scotland Act powers to address individual cases.

[Wendy Morton (Aldridge-Brownhills) (Con)]

Will the Minister clarify whether, if the law on the state pension age were changed to favour women over men, it would be discriminatory or illegal?

[Guy Opperman]

The reasons for the original changes were the changes in life expectancy and equality law. If the law proposed by Labour were to approach men and women differently, it would—with respect—be highly dubious as a matter of law.

[Julian Knight (Solihull) (Con)]

Will the Minister further clarify that point? Labour says that the previous pension age could come back and that we could return to a situation where men are discriminated against. Does he agree that such discrimination might be profoundly against the law?

[Guy Opperman]

Those who seek to make the case for such a law would need to satisfy themselves that men would not bring a case against the proposers, because it would unquestionably create a new inequality between men and women.

[Alex Cunningham (Stockton North) (Lab)]

The ombudsman’s first rulings on whether the Government are guilty of maladministration for failing to give 50s-born women sufficient notice of their earlier retirement age are due soon. Maladministration or not—it will take years to resolve that matter—can I ask the new Minister to take this back, think again, tell us what he is prepared to do, and what research he is prepared to do, to alleviate their misery, and perhaps even consider our proposals on pension credit and allowing them to retire up to two years earlier?

[Guy Opperman]

The Government strongly believe that there has been no maladministration by the Department for Work and Pensions, including during the 13 years when Labour was in charge of the Department.

[Andrew Bridgen (North West Leicestershire) (Con)]

Is the new state pension not in fact removing injustices that have persisted for far too long, and are not the main beneficiaries women and low earners?

[Guy Opperman]

My hon. Friend is correct. The new state pension is much more generous for the many women who were historically worse off under the old system. More than 3 million women stand to gain an average of £550 extra per year by 2030 as a result of these changes.

[Kate Green (Stretford and Urmston) (Lab)]

4. What progress has been made on increasing the employment rate for disabled people.