Social Security Benefits

Jeremy Corbyn Excerpts

Tuesday 4th February 2025 Commons Chamber

[Sir Stephen Timms]

I have seen representations along those lines. It is not something that we are considering at the moment, but we are, as I have mentioned, committed to reviewing universal credit, and we will do so over the course of this year. I imagine that we will be looking at a very wide variety of representations, and the hon. Gentleman and others will be very welcome to make submissions to us along those lines. Lastly, let me say a word about the draft Guaranteed Minimum Pensions Increase Order 2025.

[Jeremy Corbyn (Islington North) (Ind)]

Before the Minister gets on to the pension issue, may I just say that the order requires the Secretary of State to examine the effects of benefit uprating and the effects of the existing payment of benefits? What studies has he done on the effect of the two-child benefit cap? Secondly, last week we passed a welfare spending cap—a cap that, obviously, could be breached in the future. Will the Government revisit the whole idea of the welfare cap, with a view to abolishing it, so that we ensure that the motive force in deciding on benefits is the level of need, rather than an arbitrary figure decided by the Treasury?

[Sir Stephen Timms]

On the two-child limit, as the right hon. Member knows, we very quickly set up after the general election the child poverty taskforce, which is looking in a very ambitious way at the whole range of levers that the Government have at their disposal for tackling the problem of child poverty. We would very much like to repeat the success of the last Labour Government in reducing child poverty so dramatically in when in office. I say that with particularly strong feeling, having taken the Child Poverty Act 2010 through the House towards the end of that Government’s term. Under consideration certainly will be social security changes—we will look at what changes might be appropriate. We are not able to say whether the two-child limit will be removed, but all those things will be considered carefully during production of the report, which the taskforce will bring forward.

We are not looking, I do not think, at changing the arrangements around the overall welfare cap. Of course, there is always some confusion between the individual benefit cap and the overall welfare cap. As the right hon. Member said, there was a debate last week on the overall cap. There is certainly scope for debate about that and, indeed, the benefit cap as well, but we are not proposing any changes to those arrangements in the short term.

The draft Guaranteed Minimum Pensions Increase Order sets out the yearly amount by which the GMP part of an individual’s contracted-out occupational pension earned between April 1988 and April 1997 must be increased if it is in payment. The increases paid by occupational pension schemes help to provide a measure of inflation protection to people who are in receipt of GMPs earned between those two years. Legislation requires that GMPs earned between those two dates must be increased by the percentage increase in the general level of prices, as measured the previous September, capped at 3%. This year, it means that the order will increase the relevant part of the GMP by the September 2024 consumer prices index figure, which is 1.7%.

The draft Social Security Benefits Up-rating Order, if Parliament approves it this afternoon, commits the Government to increased expenditure of £6.9 billion in 2025-26. The changes will mainly come into effect from 7 April and will apply for the tax year 2025-26. The order maintains the triple lock, benefiting pensioners who are in receipt of the basic and new state pensions; raises the level of the safety net in pension credit beyond the increase in prices; increases the rate of benefits for people in the labour market; and increases the rate of carer’s benefits and support to help with additional costs arising from disability or health impairment.

The draft Guaranteed Minimum Pensions Increase Order requires formerly contracted-out occupational pension schemes to pay an increase of 1.7% on GMPs in payment earned between April 1988 and April 1997, providing people with a measure of protection against inflation, paid for by their scheme. I commend to the House the draft Social Security Benefits Up-rating Order 2025 and the draft Guaranteed Minimum Pensions Increase Order 2025.

Welfare Cap

Jeremy Corbyn Excerpts

Wednesday 29th January 2025 Commons Chamber

[Alison McGovern]

The NHS is the bedrock that ensures people can thrive and contribute to society, economically and in every other way. We also need to ensure that the health support people get is the right support. At the moment, we are not doing enough on occupational therapies and other things that provide health support tailored to people’s work. We will have more to say about that in the near future, I am sure.

A huge number of people are turning to a social security system that is not geared up to meet the huge employment challenge. At the moment, social security cannot cope. Hon. Members may ask themselves how on earth we got to this place, after 14 years of so-called benefits crackdowns by the Conservatives. Well, I invite everybody to look at their record. When universal credit was introduced 12 years ago, the Government of the day made all sorts of promises. They said it would

“break the cycle of benefit dependency”

and offer

“greater incentives to find a job”.

The former Secretary of State for Work and Pensions, the right hon. Member for Chingford and Woodford Green (Sir Iain Duncan Smith), said that universal credit

“will ensure that work always pays and is seen to pay”,

but what have we seen since? A disastrous series of wrong-headed choices that have achieved precisely the opposite effect.

New data, which we are publishing today for the first time, shows the extent of the effects of universal credit on incapacity benefits. There has been increase of 800,000 people receiving incapacity benefits between 2018 and 2023. Around 10% of that increase is because of the rising state pension age and another 10% because of the way changes were made in the move from employment support allowance and other benefits to universal credit, a situation that should have been foreseen and planned for by the previous Government. That leaves an increase of over 500,000 people, to which I will now turn. The Conservatives need to take a long hard look at the changes they made to universal credit.

We must consider how people transitioned between the “looking for work” group in the universal credit health journey, where they are told that they have limited capacity to do any work or work-related activity, to “actively looking for work”. How did people move between being told they cannot work and being told to actively look for work? People moving between those two groups used to receive a top-up to their benefits, but that was removed in 2017, creating a hard barrier between those categorised as incapable for work and those looking for work. In addition, there was a four-year freeze to the rates of universal credit in the late 2010s, except the highest tier of health-related benefits. As a result, the income of those trying to find work was squeezed, and the barrier between those on universal credit actively looking for work and those who had been told that they were unable to work was hardened.

We have seen a steady rise in the number of people on the highest tier of health benefits, where there are no requirements to look for work or to get any help to make the steps on that journey, and no support to find jobs when many people actually want to work. All the while, there have been more and more conditions and box ticking in a system that has failed.

Social security was designed to smooth people’s incomes over time and to take account of life events that could happen to any of us, but the result of all the changes is that either by design or mismanagement—probably both—the previous Government created a social security system that segregated people away from work and forgot about them. There was no helping back to work, and only the promise that they would be left alone.

The Office for Budget Responsibility has said that

“the wider benefits system—in particular the conditionality and generosity associated with incapacity benefits relative to other parts of the system—has affected incapacity benefits flows over time”.

Unfortunately, that situation, created by the last Government, is far from the only problem, because social security will only ever function where the Government take their wider duties seriously.

[Jeremy Corbyn (Islington North) (Ind)]

On the point of support for people who are on benefits, the Social Security Act 1986 ended the requirement on the now Department for Work and Pensions to provide advice and welfare support to people. Will it now be the policy of the DWP to automatically offer advice and support to people on the benefits they are entitled to claim, or to give more support to voluntary advice agencies so that people get what they are entitled to?

