(2 years, 10 months ago)
Commons ChamberThe hon. Lady will recognise that this is an operational matter, but she is incorrect; I am conscious that she may have been given that information separately. Last week the permanent secretary outlined the start of the process potentially for people on fixed-term contracts. We need to make sure we have the work coaches in the right parts of the country where they are most needed for both current claimants and anticipated future demand.
We are working with the National Autistic Society to test ways to make jobcentres more inclusive of people with autism; this test will inform changes to the wider jobcentre network. We encourage employers to consider autistic people for roles and can offer support where needed to Access to Work.
I thank the Minister for that response and the work she is doing. The Office for National Statistics highlighted back in November last year that, tragically, only 25% of autistic adults are in any form of meaningful employment despite record job vacancies. I am encouraged by the Minister’s additional steps, but what can we do to get the regional adjustments in place so employers really take this seriously?
There is a lot that we can do together and this is an effort for the Government, for employers and for others such as the National Autistic Society and the all-party group on autism, to which my hon. Friend gives a lot of time. He asks what we are doing: we are engaging with employers through the disability confident scheme; we are supporting jobseekers, workers and employers through Access to Work; and, as I have said, we are making our jobcentres and youth hubs inclusive in the way they ought to be.
(3 years, 10 months ago)
Commons ChamberI am pleased to be able to contribute to this debate. I am proud of the Government’s response to the pandemic, supporting individuals and businesses by pumping in £280 billion of help, which the IMF and other global authorities have hailed as real and sound support for businesses and households. I was therefore disappointed to hear the Opposition spokesperson describe the £20 increase in universal credit, which has been an absolute godsend to so many during the pandemic, as turning into a cut. That is not the case, and it is important that everybody outside this place understands that.
The measures we have put in place are temporary, to support individuals and the country at large during the pandemic. Once the pandemic comes to an end and we return to some normality, of course the Government will not be subsidising 80% of employee wages, and of course the Government will not be paying businesses not to open. In the same way, we will go back to the same welfare support we have always offered; we have always made sure that those who deserve it get what they need to be supported.
If the Labour party is going to continue this extended increase in universal credit, will the hon. Member for Stalybridge and Hyde (Jonathan Reynolds) tell us how it will be paid for? Will it be a 1% increase in income tax on everybody else who works? Will it be the axing of the £2 billion kickstart scheme, which will pay a six-month salary for those between the ages of 16 and 24, to give young people a chance to get into the workplace? Will it be the end of the £3 billion restart programme, which will provide support for 1 million unemployed people to find work? Will it be the undoing of the doubling of the number of work coaches in our jobcentres to 27,000, which would cost £1 billion? That is three items that the Opposition could axe to fund the £6 billion, or will it just be chucked on top of the national debt, which was already in difficulty but has now got out of control as a result of the pandemic? This would end up being paid for by young people, who have already suffered during the pandemic. To chuck more debt on to those young people is completely unfair and unjust.
The hon. Member for Stalybridge and Hyde made a personal plea to new Conservative MPs from previously Labour-held seats. I have one too: please stand firm behind the Chancellor. Since 2010, there are 200,000 fewer people in absolute poverty, with 1,000 new jobs created a day and 1.2 million fewer workless households. If we turn every single temporary extension of help into a permanent one, we will not get the Treasury delivering the temporary measures that we badly need. I support the Government, I support universal credit, and I very much hope that the Opposition back down.
(4 years, 5 months ago)
Commons ChamberFor a start, the hon. Gentleman knows that that is well above my pay grade, but I gently remind him that universal credit will be over £2 billion a year more generous when fully rolled out compared with the legacy benefits system that it replaces. He also fails to recognise the £6.5 billion to £7 billion that this Government have put in place to support people through covid-19. As the Chancellor has said, we will do “whatever it takes”, and this Government are doing that: we are supporting people and this Department is getting that support to those who need it quickly.
I am already actively working with a number of my Cabinet colleagues, particularly the Chancellor and the Secretaries of State for Education, for Business, Energy and Industrial Strategy, for Digital, Culture, Media and Sport, for Transport, and for Housing, Communities and Local Government—and of course the Prime Minister. This is a joined-up Government that is working hard to help people, in these challenging times, to get back into work as soon as possible.
