Pension Schemes Bill

Debate between Helen Whately and Andrew Western

Consideration of Lords message
Monday 27th April 2026 Commons Chamber

[Andrew Western]

I am sorry to disappoint the hon. Gentleman, but that is not going to happen. We have to deal with the collective action problem that we are facing, to ensure that providers can move forward with the commitments that they have made. The power gives them assurance, but we hope that we will never need to use the power. The fact of the matter is that the industry requires that certainty; without it, it will not be able to move forward, given the collective action problem that exists. That point has been accepted by the shadow Secretary of State.

[Helen Whately]

The hon. Gentleman is quoting selectively from a letter that I have written to the industry. We had this exact debate with the Pensions Minister last week. There is an acknowledged and debated collective action problem; on that, there is a level of consensus, but there is no consensus that mandation is the right answer. In fact, there is a consensus in the sector that mandation is the wrong answer. This Bill contains measures that will make a difference, and will go towards fixing this collective action problem, such as the value for money framework. The Mansion House accord was only signed last year, and the Government should give it time to work. We do not need mandation in this Bill.

[Andrew Western]

On the consensus in the industry, I say to the hon. Lady that it wants this Bill done and taken through this House. Tonight’s amendments make the savers’ interest test easier to pass, create a lower threshold for an exemption, and give certainty that the exemption will be granted where the threshold is met, with due regard being paid to the scheme’s assessment. Reasons for any refusal will be set out.

The House has now considered this Bill three times. On each occasion, it has endorsed the Government’s position. We have listened to the concerns raised in the other place, and we have responded with numerous material changes to the primary legislation across three rounds. The power is capped, neutral across asset classes, restricted to a single use, completely sunsetted in 2035 and subject to a savers’ interest test that tonight’s amendments have materially strengthened.

The TUC has said that it is “vital” that this Bill passes. Age UK has said that the measures in this Bill

“will help both today’s and tomorrow’s pensioners”.

The industry wants to get on with implementing these reforms. The Association of British Insurers and its members have said the same. They have welcomed the safeguards that the Government have put in place on the reserve power. It is time to get this Bill passed, and I commend the Government’s position to the House.

Question put.

Work and Pensions

Debate between Helen Whately and Andrew Western

Wednesday 25th March 2026 Written Corrections

[Helen Whately (Faversham and Mid Kent) (Con)]

The working-age benefits bill is set to reach £171 billion by the end of this Parliament, yet the Government are doing nothing to get it under control. In fact, by scrapping the two-child cap, they have added another £3 billion. It is time to stop spending and get saving. The Conservatives would stop benefits for foreign nationals and save £7 billion a year. Britain cannot be a cash machine for the world. With war in Ukraine and now in the middle east, we must boost our national security, so why are the Government continuing to bankroll benefits for migrants rather than investing in defence?

[Andrew Western]

The hon. Lady will be aware that the Conservatives created this system. On her specific question about what we are doing to restrict access to the benefits system by foreign nationals, she will also be aware that the Home Secretary has brought forward proposals to extend the period before somebody can achieve settlement from five to 10 years, and there is a consultation under way to move that point from the point of settlement to the point of citizenship.

[Official Report, 9 March 2026; Vol. 782, c. 6.]

Written correction submitted by the Under-Secretary of State for Work and Pensions, the hon. Member for Stretford and Urmston (Andrew Western):

Oral Answers to Questions

Debate between Helen Whately and Andrew Western

Monday 9th March 2026 Commons Chamber

[Helen Whately (Faversham and Mid Kent) (Con)]

The working-age benefits bill is set to reach £171 billion by the end of this Parliament, yet the Government are doing nothing to get it under control. In fact, by scrapping the two-child cap, they have added another £3 billion. It is time to stop spending and get saving. The Conservatives would stop benefits for foreign nationals and save £7 billion a year. Britain cannot be a cash machine for the world. With war in Ukraine and now in the middle east, we must boost our national security, so why are the Government continuing to bankroll benefits for migrants rather than investing in defence?

[Andrew Western]

The hon. Lady will be aware that the Conservatives created this system. On her specific question about what we are doing to restrict access to the benefits system by foreign nationals, she will also be aware that the Home Secretary has brought forward proposals to extend the period before somebody can achieve settlement from five to 10 years, and there is a consultation under way to move that point from the point of settlement to the point of citizenship. However, if it is the Conservatives’ position to suggest that somebody who has worked here for decades, contributed to the system and made a positive contribution to this country should have absolutely no access to support, we have a fundamentally different point of view.