[Alison McGovern]

We published in November an extensive reform programme for the Department to get Britain working. We showed how in some parts of the country—I will come to this in more detail shortly—people have been abandoned and their labour market has not supported enough good jobs for a very long time. We showed how, by acting on better health and better local support services, we will reintroduce ambition into our support services.

We want to help people get into a job that will support their family finances and help our economy thrive. We have a huge change programme underway in the Department for Work and Pensions, and we will be doing even more than we set out in that White Paper. The challenge is huge, but the potential is also massive. I worry about everybody who is out of work, but particularly our young people, who have effectively been thrown on the scrapheap. It is a disaster now in exactly the same way that it was a disaster, brought about by the economic turbulence that I grew up in, in the 1980s, which is the period the right hon. Member refers to. We will therefore take the challenge of restoring employment—proper employment—in this country extremely seriously.

In doing that, I want to talk about the Government’s wider responsibilities, not just in reforming the social security system but far beyond that. You will forgive me, Madam Deputy Speaker, if I return to the founding document of our social security system, the Beveridge report. In 1942, William Beveridge identified the

“establishment of comprehensive health and rehabilitation services, and maintenance of employment…as necessary conditions of success”

in social security.

That lesson is forgotten again and again in this country, and we will never have a social security system that functions well unless we have an NHS that works and we maintain policies designed to move towards full employment. Social security cannot soak up every single problem in this country if the Government forget their wider responsibilities. I note that the Beveridge report considered the consequences of war and the injury to the nation that that had brought about. In many ways, we ought to learn the lessons of the pandemic: that the health of the nation can never be taken for granted and that, in setting us on the right path in terms of both health and employment, we can plot a course towards a more sustainable future. As I have said, is it any wonder that our social security system is broken given the health of the nation, given what we have been through and given the last Government’s neglect of the NHS and the state of our labour market?

To look backwards again for a moment, we know that in our country’s economic history, we had periods when whole towns and cities were deindustrialised and left to fend for themselves. Economies simply failed, and while great progress has been made, including in my constituency, in my city region in Merseyside and in other places whose economies have moved on greatly since that time, sadly, too many have never properly recovered. As a result, we have a labour market that simply fails to offer good work everywhere.

As part of our “Get Britain Working” White Paper analysis, we found that when students are not counted, the inactivity rate, to give the example of Blackpool, is 29%. That is nearly a third of working age people. That can never be a good platform on which to build a thriving economy, and I am determined that we will turn it around.

More than half of the 20 local authorities with the highest rates of inactivity in England are in the north, while none are in the south-east. It is, however, far from a north-south divide. We have identified 14 types of labour markets in the United Kingdom and considered their features: what they share and what divides them. We want to identify those places that are furthest behind, precisely so that we can help.

It is not just the prevailing economic circumstances or what has happened in the recent past to a local authority that defeats people, but, unfortunately, the jobcentres that are supposed to be there to help. When we did our analysis for our “Get Britain Working” White Paper, we uncovered the record of the last Conservative Government. I was shocked to find that only around 8%—only 8%—of universal credit claimants in the “searching for work” group move into work from one month to the next. In the “no work requirements” group, 92% were still there after six months. That is the very definition of being on the scrapheap: no work and no help to get work. That is just failing people.

Then there is the price tag. Spending on universal credit and disability benefits was £10.9 billion higher than anticipated when the level of the welfare cap was calculated. That is a dreadful record. For the reasons that I set out earlier, the breach of the cap is unavoidable this year, but this Government are taking the action necessary to drive up opportunity in employment while driving down the benefits bill. Our “Get Britain Working” White Paper, as I have mentioned, set out the biggest reforms to employment in a generation, with a radical new approach backed by £240 million of investment. We are overhauling our jobcentres and creating a new jobs and careers service, doing away with needless admin and freeing up work coach time, so that my colleagues can give real, high-quality support to people.

Although I am often disappointed in the help that people receive in jobcentres, I am never disappointed by what our work coaches do. The thing that lets the work coaches down is the system in which they work. For example, they are told that they can see someone for only 10 minutes. How are they supposed to help in 10 minutes? They have to carry out numerous admin checks that could be done with modern technology, when the person in front of them is just sat there waiting, not receiving any help. Our work coaches are full of ideas, full of local knowledge and full of determination that we will make a new system work. I take this opportunity to put on record my thanks to every single DWP member of staff who has embraced change with gusto.

[Alison McGovern]

I agree with the hon. Lady. Can we just take this moment to thank the DWP team in St Albans? They sound like they are doing a great job and they are also briefing their local MP, which is really good of them. I encourage all colleagues in the House to ensure that they have a regular catch-up with their jobcentre colleagues so that they know the kind of things that our work coaches have to deal with. Often, Members of Parliament can be quite helpful in putting people in touch with other organisations, so I encourage all colleagues to do as the hon. Lady has done.

On the point that the hon. Lady makes about SEND, she is absolutely right: this is a major barrier. If Members want to understand what a struggle to get to work and to stay in work looks like, they should ask the parent of a disabled child. This issue of where the effect of poverty and the SEND crisis can compound is being considered by the child poverty taskforce in particular. The hon. Lady is absolutely right: good public services and a good, strong economy go hand in hand. It is not “public services or a strong economy”—we called that ideology “austerity”, and it did not work. The two go hand in hand. We need to look in that rounded way to see how we can help people, and that is the approach that we are taking. We want to make every jobcentre in the country a place that people who are looking for work, and employers, will actually want to use. We know that what happens early on in a career echoes down the years; as I have said, our young people—the pandemic generation—were failed. That is why our youth guarantee will give every 18 to 20-year-old access to quality education, training or employment.

On top of that, we are working with local leaders who know their towns and cities best, supporting them to produce their own local “Get Britain Working” plans that join up work, health and skills to support their communities. I have mentioned the major fractures still in the UK economy following previous economic events that were not managed properly. That is how we know that the same thing just will not work everywhere. The DWP will reform itself so that we are able to localise support services, and we will work with local leaders to do that.

All of that will ensure that we help people to enjoy the benefits that good work brings to wellbeing—and I do mean “good work”. The choice in this country should never be between the scar of unemployment and the scar of poor work that does nothing but keep people poor. Poor work does not reduce the pressure on our social security system; it just means more people working too hard for their poverty. That is why we will improve the security and quality of work through our plan to make work pay. We will create more good jobs in every part of the country with a modern industrial strategy and local growth plans. Together, they will help us to meet our long-term ambition for an 80% employment rate.

We will create the conditions for success in social security. As I have outlined, the changes made to social security were ill-thought through. A fresh approach is needed to make our social security system sustainable, and we will build that system to give people the help that they need to find great jobs and feel the benefit of work. We want to tackle poverty and target support at those who need it most. We will set out our proposals in a Green Paper on reforming the health and disability system in the spring. We will work with disabled people and their organisations to get that right.