Many of us are concerned about jobs in the aviation sector, particularly British Airways, which is not only making up to 12,500 redundancies but firing and rehiring virtually the remainder of the workforce, despite its group putting €1 billion into a new airline and BA staff putting 66% of profits into that group. What can the Government do to ensure that our employers do the right thing by the workforce who have previously delivered those profits?
As my right hon. Friend the Prime Minister has previously said to my hon. Friend, we are concerned about the way that some companies are treating their workforce and we are actively looking into the issue. The furlough scheme has been a huge success in keeping over 9 million employees connected to their jobs, but companies should not be using it cynically to keep people on their books just to then get rid of them. The whole point of the furlough scheme is to help people to get back into their jobs and the country back on its feet.
(4 years, 7 months ago)
Commons ChamberAs I have already said to the House, there may be claimants who could benefit from a nine-month grace period, where their universal credit will not be capped if they have a sustained work record. On other raises that have happened in terms of housing, changes have been made that should help people, particularly in central and outer London. However, in general, the principle is not to remove the benefit cap.
We rightly hail all our health workers for the amazing job they are doing, but it is good that we are hearing praise for DWP staff this afternoon. Down in Bexhill and Hastings, they have been absolutely amazing, as they have been across the country. When I asked my office what cases we had outstanding, the answer was zero. When I asked how the performance level rated, I was told, “Better than ever.” On that basis, will the Secretary of State look at whether we are using more discretion now that could also be used in future? Obviously, we have to keep a cost-control mindset and commonality of decision making, but it seems there are positive lessons that can be learned, and I thank my right hon. Friend and her team for everything they have done.
It is kind of my hon. Friend to thank DWP. I think it deserves, universally, credit. We are trying to learn from the streamlining we have done on the potential for permanent future changes, so that we see the enhanced processing we have successfully undertaken over the last few weeks.
(5 years, 1 month ago)
Commons ChamberThis Government are committed to providing targeted support for all our young people, to give them the best chance of getting into work. That includes the youth obligation support programme, Jobcentre Plus support for schools, and the recently introduced mentoring circles.
Ah yes, I shall be having a cup of tea or coffee with the mum of the hon. Member for Bexhill and Battle (Huw Merriman) this week, so doubtless we shall compare notes on his inquiry. Huw Merriman.
Thank you, Mr Speaker. Speaking of young people, they will welcome the decision to grant the living wage to people aged 21 to 25 at £10.50 an hour, but are the Government satisfied that there will not be any impact on young people and their job opportunities as a result of their being paid the same rate as those who have more experience in the workplace?
I welcome the Chancellor’s announcement to bring more people, including younger people, into the scope of the national living wage over the next five years. Employers will continue to select the best person for the job, based on multiple factors. Like me, they will take confidence from the fact that young people will have a chance to take advantage of the support offered to make sure that they are ready to meet those challenges and be the best person for the job. So local labour markets will still be strong.
(5 years, 5 months ago)
Commons ChamberI congratulate my hon. Friend the Member for Wirral South (Alison McGovern) on her absolutely excellent speech. She set out what social security should be about. It is about the type of society that we want. The key thrust of her message was to ask whether it is acceptable that so many children are living in poverty—one in four currently grow up in poverty, and one in five are in persistent poverty—when we are the fifth richest country in the world. Is this the sort of society we want them to grow up in, when, despite being the fifth richest country in the world, we also have the highest child mortality in western Europe?
We know the causal relationship between poverty and early childhood death. Is this acceptable? To my mind, it is not, and I am sure that many people across the Chamber agree with me. That is why I asked the hon. Member for Copeland (Trudy Harrison) for her evidence. We have to look at the evidence. There will also be issues with addiction, but are we seriously saying that all poverty issues relate to addiction? There is no evidence to support that. I shall get back to the point of whether this poverty is acceptable. If it is not, we need to look at mechanisms that will ensure that in the civilised society that we aspire to lead we have the policy measures to ensure that this does not happen.
Is it acceptable to be in a party that has always left office with unemployment higher than when it entered office, or is it acceptable to be in a party that has delivered record numbers of jobs?
I respond to the hon. Gentleman by asking whether it is acceptable that we have the highest level of in-work poverty and that two thirds of the children living in poverty are from those working families. I throw that back at the Government.
