Oral Answers to Questions Debate
Full Debate: Read Full DebateGuy Opperman
Main Page: Guy Opperman (Conservative - Hexham)Department Debates - View all Guy Opperman's debates with the Department for Work and Pensions
(3 years, 2 months ago)
Commons ChamberThank you, Mr Speaker—diolch. There are now 200,000 fewer pensioners in poverty compared with 2010. Rates of material deprivation among pensioners are at a record low, falling from 10% to 6% in the last 10 years. Pension credit also provides financial support for the most vulnerable pensioners and a passport to many other benefits.
Diolch yn fawr iawn, Mr Speaker. Older women in particular find themselves in relative poverty because 30% completely rely on the state pension for their income. That makes the recent findings by the Parliamentary and Health Service Ombudsman about maladministration by the Department and its failure to inform 1950s-born women about changes to their state pension allowance particularly galling. What is the Department’s response to the findings of the ombudsman and, more importantly, what will be done to rectify the situation that WASPI women in my constituency find themselves in?
The hon. Gentleman will be aware that we have never spent as much as we do now on pensions. The triple lock has seen a £2,050-a-year increase in cash terms. The Government decided the changes 26 years ago, and that policy was continued by successive Governments, including during the 13 years of the Labour Government. In respect of all matters on an ongoing basis, we consider the PHSO, but clearly, it is a three-stage process and we are only at stage 1.
People across this country work hard and contribute all their lives; they are right to expect the state pension to be there for them when they retire. Given that the Government have failed to pay the state pension on time and have broken three manifesto promises so far, Ministers can surely accept that pensioners and the public cannot simply take them at their word. Ahead of our consideration of the Social Security (Up-rating of Benefits) Bill next Monday, will the Government publish their evidence for breaking the link with earnings in this way?
I am not sure that I am going to take any lessons from the hon. Gentleman. Before 2010, when the coalition came into power, the state pension was under £100. The new state pension is now £179. We have raised it by £2,000 in the last 10 years. We have enhanced the state pension massively through the triple lock. We did not even need to do anything last year, but we raised the state pension by 2.5%, and we will be increasing it by the double lock if the Bill passes next week.
My hon. Friend is a doughty champion for Crawley. It is fantastic news that 35,000 people have been automatically enrolled into a workplace pension in the Crawley constituency as a whole. That is also thanks to the 1,600 employers who have supported them in their auto-enrolment duties.
Those are very impressive statistics that prove that this Government’s policy of auto-enrolment has been a great success. Will the Minister join me in paying tribute to auto-enrolment pension providers such as B&CE—The People’s Pension—which is based in my Crawley constituency?
I was delighted to meet The People’s Pension with my hon. Friend a couple of years ago and see the fantastic work that it does. It has more than 5 million members and is one of the largest providers in this important market. I am sure that we will continue to work with it as we expand automatic enrolment, take it to the first £1 earned and lower the entitlement age as we bring forward the 2017 automatic enrolment changes.
Many pensioners will be relying on pension credit to get by after the Tories’ brutal triple lock betrayal. Will the Secretary of State follow Scotland’s lead and commit herself to introducing a proper take-up strategy for reserved benefits, including pension credit, and will she consider the automation of payments to ensure that more people receive the support to which they are entitled?
The hon. Gentleman will be aware that pension credit take-up has improved, not least through the actions of this Government. For example, we have seen the pension credit action day in June this year, the partnership that we have entered into with the BBC and Age UK, and the working group that we have. I continue to work with the BBC and I met the chief executive, Tim Davie, only last week.
Could the Secretary of State—or the Minister for Pensions, who is doing such great work in this area—explain what they are doing to ensure that when pensions are invested, the environmental, social and governance agenda is about incentivising high-quality sustainable products across the world, for instance in Africa, and not just becoming a box-ticking exercise here at home?
I will take my right hon. Friend’s compliment. The UK is the first country in the world to address the social elements of ESG. We have produced a call for evidence, “Consideration of social risks and opportunities by occupational pension schemes”, and I would encourage everyone to get involved with that. That will genuinely transform the supply chain, access to finance and investment in all parts of the world, but particularly in respect of Africa.