A strong social security system needs the confidence of us all. Anyone might suddenly find themselves unwell or with the extra costs that children bring, and we all hope one day to enjoy the benefits of the state pension, so we must protect the social security system now and in the future. Not only did we confirm at the autumn Budget that we would keep a welfare cap in place with a margin of 5% to account for the volatility of recent forecasts, but later this year we will publish a new annual report on social security spending across Government, setting out the DWP’s plan to ensure that it is on a sustainable path. The days of setting spending targets without a proper plan to meet them are over.

[Jeremy Corbyn]

If next year’s report recommends an increase in welfare spending, would that be impossible within this cap, or will she come back to Parliament to ask for a change in the cap well ahead of its 2029 expiration?

[Alison McGovern]

In the specifics of our proposal, we will publish a Green Paper on health and disability in the coming months. With regards to the financial controls, we will do all that the Chief Secretary to the Treasury set out some moments ago on allowing the Office for Budget Responsibility to perform its function. That is the best way to ensure that we take fiscal decisions within the guardrails that he set out.

The results of 14 years of failure are unfortunately only too obvious, as I said earlier. Everywhere we look in this country, we can see the impact of what the previous Government did. Too many people in far too many places were neglected and failed, starved of opportunity, and left to turn to a social security system that just is not working. Everybody in this country suffers the consequences.

--- Later in debate ---

[Jeremy Corbyn (Islington North) (Ind)]

I am pleased we are having this debate, although I am sorry that it is relatively short. My concern about the proposal before us is that it recognises an overspend on the welfare cap—I support the idea that we should be allowed to overshoot the cap—but hardwires decisions on welfare spending for the next five years. It therefore restricts any future changes to any element of welfare spending.

The cap does not include pensions and work-related benefits. What it does include, in particular, is disability living allowance, housing benefit and personal independence payments. Those benefits relate to the areas in which, it seems to me, there are often the greatest levels of poverty and people face the greatest problems in simply trying to survive. The Government have already removed the winter fuel allowance, which is included in the estimates for the next five years, and are maintaining the two-child benefit cap, which restricts the amount of money paid on benefits to families. I understand all the points the hon. Member for Loughborough (Dr Sandher) made and the passion with which he made them, but the reality of not removing this ridiculous cap, put in place by the right hon. Member for Chingford and Woodford Green (Sir Iain Duncan Smith) when he was Secretary of State for Work and Pensions, is that we have a lot of children living in desperate poverty.

Any Member who goes to a food bank—we all have food banks in our constituencies—and talks to the parents picking up food will find a wholly disproportionate number of, usually, mothers of children in very large families who cannot make ends meet because their benefits apply only to the first two children. We need to get rid of the two-child benefit cap, but what we are being invited to support today will ensure that we keep it, while maintaining the removal of the winter fuel payment and boxing us in when it comes to what we can do to improve both the take-up and the availability of disability benefits as a whole. I must therefore caution the Minister and question her optimism. I recognise the need to overshoot the cap today because I understand why it has come about, but we need to look at the levels of poverty in our society.

I also understand all the points that have been made about the role of the Department for Work and Pensions in relation to people seeking work. In 1986, I was a member of the Bill Committee that took a sledgehammer to the then Department of Health and Social Security’s methods of supporting people who were out of work and helping them into work. We have suffered ever since as a result, and I am pleased that the DWP is reforming its ways of doing things and will help people into work by providing more advice and support. The reality is, however, that many people in this country suffer because of the mental health crisis that we are in, have suffered industrial injuries or are living in great poverty, and they need support. Surely we should be measuring the levels of poverty, the increased levels of child poverty and the educational underachievement of children living in poverty, rather than saying that the most important thing to do is limit the level of welfare spending.

There is a reason for that. I meet many people, in my constituency and in other places, who are receiving DWP benefits. Some are in work, some are unemployed and some have sickness problems and cannot work. They are not shirkers. They are not skivers. They are people who need help within our society. For too long we have had a culture of blaming anyone who seeks help within the law through our benefits system. I hope that we will hear a reply from the Government in which they accept the need for a re-examination of the levels of poverty in society and demonstrate a preparedness to change the welfare cap in the future to accommodate any increased needs that result from it. The thinking behind the cap was not about eliminating poverty from our society; it was all about limiting the level of welfare payments and the benefit that people gain from them.

In an intervention in the earlier debate, I pointed out to the Chief Secretary to the Treasury that huge infrastructure projects had gone massively over budget and had been financed. I support the Elizabeth line—it is a wonderful thing—but it was way over budget, like plenty of other projects. There seems to be one approach to investment in major infrastructure projects that run way over budget, and another when it comes to a welfare budget: anything that might go over will be prevented from going over by the Treasury. We cannot predict who will be injured next year, what illnesses will come or what needs will arise. Surely the principle of the welfare state must be that we help and support people when they need that help and support—and yes, help them to be available for work and get back into work, and say to employers, “You need more flexible working arrangements so that people can work part time.” We must look at the levels of unemployment among people with disabilities who simply cannot get work because the employment laws are not strong enough to require employers to provide work for people who, despite having disabilities, are well able to work.

I think we should be more cautious, rather than adopting a gung-ho approach and saying, “We are cracking down on welfare.” I want to crack down on poverty, I want to crack down on unemployment, and I want to crack down on those who prevent people from achieving the best that they can in their lives and in our society.

Women’s Changed State Pension Age: Compensation

Jeremy Corbyn Excerpts

Wednesday 15th January 2025 Westminster Hall

[Torsten Bell]

I really must make some progress because we are about to run out of time.

It would not be a reasonable or fair use of taxpayer money to pay compensation to people whose circumstances would be the same today even if the maladministration had never occurred. A compensation scheme would cost up to £10.5 billion, less than the scheme previously proposed by the right hon. Member for Hayes and Harlington (John McDonnell) but still a significant amount.

The ombudsman is clear that, as a matter of principle, redress and compensation should normally reflect individual impact. The Department considered at length whether a tailored scheme could be delivered, but it was simply not a viable option. The ombudsman’s report acknowledges the cost and administrative burden of assessing the individual circumstances of 3.5 million women born in the 1950s. Indeed, it took the ombudsman nearly six years to investigate just the six sample cases. To set up a scheme and invite 3.5 million women to set out their detailed personal circumstances would take years and thousands of staff.

[Jeremy Corbyn (Islington North) (Ind)]

Will the Minister give way on that point?

[Torsten Bell]

I must make some progress.

We also do not believe that paying a flat rate to all women would be a fair or proportionate use of taxpayers’ money. I want to address the questions asked by several hon. Members about the specific research findings. It is important to say that the evidence on what women knew about the state pension age changes is robust. The same research was used by the ombudsman, who clearly did not have concerns about its validity.