It is a pleasure to be the last, I think, of the Back-Bench speakers today on the important issue of the spending of the Department for Work and Pensions and its estimates. That vital Department takes a quarter of the £800 billion-odd spent each year on public services. I congratulate the hon. Member for Wirral South (Alison McGovern) on securing this excellent debate.
I spent a happy year sitting behind Ministers PPS-ing at the DWP. I was really passionate about working there, because it is a Department that can really make a difference; it has a huge spend and a vast range of levers to really help people and make a difference. Alternatively, if things go wrong, we see where people are hindered.
In his excellent speech, my hon. Friend the Member for Brentwood and Ongar (Alex Burghart) referred to a number of Conservative Members elected in 2017 to seats that might previously have been described as the Labour heartlands. I want to add North East Derbyshire, a seat we won in 2017, to the list. I stood for that seat in 2010 against Natascha Engel—a former occupant of the Chair, Madam Deputy Speaker, and an excellent MP. I spent two and a half years there. I remember how toxic the benefits culture there had become: an issue that set neighbour against neighbour.
People were concerned that they were working hard while they saw other people who they thought were not putting in the shifts. At times, that was unpleasant and unfair: it is very difficult to tell who is capable of work and who is not, and neighbours are not necessarily able to make the distinction. But I was troubled by the situation and by the statistics showing that, in 2010, 1.4 million people had been on long-term benefits for nine years and 2.6 million had been on them for five years. Clearly, that was a difficulty.
The big challenge for any Government elected in 2010, whether Labour or Conservative, was to work out how to get people capable of work off benefits and give them the tools, access and ability to step into work, thus reducing the benefits bill and focusing funds on those who really could not work. It was about helping and empowering those who could work to get into and rise up the jobs market.
I think my hon. Friend the Member for Brentwood and Ongar is right about electoral success. Fast forward to now, and we see that the approach has gone down incredibly well with voters—not only those who saw people on benefits who perhaps should not have been, but those people themselves, who wanted the help and were given the encouragement.
The hon. Gentleman continues to make the assertion that welfare reforms have driven the increase in employment. There is no evidence to support that: the National Audit Office, for example, disputes it.
On the issue of working as the route out of poverty, I should say that, according to the Joseph Rowntree Foundation, four out of five people in low-income work will still be in such work 10 years later. It is an absolute myth that work is a progression. That does not mean that we should not do stuff about that issue—of course we should.
Well, we can argue about statistics, but try this one. [Interruption.] The hon. Lady wants to throw one at me, but then will not let me respond with one, which I find slightly dictatorial. Some 2.2 million people were unemployed when we took office in 2010; that figure is now 1.4 million. I can give her the number of those who have clearly moved off unemployment benefit into work. We can argue about this all the way through—
I am not going to take any more interventions because, to be fair, those making them have had a lot of time to speak, and I am not going to get much of a chance.
We have seen people moving into work, and that has been a huge success. From listening to Opposition Members, one would think that the benefits system was completely rosy. As I have said, not only were too many people on benefits—trapped on benefits—but if we look at the tax credits system and the attacks on universal credit, we can see that universal credit has been rolled out in a slow, progressive manner, and we have changed it as we have gone along, while tax credits, which were rolled out in one big bang, were overpaid by over £7 billion, and over £2 billion had to be clawed back from those who were actually the poorest. I do not want to take too many lectures on how to introduce a successful benefits system, because we have seen how things have failed before. What has most impressed me about the Department is that it has learned from the failings over the years and has tried to do things better.
I am absolutely passionate about universal credit, because I have spent time with my jobcentre and seen the enthusiasm that the work coaches have for it. When we go into a jobcentre now it is not like going into some cold, austere office where people are too scared to go in and get any help. It feels almost like a recruitment centre to help people. There are help points and people who are passionate about helping people into work.
I am really proud of this Government’s record. I believe that every Government should be judged on what they have done in helping people into work. As I have said before, on every occasion the Labour party has left office, it has done so with unemployment higher than when it entered, which has got to be considered a failure. The Conservative party has been able to secure 3.6 million extra jobs. We have also increased the living wage, taken people out of tax and incentivised them. We have tried to focus on people who need help the most. It is said that all these jobs are low-paid, but 70% of them are highly skilled. It is said that wages are not going up, but for the 15th month in succession wages are going up by more than inflation. The proportion of jobs that are low-paid stands at its lowest level for 20 years as a result of the national living wage. Yes, there is more to do, but let us not knock the record that we have delivered.
I am going to make one suggestion, and I am echoing a point made by the hon. Member for Ellesmere Port and Neston (Justin Madders), who talked about the Motor Neurone Disease Association. He and I played football against that organisation, and I found it the most extraordinary moment. It was incredibly touching to play alongside them, and I then met that team. The organisation makes the very good point, which is also made by the Marie Curie cancer organisation, that it cannot be right that we have to test those with terminal illnesses for their disability benefit. They are reliant on a doctor saying that they will die within six months, but GPs are not comfortable saying that. The challenge for us as a Government is really to listen, and to look at how much such a change would cost. We know those people are going to be able to claim benefits in the main, so it is only a delay while they have to wait. However, they do not have time to wait, and I would like our Government to look at that. It is not just about those in that period of six months, but also those who have managed to survive their terminal illness three years and then have to be retested.
While I am very proud of the Government for what they have done in putting people into work and in targeting support, with almost an extra 1 million disabled people in work as well—we have record levels—we still have individual policy areas that we need to fix and on which we should do better. We must never rest on our laurels.
(5 years, 6 months ago)
Commons ChamberMy hon. Friend asks a very good question. Many universal credit applicants have already accrued debts, and sometimes they wish to take out an advance on their claim, which they would then need to repay over a period. We have been able to reduce the amount that they need to repay, from 40% to 30%, to ensure that they can keep more of their funds. I am constantly alert to the fact that people may have debts, and we need to be careful about the rate at which they need to repay, to protect vulnerable clients.
We support disabled people to enter employment through initiatives such as the Work and Health programme, which is expected to support 220,000 disabled people over five years, the personal support package, and the new intensive personal employment support programme. Access to Work approved support for nearly 34,000 disabled workers last year, and we engage with employers through Disability Confident.
Employment prospects for young people with hidden disabilities or who are on an education, health and care plan are much lower than the mainstream average. Supported internships offer a way through, but the take-up from employers is painfully low. Given that the Department for Work and Pensions is responsible for overall targets, may I ask the Minister to work across the Government to ensure that we can use the apprenticeship levy to fund employers to enable them to take up more of these excellent opportunities?
My hon. Friend has been a real champion in pushing forward the opportunities created through supported internships and traineeships, and through our efforts to open up apprenticeships to those with learning disabilities. I will continue to work with the Department for Education and the Department for Business, Energy and Industrial Strategy to increase awareness among employers, and I very much welcome the fact that last year Access to Work saw a 28% increase in take-up for those aged between 16 and 24, in part because of the expansion of the supported internships.
(5 years, 8 months ago)
Commons ChamberMy hon. Friend is right that an extra £1.7 billion a year will be put into work allowances to increase them by £1,000 from April 2019. That will provide a boost to the incomes of the lowest paid that will result in 2.4 million families keeping an extra £630 per year of what they earn.
It is not just the financial support that is key, but the support provided by jobcentres in getting people work-ready. One of my constituents was languishing on benefits for a decade with no interventions. Now, under universal credit, she is being helped and supported to become job-ready. Will my right hon. Friend ensure that we continue this approach, and that we reach out and support the work coaches in jobcentres?
I thank my hon. Friend and near parliamentary neighbour for pointing out the excellent work done by work coaches. The defining difference between universal credit and the legacy benefits that it replaces is that tailored, personal approach, which really helps individuals to get back into work.
(5 years, 9 months ago)
Commons ChamberIt is a pleasure to speak in this debate on the spending of the Department for Work and Pensions. I thank the hon. Member for High Peak (Ruth George) for leading the debate and for her speech.
I understand the issues that the hon. Lady raises, but, as a Conservative Member, I want to try to make a case for the positives since 2010. In doing so, I would not want it to be thought that I do not have constituents who have been let down by the system. We must always strive to do more and to learn from such issues, but the situation has existed for years under every Government—it has not only existed under this present Government.