I have heard hon. Members make powerful speeches today and I understand the strength of feeling on this issue, not least from my aunt. Many women born in the 1950s worked hard in paid jobs, often balancing that with raising a family. The Government have a responsibility to take their concerns seriously, which is why Ministers listened, reflected and carefully considered this complex decision. As custodians of the public purse, however, we must also ensure that decisions are rooted in evidence and are fair to everyone.

The fact remains that the vast majority of women knew that the state pension age was increasing. Even for those who did not, we know that sending letters earlier would not have made a difference in most cases. [Interruption.] Although I know that that decision will be disappointing, as we are hearing, and many have been frustrated by watching this debate drag on for years, we believe it is the right course of action. Of course, it is also right that the Government should be held to account for that decision, as is happening today.

[Jeremy Corbyn]

I congratulate the Minister on his appointment. I think I am right in saying that it is unprecedented for the Government to reject in its entirety an ombudsman’s report and offer absolutely nothing. Those women were led up the garden path in the last election, and before that, by people saying that compensation was going to be paid. The Minister needs to explain why the Government are simply ignoring the plight of those women.

[Torsten Bell]

It is an important issue, and we have been listening to the plight of those women for many years—and rightly so. Important and powerful cases have been made by many hon. Members, but I have set out why the Government have made that decision.

We will continue to help women born in the 1950s and pensioners across the UK by investing a crucial £22 billion into NHS England this year and next, with consequentials for the Welsh and Scottish Governments.

Disabled People on Benefits: EHRC Investigation

Jeremy Corbyn Excerpts

Thursday 23rd May 2024 Commons Chamber

[Jeremy Corbyn (Islington North) (Ind)]

I am indebted to the hon. Member for Motherwell and Wishaw (Marion Fellows) for obtaining today’s urgent question, and she is correct to say that policy should be based on fairness, dignity and respect. In dealing with cases, I find that those with mental health conditions, including sporadic mental health conditions, are often unfairly sanctioned, go through much deeper stress and sometimes end up in desperate poverty as a result. In advance of the inquiry, could the Minister tell us what the Department is doing to ensure that the sanctions regime against people with disabilities, particularly those with mental health conditions, operates in a much more respectful and inclusive manner that helps them to deal with the horrible problems they are trying to cope with?

[Mims Davies]

The right hon. Gentleman makes an important point about fluctuating conditions and needs, which he is absolutely correct to identify. We have a growing number of visiting officers—500—and a growing number of colleagues with a trauma-informed approach, and there is close engagement with wider safeguarding. Having a trusted relationship with one’s work coach, job coach and disability employment adviser is so important, and this is at the heart of our safeguarding protocols, which are in place for healthcare professionals who undertake assessments. If they identify a new condition or concern, they will ensure that the individual’s healthcare team are aware and communicating directly with them. Again, that is why we have the trauma-informed approach. I recently saw it being used at the Hastings service centre, where decisions are made on child maintenance, and at jobcentres. The approach is being rolled out in order to be at the heart of what we do.

Women’s State Pension Age: Ombudsman Report

Jeremy Corbyn Excerpts

Thursday 16th May 2024 Commons Chamber

[Sir Stephen Timms]

I agree. The Government have said that they will respond without “undue delay”, and that they are considering the report in detail. Can the Minister tell the House this afternoon whether the Government will bring forward proposals for remedy, as the Work and Pensions Committee believes that they should, before the summer recess? We should set a clear timetable.

We need a scheme that is easy to administer. The ombudsman said that, in principle, redress should reflect the impact on each individual, but it recognised that the need to avoid delay, and the large numbers involved,

“may indicate the need for a more standardised approach”.

Jane Cowley, the WASPI campaign manager, told the Work and Pensions Committee that given the need for action

“within weeks rather than years”,

the scheme should be based on three principles: speed, simplicity and sensitivity. The evidence that has been gathered points to a rules-based approach to working out the compensation that should be paid.

[Jeremy Corbyn (Islington North) (Ind)]

I have read the evidence given to the right hon. Member’s Committee, which was taken in April this year. If the Government agreed that they had to accept responsibility for this issue and to go forward with it, how quickly could we start to see the highly justified compensation being paid to these women?

[Sir Stephen Timms]

I would hope quite quickly, and I will explain why.

The payments involved would be adjusted within a range, based on the ombudsman’s severity of injustice scale. It would depend on two variables: first, the extent of the change to the individual’s state pension age—how much it increased by—and, secondly, the notice that the individual received. The less notice someone had of the change, and the bigger the change to their state pension age, the higher the payment they would receive. An arrangement like that would not be perfect, but it would be quite quick and relatively inexpensive to administer compared with a more bespoke system, because it would involve applying known data to a formula to work out the amount that was due. I ask the Minister whether he accepts that, in principle, a rules-based system would be the best way forward.

Beyond that, it was suggested to the Work and Pensions Committee that there should be some flexibility for individuals to make the case, after the standard payment has been calculated, that they experienced direct financial loss as a result of the maladministration, and that they should therefore be entitled to a higher level of compensation. Flexibility would be needed, because although the ombudsman did not see direct financial loss in the six sample complaints that it looked at, it did not exclude the possibility that there could be in other cases. For example, Angela Madden, the chair of the WASPI campaign, suggested to us that somebody whose divorce settlement was less than it would have been because it was based on the expectation that she would receive her state pension at the age of 60, might well be entitled to a larger amount because of that particular development.

--- Later in debate ---

[Jeremy Corbyn (Islington North) (Ind)]

This has been a timely and very powerful debate. We have heard some incredible contributions from many Members, who have shared first-hand knowledge of their constituents and the way they have been treated. I was very moved by what was said by the hon. Member for Easington (Grahame Morris) about the couple in his constituency who have basically lost everything because of this whole sorry saga. Some 3.8 million women have been affected by this issue, and many have now died—possibly over 270,000.

This debate would not be happening if it was not for the bravery of the WASPI women campaigners over many years. I have always been impressed by their verve and the demands that they bring to any occasion, and by their dressing appropriately in suffragette colours—one cannot miss them at any event or meeting anywhere. We should pay tribute to all of them for the incredible work that they have put into drawing attention to this grotesque injustice over many years. They deserve to know that they will get an answer that will give them some comfort and hope.

In the last decade, only three or four ombudsman’s reports have gone to Parliament because the Government have refused to acknowledge or accept them. The whole principle of the ombudsman is that it is an independent, non-political office that makes recommendations on the basis of the evidence it has collected. It went to a great deal of trouble to collect evidence and chose a sample of cases to give a holistic view on the situation, so the very least we can do is expect that the Government will undertake to act on the report.

I was very impressed by the Work and Pensions Committee’s evidence session on 7 May. I was impressed by the campaign’s detail, by the evidence it presented and by the commendable speed with which it responded to the Committee and to the all-party parliamentary group on state pension inequality for women, chaired by the hon. Member for Waveney (Peter Aldous) and my hon. Friend the Member for Salford and Eccles (Rebecca Long Bailey). We need to thank the campaign for its work.

The WASPI women came up during the last two general election campaigns, and let us be absolutely clear that my right hon. Friend the Member for Hayes and Harlington (John McDonnell) and I committed that an incoming Labour Government would have dealt with this issue, compensated the WASPI women and accepted that a grotesque injustice had been done. That would have been expensive but, as I tried to explain in my interview with Andrew Neil, it would only have redressed an injustice. It would not have been throwing Government money around willy-nilly. Treating people properly is a moral issue.

Many would say that Parliament is now confronted with a problem not of its own making, and that it has to do something to try to resolve the issue. Well, we are always confronted with problems not of our own making. We do not make problems—[Interruption.] Well, I hope we do not make problems, but we have to deal with them. In the case of the problems that have recently come before us—the injustice of the mineworkers’ pension scheme, the injustice of freezing the pension rate for overseas pensioners, the Horizon scandal, and the enormous question of the contaminated blood scandal—we are here to resolve those problems and secure justice for people who have suffered a grotesque injustice. People look to Parliament to achieve that.

We have the report, the information and the knowledge. We understand the injustice that has been done, the poverty that many people have been forced into and the insult when a person in their 60s finds that they cannot access their pension and is told by a DWP job adviser to take an apprenticeship, which is ludicrous. They know full well that they are not going to get it. Those people feel a sense of hurt. They believe that they did the right thing, and they believe that the Government and the DWP have done the wrong thing by them.

Rebecca Hilsenrath answered question 51 of the Work and Pensions Committee’s evidence session, on whether information should have been made better available, which obviously it should have been, by saying that services should be “user-focused”. She thought that the information system was poor, and that the advertising of it was poor.

Clearly many very well informed people were not aware of the dangerous situation they were moving into with their own personal finances. There is an opportunity to resolve this, and it could be resolved with a statement from the Government today undertaking that, by 18 July, when I understand the summer recess starts, they will put forward a proposal for a simple compensation scheme based on a formula, as the Chair of Work and Pensions Committee set out, to ensure that compensation can be speedily paid. If compensation was individualised, we would clearly have to deal with several million individual cases, which would take a very long time.

What we need is justice, and it is up to this Parliament to deliver that justice for women who worked so hard to deliver the services from which we have all benefited. We owe it to them, and we can do it now.

Women’s State Pension Age

Jeremy Corbyn Excerpts

Monday 25th March 2024 Commons Chamber

[Mel Stride]

As the hon. Gentleman will know, that is a question that in various forms has now been asked a dozen or more times. The answer will always be consistent: there is no desire to delay matters, and there will be no undue delays in our deliberations.

[Jeremy Corbyn (Islington North) (Ind)]

There cannot be a Member of this House who has not met women affected by the issue or WASPI campaigners, and who has not been moved by their awful stories, and the pain that they have been through as a result of the maladministration by successive Governments. Anyone watching this lengthy, convoluted statement from the Secretary of State will be left confused about what will happen now. Could he tell us, in words of one syllable, when women who are victims of this maladministration can receive the compensation that they deserve?

[Mel Stride]

With great respect to the right hon. Gentleman, that is just another version of the same question about timing, and I have given a very clear answer on that.

Disability Action Plan

Jeremy Corbyn Excerpts

Monday 5th February 2024 Commons Chamber

[Mims Davies]

I thank my hon. Friend for making that important point. Something announced here in Westminster might sound great, but what does it mean in Rutland and beyond? That is an important part of the next steps. Of course, we have support in our jobcentres, with further work coach support and disability employment advisers offering advice and expertise, and I have mentioned Access to Work, Disability Confident and our future employment goal. If she sent me an invite, I would be delighted to listen in on what her constituents and those advocating would like to hear and understand.

[Jeremy Corbyn (Islington North) (Ind)]

I note that the Minister mentioned in her statement the aim to

“promote better understanding across Government of the United Nations convention on the rights of persons with disabilities”,

which is very welcome. How exactly will she do that with each Department, both in their roles as employers of a large number of people around the country, and in the policies that they promote, such as disability benefits—including those relating to mental health—and the provision of housing for people with disabilities? If she finds that the Departments are not coming up to the mark in achieving what she wants of them, how will she ensure that they are forced to carry out her policy, to ensure that there is real equality for people with disabilities in our society?

[Mims Davies]

The right hon. Gentleman makes an important point about cross-Government working and delivering on the action plan. I stress to him and to those watching that the plan is one pillar of the work that we are doing. We will, for example, work to increase disability-inclusive approaches to emergency and resilience planning and climate adaptions, through working strategically with teams on that. We will always work with the Department for Environment, Food and Rural Affairs and the Foreign, Commonwealth and Development Office to ensure that disability inclusion is increased. As I have said, it is increasingly vital that ministerial champions deliver and are accountable in their Departments—that is what I will be doing. It will mean that disabled people can benefit from everything that Government and community do, and can rightly contribute to every aspect of our society.

Social Security

Jeremy Corbyn Excerpts

Wednesday 31st January 2024 Commons Chamber

[Jeremy Corbyn (Islington North) (Ind)]

I cannot better what the hon. Member for Oldham East and Saddleworth (Debbie Abrahams) said about poverty in this country and we should reflect on that if we are passing social security uprating orders because the levels of poverty are an utter disgrace. One has only to spend a short time in a food bank anywhere across the country to realise the desperation of many people who are prepared to queue, often for a very long time, just to get a few packets of pasta to keep their family together for another week. The numbers accessing food banks are going up all the time. People are increasingly going to community centres to try to get food that has been donated by others. The level of poverty is huge.

I will bring two specific areas to the House’s attention. The hon. Member for North East Fife (Wendy Chamberlain) just talked about the first: the two-child benefit policy, which limits universal credit to claimants’ first two children. Like all Members, I have many constituents who are part of large families. The Somali community, the Haredi Jewish community, the Congolese community, the Bengali community and a number of others often have quite large families. Is there anything morally right in saying that the third, fourth, fifth or sixth child in a family is less valuable than the first or second? Can anyone justify that? I do not believe that they can, yet the policy persists.

The cost of changing the policy would be £1.3 billion. That might sound like a lot. It does not sound very much compared with overall Government expenditure, nor compared with the benefits that it would bring in lifting a lot of children and families out of poverty. At the moment, around 1.3 million children are affected. They come from around 400,000 households. [Interruption.] Is the hon. Member for Glasgow East (David Linden) trying to intervene?

[David Linden]

No, I was just enjoying the right hon. Member’s speech.

[Jeremy Corbyn]

The hon. Member was looking with interest. I am grateful to him for that, and for what he said.

I hope that as a result of this debate the Minister will seriously examine the poverty created by the two-child policy, and that all parties in this House will recognise that we ill serve the community if we deliberately discriminate against children in large families. Children living in poverty are less likely to achieve their full potential in school, and the jobs and careers that they want. As a result, we all lose. We all lose out on their talents because we disregarded their needs when they were at their most desperate. I hope that the Minister will recognise that.