I will touch on employment, universal credit and our work to help those with disabilities, sicknesses and impairments, all of which are so important because the Department is responsible for a quarter of all Government spending. A vast £215 billion is spent on benefits and pensions.
Employment is the greatest success of the Government that I have been supporting since 2010, as the unemployment rate has halved since then. The most important thing to me in my role of being an MP is to help people to find work, find hope over despair, find something to feel proud about and find something where they really contribute. It is about taking them from being people who rely on the benefits system when they do not want to do so and giving them a position where they are paying in to help others.
This has been a great success: we now have the highest numbers in employment since records began; we also have an unemployment level at 4%, which is as low as it has been since the early 1970s; youth unemployment has halved; female unemployment is at its lowest rate; and wages are now growing at their joint fastest rate in a decade.
I am particularly proud that our unemployment rate is half that of Eurozone countries. It is important to say that every Labour Government have left office with unemployment higher than when they took office. The unemployment rate rose from 2.1 million in 1997 to 2.5 million in 2010, whereas it has now fallen to 1.36 million. Although there may still be matters that need addressing, this Government have reduced unemployment by 1 million and helped those people to find work and hope, so there is not that much of a stick to beat us with.
Let us look at universal credit, because it is part of our mantra of helping people into work.
If the hon. Gentleman wants us to provide a stick to beat the Conservatives with, he could try the National Audit Office report that said categorically that there is no evidence to suggest that UC has got anyone into work. So where is his evidence?
The evidence states that those on UC are more likely to find work and to increase their earnings—that has been found as well. The whole idea of course is that work pays. [Interruption.] The very fact that unemployment has gone down by 1 million suggests that UC is helping people into work. If the hon. Gentleman does not believe that helping people into work is the right thing to do and that we should keep people on benefits, we have indeed failed, but I happen to believe that ours is the right way forward.
There is something I do not understand here. Not only is there the five-week starting period, but what is now evident is that there is an 11-week starting period. Someone who is moving but staying in accommodation provided by the same social landlord will end up with 11 weeks when they get none of their housing benefit paid, and they are in debt from the very beginning. That has happened to dozens of my constituents. How does that possibly help people to get into work?
First, we have the two-week run-off with regard to housing benefit. We also have the system of advances. So I do not recognise those figures at all.
I will not give way, because I am taking quite a lot of time. The reality is that UC is designed to mirror the world of work. In the world of work, 75% of people get paid monthly, and so the benefits system is designed to do that, because everybody on benefits is supposedly able to find work and this system mirrors the world of work. It is the right system to help people.
Another aspect of UC is universal support. It used to be the case that when someone was on benefits they were languishing on benefits, no one cared about them and they did not get the tailored support that UC gives. Now if anyone chooses to go to their jobcentre, as I do regularly, they will find a completely different approach—one where there is compassion and tailor-made support. The work coaches—[Interruption.] It is all well and good the hon. Member for Garston and Halewood (Maria Eagle) chuntering from the Benches, but if she had spent time with her work coaches, seeing the passion that they have in getting their people into work, she would see that they have more effect in doing that than she has by sitting there chuntering away.
My view is that UC works, and 82% of those on UC believe it works, too. It is all well and good for MPs to knock it for political purposes, but if they wanted their constituents to be helped, they would get behind this system, rather than constantly knocking it for political ends.
The hon. Gentleman says that 82% are satisfied, but does he agree that 18% unsatisfied is still too high?
Yes, of course, because we should always strive for 100%, as I said right at the start. But when we hear Opposition Members talking, we might think that the figure is at zero—it is not. I spend the time with those delivering the support and those receiving the support, and they are happy with it. Let me compare that with the previous system of tax credits. They were rushed in so fast by the Labour party that we ended up seeing overpayments of £7.3 billion and people pursued through the courts to get that money returned. Where does that leave the party of compassion? A success rate of 82% is high when one considers the challenging circumstances of people on universal credit.
In my remaining two minutes, let me turn back to those on disability support. I find that many of those who have been assessed for PIP and ESA have been let down by the system. I say to my Front-Bench colleagues that we need to continue to look to do more to help them through the assessments. I recognise that they are very much tailored benefits that take account of the cost of a disability. By their very nature, there will be challenges, but universal credit is absolutely a challenge that we should meet.