Secondly, the uprating order includes an increase in housing benefit in line with the rate of inflation that is applicable. The problem is that in constituencies such as mine, where a third of the population live in the private rented sector, housing benefit never quite catches up with the increase in rents imposed by private sector landlords. It is not just a London problem; it exists in Glasgow, Edinburgh, Newcastle—all over the country. Yes, local housing allowance is being increased in line with a perception of what the affordable rent level is within the community, but it never quite catches up.

A friend of mine was helping somebody to find a flat locally. They spent days trawling through agents, and all the other places one goes to try to find a flat. They found fewer than half a dozen flats available to rent within the local housing allowance. In lots of inner urban areas, having neither rent controls nor a sufficient level of housing benefit or local housing allowance effectively leads to an expulsion of the poorest from those communities. We need to come back to that and introduce private sector rent controls, and we need a local housing allowance that is realistic and meets people’s housing costs. Otherwise, it is often the poorest and largest families who get shifted from one private rented sector flat to another, thus damaging those children’s education and life chances.

If we are to live in a society where we are proud of our welfare state, the welfare state has to work for the poorest in our community. At the moment, frankly, it does not.

Asbestos in Workplaces

Jeremy Corbyn Excerpts

Wednesday 19th April 2023 Westminster Hall

[Jeremy Corbyn (Islington North) (Ind)]

We owe a great debt to the hon. Member for Loughborough (Jane Hunt) for securing the debate and the way in which she moved the motion. I used to be a union organiser in the public sector before I became a Member of Parliament, in the National Union of Public Employees. In the early ’70s, when the debate started about the health, safety and welfare at work legislation, which was put in law in 1974, the issues and dangers of asbestos were known. Huge profits had been made by Turner & Newall and other companies from selling asbestos, and it was installed regularly in lots of places even after the dangers were well known. Asbestos lagging on pipes in heating installations and on exhaust systems of buses and other vehicles led to an awful lot of workers getting mesothelioma as a result.

Our great friend Alice Mahon was also a member of NUPE. She worked in a dilapidated old hospital building in Halifax and in this building. I was at her funeral in Halifax last month. It was a sombre occasion. It was a huge gathering at the minster in Halifax that paid tribute to a wonderful MP and a very principled campaigner. The collection was for victims of asbestos in the Calderdale area. In this debate, we should remember that asbestos can affect anybody. Who would have thought that a Member of Parliament would get this kind of condition from being in this building? This is not about MPs, but a lot of people whose voices have not been heard: those who clean buses or trains, those who work in or install heating systems and, indeed, people quite innocently doing a few home repairs, not realising they have actually pin-pricked into asbestos in a building.

[Martin Docherty-Hughes]

My grandmother, when she lived in Durban Avenue in Clydebank, had a white picket fence brought out of a sheet from Turner’s asbestos factory in Clydebank. The right hon. Member is right to remind us of the differentiation around how people get asbestos. It also relates to where the asbestos is now dumped. Does he share my concern that, besides the traditional aspect of asbestos, it is hidden in grounds across our country? They also need to be investigated—that is to say, hidden asbestos dumps.

[Jeremy Corbyn]

The hon. Member raises a very important point. There are a number of unaudited rubbish dumps around the country, including unaudited rubbish dumps from the Ministry of Defence, many of which will contain asbestos remains that are completely unknown. Somebody will come along, perhaps to construct something on that site, and dig it up. As a result, asbestos will be released into the atmosphere. We are facing a serious issue of epidemic proportions.

In the 45 seconds that I have left, I thank the Minister for being present. We need a full audit of all the asbestos dangers in the country, including the tips and so on that we have mentioned. We need a programme of containment and labelling of it everywhere before it is removed, and we need a programme of removal. We should not be the worst country in Europe, or indeed in most of the world, on the question of asbestos safety; we ought to be the best. None of this is new. All of this has been around a long time, and I hope that today’s short debate will serve as a reminder that this House is determined that we will rid this country of the dangers of asbestos, and the danger of taking lives 50 or 60 years from now.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Work and Pensions (Mims Davies)]

It is a pleasure to serve under your chairmanship, Mr Paisley. I am grateful to my hon. Friend the Member for Loughborough (Jane Hunt) for bringing this important debate to the House. I too extend my heartfelt sympathy to all those individuals in Great Britain and beyond who have lost a loved one or a colleague, or who are living with the impact of asbestos-related disease. I thank all hon. Members across the House for coming here to talk about their concerns, their impactful stories and their truths, as well as all the members of the public in the Gallery who have joined this afternoon.

Asbestos continues to be a problem experienced around the globe. As my hon. Friend mentioned in her opening remarks, earlier this month the United Kingdom joined other countries in recognising Global Asbestos Awareness Week, designed to remind us all of the impact of asbestos-related disease and how it continues to be felt. As the hon. Member for Motherwell and Wishaw (Marion Fellows) said, I shall be talking about raising awareness later in my speech, but I wanted to take this opportunity to welcome the important work done by charities to support people affected by this devastating disease, such as the charity Mesothelioma UK, which is based in my hon. Friend’s constituency, and all those who do the great campaign work that has been outlined today.

I agree with the hon. Member for Bradford East (Imran Hussain). Asbestos was banned in Great Britain in 1999, and stringent interventions and regulatory controls are now in place to prevent people from being exposed to it, but I assure the House and all those listening to or reading the debate that I too, when preparing for the debate, put similar searching questions to the HSE and my colleagues at the Department for Work and Pensions property team, one of whom is a former HSE inspector and removal specialist. I have not just come here to read the speech I have been given, and I hope that that reassures everyone.

[Jeremy Corbyn]

In this analysis, will the Minister include the problem of unmarked dumps around the country, particularly Ministry of Defence dumps, which are highly likely to include large quantities of very dangerous blue asbestos, which is probably the worst type?

[Mims Davies]

I have a feeling I will be sent a note on that, and I thank the right hon. Gentleman for his intervention. We have spoken about a lot of matters this afternoon, and I hope I will be forgiven if I do not respond to every question. I shall respond to some, and I assure right hon. and hon. Members and the Chair of the Select Committee, the right hon. Member for East Ham (Sir Stephen Timms), that I shall put a copy of the responses in the Library of the House.

Under the law on dumping locations, asbestos must be disposed of in licensed sites, but we are aware of some issues of illegal dumping. The HSE supports local authorities in their enforcement responsibilities in this area, but I will take that point away.

Before I move on, I will try to answer some questions before progressing with my speech. On the question regarding asbestos research from the hon. Member for Motherwell and Wishaw, the Health and Safety Executive has published a comprehensive science and evidence strategy associated with a delivery plan, and it includes commitments. It will continue to research and publish those findings.

On the retained EU law questions, the focus continues to be on ensuring appropriate regulatory frameworks, and maintaining the United Kingdom’s high standards for health and safety protection, but we balance that with reductions in burdens to business. The HSE’s approach is closely aligned with the Government’s pledges to do more for business, to promote growth, to deal with disproportionate burdens and to simplify the regulatory landscape.

Our standards are all about health and safety protections, and they are among the highest in the world. The HSE will continue to review its retained EU law to seek to look at the opportunities, but it always looks at what is happening around the globe, as has been mentioned.

Social Security and Pensions

Jeremy Corbyn Excerpts

Monday 6th February 2023 Commons Chamber

[Ms Buck]

The fact of the matter is that poverty is rising —pensioner poverty is rising, child poverty is rising, and the local housing allowance and the childcare element are not keeping up with costs. That is simply a fact.

[Jeremy Corbyn (Islington North) (Ind)]

If I may, I will just take my hon. Friend back to the point she was making about rent levels, which have gone up extraordinarily in the past six months. London now has the highest rents of any city in Europe, and many people on benefits living in the private rented sector are paying well over £100 a month out of their remaining benefit. Does she not think that there is also a case for looking at local housing allowance levels?

[Ms Buck]

This freeze in local housing allowance, which is such a critical element of people’s income, is causing such hardship for hundreds of thousands of families. That is not only undermining living standards in the middle of a cost of living crisis, but leading to utterly perverse disparities between areas due to differences in rent inflation. The 30th percentile of rents in Bristol is £100 more than in Newbury, but the amount of housing support that those who live in Bristol can receive is £12.50 less than those who live in Newbury. To quote the Institute of Fiscal Studies again:

“the current approach makes little sense. It permanently bakes in historic information about differences in rents across the country, while entirely ignoring current information about those differences.”

We can see the real-world consequences playing out on our streets as rough sleeping soars and council homelessness units are stretched to breaking point.

--- Later in debate ---

[David Linden]

The triple lock the hon. Gentleman refers to is the one that he and his party broke a manifesto commitment on recently, resulting in many pensioners being diddled.

[Jeremy Corbyn]

I am interested in what the hon. Gentleman is saying about the huge problem of pensioner poverty, particularly for those who are unable, or do not understand how to access the minimum income guarantee. Does he accept there is also a huge problem for women of a certain age, the WASPI women, who are living in great poverty and great stress through no fault of their own, due to a change they were unaware of?

[David Linden]

The right hon. Gentleman is spot on. Several of us are looking with great interest at the ombudsman process, which has just finished stage two and will now move to stage three. I hope that the Government will change their tune on their approach to the issue of 1950s born women, because thus far many of those women in my constituency and, I am sure, in Islington North would suggest that the Government are not doing enough on that issue. He is right to put that on the record.

Before the hon. Member for Broadland (Jerome Mayhew) intervened, I was making the point that the DWP has identified a further 100,000 potential underpayments during its ongoing correction exercise, which will now take an extra year to complete. I would argue that that demonstrates that the British Government are unable to effectively run a state pension system, and makes the case for pensions being administered in an independent Scotland, and not by Tory Ministers who are increasingly using pensioners to penny-pinch.

It would be remiss of me not to touch on retirement age, which has been the subject of huge media speculation recently. It appears to be the worst kept secret in Whitehall that Ministers are expected to announce that the retirement age will be increased to 68 at some point in the 2030s, not in 2046 as previously expected. To be crystal clear, my party opposes any further increase in the state pension retirement age. Indeed, the Scottish Government, when they responded to the British Government’s review of the state pension age restated their opposition to any changes to the current timelines for increasing the state pension age. This might seem like an abstract debate, but these things have real-life effects. Recent analysis by Age UK shows that 1.5 million pre-state pension age households have no savings at all. We must therefore avoid the situation faced by the WASPI women, mentioned by the right hon. Member for Islington North (Jeremy Corbyn), who faced having to work longer with little time to replan for retirement. On the subject of WASPI women, I again make clear my support for their cause.

It is incumbent on the British Government to look at other areas of pension injustice, such as frozen pensions for those living overseas, many of whom are veterans. It is my party’s belief that that is not a sustainable situation and, though complex, it cannot be allowed to just go unchecked while pensioners languish in poverty overseas. That is certainly a unique take for global Britain.

The British Government’s decision to decline a request from the Government of Canada for a reciprocal social security agreement was a peculiar one and I would appreciate the Minister saying more about that during his wind-up speech.

The reality is that tonight’s orders will pass without a vote but this annual debate shines a spotlight on the major holes in our social security system. The UK is blessed with the sixth largest economy in the world, yet —remarkably—soup kitchens up and down these islands will throw open their doors tonight, in record number, to feed people who cannot afford to get by on state support. That poses a much bigger question which this Government have thus far been unable to answer. It is a question which many people in Scotland are concluding can only be answered with independence, because Westminster is not working and Scotland can do better—so much better—than this crumbling Union.

--- Later in debate ---

[Sir Stephen Timms]

There is a strong case for that. At the time when the benefit cap was introduced, we were told that it was to prevent people from receiving more in benefits than they would if they were working, but any relationship with wage levels has long since disappeared.

In its briefing for this debate, the Child Poverty Action Group makes the point that the increase does not undo the damage of the cap having been frozen since 2016, but

“pushes families who would be in poverty anyway into even deeper poverty.”

It points out that 123,000 households are currently affected by the cap, including 107,000 households with children. That is one reason why, before the pandemic, when the data was most recently updated, 700,000 more children were in poverty than in 2010. The case for the cap needs to be reconsidered.

I want to pick up a point that my hon. Friend the Member for Westminster North (Ms Buck) made about the absence of an uprating to the local housing allowance, which is a very big problem. The LHA will be frozen for the coming year at the level at which it was set in 2020, even though rents are rising fast. When I raised the matter with the Prime Minister at the Liaison Committee in December, he replied that the uprating in 2020 represented

“a very significant cash uplift at the time, which it is appropriate to have maintained”,

echoing the wording of the ministerial statement from which my hon. Friend the Member for Westminster North quoted.

[Jeremy Corbyn]

I agree with the Chair of the Select Committee about the rapid increase in rents, particularly in the private sector—it is huge in the big cities. Does he think that the Government should at least reflect on the need for a freeze on private sector rents, and for some serious legislation to protect the now huge proportion of our country’s population who live in the private rented sector?

[Sir Stephen Timms]

The right hon. Gentleman makes a very powerful argument that the rate at which rents are now rising is devastating household finances in many parts of the country. All the 2020 increase—the much-vaunted “generous uplift”—did was raise the local housing allowance back to the level at which it had been set at the beginning of the decade: at the 30th percentile of local rents. In other words, it was raised to a level at which it covered three in 10 of the homes of that size in each local area, so even in 2020 it was not enough to cover the rent for seven out of 10 of the homes available. Since then, it has been frozen; by the end of the coming financial year it will have been frozen for four full years.