Again, I come back to the employment figures: we have got many more people with disabilities into work than the Labour party did. Anybody with a disability should be told that they are just as able to find work, and that they have the support of the Conservative party to do so, as those who are not disabled. Failure to do that is complete discrimination. I am really proud of the support we offer. My office is a Disability Confident office: we want to make sure that we give people the exact same opportunities. I am proud of our position with regard to those with disabilities. The fact is that we are now spending an extra £10 billion to assist people, compared with 2010.
When it comes down to it, we are helping people to get into work—[Interruption.] The hon. Member for Battersea (Marsha De Cordova) says we are not, but I have just said that there are an extra million people in employment under this Government compared with under her party’s Government. The statistics do not—[Interruption.]
Order. We do not shout from the Front Bench, nor from any other Bench, but especially not from the Front Bench.
Thank you, Madam Deputy Speaker.
It is notable that we can deliver rhetoric, shout and talk about the individual cases, which of course we should, but the statistics show that this Government have got more people into work and are spending more money helping people on benefits. This Government have a record to be proud of, and I am only sorry that more of my colleagues are not willing to stand up and say so.
When it comes to problems with the Department for Work and Pensions and its policies, it is actually quite difficult to know where to start. The people who depend on this Government Department often depend on it absolutely, and it absolutely is not working. It is not working for those on universal credit, assessments for personal independence payments are not fit for purpose, and the benefits freeze has been described by the Joseph Rowntree Foundation as the “biggest policy driver” of poverty in this country.
Perhaps universal credit might work if the Government had not taken £3 billion out of the budget back in 2015—it might then fulfil its original and admirable brief of simplifying the system and helping people get back into work—but they did, and now it is not doing so. They did put half of the money back, but it still is not enough. I do, however, applaud the Secretary of State for her acknowledgment that the problems with universal credit have contributed to the frightening and unacceptable growth in the use of food banks by families in this country. We are also seeing late payments, increased stress for people who are often already suffering from stress or mental health issues, and a growth in homelessness.
Let us put this into context. The DWP will spend £184 billion on benefits and pensions this year. That is a quarter of all public spending. More than half of that, £105 billion, is on pensions, mainly the state pension. Only £22 billion is spent on working-age benefits, and a further £21 billion on housing benefit. As MPs, we have a duty to be careful with our language and to help change the story people in this country hear about the relationship between benefits and poverty.
The DWP should exist to help families break free from poverty, to support people into work who are able to work and to provide security in old age, but that is not what the story of current policies reflects or tells people who are listening out there. Policies such as the five-week waiting time for universal credit reinforce the feeling among claimants that the Department does not actually want to help them, at least not right away. What they see is a delaying tactic—putting off payments for as long as it possibly can. Meanwhile the Government have spent £370 million last year, and advance payments just paper over the cracks.
I beg the hon. Gentleman’s pardon.
In my constituency of Edinburgh West, we are only just learning at first hand about the problems of universal credit, which was rolled out in the constituency at the end of November. We are much better acquainted with the problems caused by PIP assessments and inequities in the changes to the state pension age for women. Every week, I have people come through my door who have been refused PIP, often for the most inexplicable reasons. One constituent, who has had a Motability car for years, was told she did not need it because, if she could drive, she could obviously walk.
I tried to intervene on the point about universal credit. I do not believe that I voted on universal credit, because it was voted for prior to 2015, when I was first returned to the House. The policy that the hon. Lady is talking about was delivered by a Lib Dem-Conservative coalition, so it is actually her party’s own policy.
(5 years, 10 months ago)
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May I suggest that if the hon. Lady has time she and I should talk directly to colleagues in the jobcentre in her area? Let us have a discussion with them and see how we can support her constituents even better.
Surely everybody in this place will want to help people on benefits but ultimately transfer them so that they have the opportunity to work and then pay more into the essential public services that they, and indeed we all, need to get by. Given that we have record employment and also record low unemployment, surely this policy must be doing something right to those ends.
The policies we have put in place since 2010 are working; we can see that in the jobs figures. When we came to power in 2010, some 1.4 million people in the country had been on out-of-work benefits for at least nine of the previous 10 years; that is not a legacy that the Opposition should be proud of.