The consequences are becoming clear. Last week, the Combined Homelessness and Information Network reported that up to 3,570 people were sleeping rough in London from October to December 2022—a 21% rise on the same period in the previous year, with a 29% increase in the number of new rough sleepers. The chief executive of Crisis said:

“It is simply disgraceful that the numbers of people forced to sleep on the capital’s streets is very nearly back to the record levels we were seeing before the pandemic.”

Zoopla data shows large shortfalls for the cheapest properties by the end of last year: the shortfall for a one-bedroom home in Southwark had almost doubled in five months to £2,630 a year, while the shortfall for a three-bedroom home in Bromley had increased by more than £1,000 in five months to £3,555. At the start of 2022, some 1.7 million people—more than one in three renters in the private rented sector—were dependent on housing support to help them with their rent. Fewer than one in 12 private homes listed last year were affordable within the local housing allowance level; that figure reduced by a third in just five months last year.

The level of support is now being frozen in cash terms for a further year. Crisis said last week that it was

“particularly concerned that the lack of social housing and the growing gap between overheating rents and the frozen Local Housing Allowance is pushing people towards homelessness.”

That is the reality of the impact of the policy, which should urgently be reconsidered. Ministers say that they are committed to ending rough sleeping, but the policy is driving an increase in rough sleeping.

I am grateful to my hon. Friend the Member for Westminster North for drawing attention to the Select Committee’s recommendation about the cap on the level of childcare support in universal credit. It is regrettable that there is nothing in the present measures that will address that, but I hope we might see something in the Budget on that front, given the cross-party concern about the inadequacy of childcare support at a time when we want to encourage people back into work.

It is a relief that a catch-up uprating is being delivered to the main rates of benefit, but we are a very long way from providing an adequate social security safety net. A large-scale repair job will be needed in the near future. There is growing evidence that disabled people are facing an especially tough time in the current cost of living crisis. Their situation, to which the hon. Member for Blackpool North and Cleveleys was right to draw attention, has to be addressed.

Most immediately, however, I urge the Minister to take another look at the local housing allowance level. Ministers say that they are committed to eradicating rough sleeping, but it does not look as though they mean it. Keeping the local housing allowance frozen for a fourth year will drive a further surge in the number of rough sleepers, as well as very serious problems for hundreds of thousands of others.

--- Later in debate ---

[Jeremy Corbyn (Islington North) (Ind)]

I am pleased that we are having this debate and that, for once, it is fully subscribed to, which is very welcome. We are dealing with issues of terrible poverty in this country, brought about by a combination of low wages, insufficiency of benefits, very high rents, and inflation driven largely by the greed of the energy companies, which are making so much money. This House needs to reflect seriously on how the fifth-richest country in the world can have more and more people sleeping rough, begging on our streets and trying to eke out an existence.

[Guy Opperman]

I am listening very closely to the right hon. Gentleman’s speech. Does he attribute any blame for the fiscal difficulties that the country faces to what Mr Putin has done in Ukraine—yes or no?

[Jeremy Corbyn]

I have not mentioned anything to do with Ukraine.

[Guy Opperman]

That’s the point!

[Jeremy Corbyn]

Could the Minister hold in his excitement for one moment? He is the Minister responsible for the inadequacy of benefits; perhaps he should reflect on that. Yes, the war in Ukraine has had an effect on global energy prices, although the effect has been bigger in some countries than others. Countries such as France deal with that by taking energy companies into public ownership to protect their citizens from the grotesque energy price increases that his Government are quite happy to mete out to the people of this country.

[Jerome Mayhew]

rose—

[Jeremy Corbyn]

No, I will carry on with my speech. The 10% benefit rise is obviously better than no rise at all. During the Budget statement, the previous Chancellor would not even answer the Chair of the Work and Pensions Committee, the right hon. Member for East Ham (Sir Stephen Timms), on whether there would be any increase whatsoever to benefits. A 10% increase is obviously an improvement on what was provided by the last Chancellor, but it does not even meet inflation. It comes nowhere near to meeting the rate of food inflation, which is running at around 15% to 16% per year. Families or individuals who rely on benefits spend a wholly disproportionate amount of their income on food and energy; better-off people spend a much lower proportion on those things. The rate of inflation for the poorest 10% of our country is far greater than the 10% or 11% figure that the Bank of England puts forward.

Many issues could be raised, and I will raise a few very quickly so that all Members who wish to speak can do so. Some years ago, a two-child benefit cap policy was introduced, which many of us were, and remain, concerned about. Those of us who represent constituencies with a considerable number of large families know that they suffer very badly. The two-child benefit cap obviously has a disproportionate effect on the largest and poorest families in our society. I would be grateful if the Minister could tell us where the morality is in saying that the third, fourth or fifth child of a family is less important than the first or second. It is a simple moral question. If we want to look after all the people in our society—I like to think that we all do—that should include all children, irrespective of the size of the family. The third, fourth, fifth or sixth child is completely unaware of where they lie in the pecking order when they are born. They find out later that their presence and that of subsequent siblings reduces income for their family. It does not seem morally right that we should pursue that policy.

The question of the benefit cap and its effect on people in our society is massive, as the Chair of the Select Committee pointed out, as did the hon. Member for Glasgow East (David Linden) and others. The disproportionate effect on people living in the private rented sector is huge. My constituency is inner-city and has a fairly large number of council and housing association properties in it. Their rents are obviously within the local housing allowance, but the vast majority of private rents are nowhere near within the local housing allowance. I was talking to someone in a hostel who was trying to find a private rented flat to move into. They tried every agency they could find; they walked the streets and scoured the newspapers and goodness knows how many websites to try to find a flat within the local housing allowance in inner London, near their school and support network, but they could not get anywhere near it.

Unless we raise or abolish the benefit cap, we have to intervene in the housing market and freeze private sector rents, so that living in the private rented sector is at least sustainable, and those living there do not have to pay part of their rent out of the benefit that they receive. What is going on is simply unfair. I would hope that the Minister would understand the issue with the cap, and the poverty that it brings for so many people in our society. In my constituency, probably more than a third of the community live in the private rented sector—there are probably more in other constituencies—and they are suffering as a result of this issue.

Another issue that I would like to raise is that of people with no recourse to public funds, and the difficulties that they face in our society. It is a bold, dramatic and strong statement when a Government announce that someone is allowed to enter the country but is not allowed any recourse to public funds whatsoever. This issue was raised two weeks ago at the Parliamentary Assembly of the Council of Europe in the context of our adherence to the Istanbul convention on the protection of women, of which the Minister will be aware. The report that we received raised concerns that in some member countries in which there is no recourse to public funds—the problem is not exclusive to the UK—women in an abusive relationship might not have settled status when their partner does. Those women are unable to gain independent security and safety, and often are unaware of the domestic violence provisions that they might be able to call on. Will the Minister look seriously at the very well thought-out report from the Council of Europe about our adherence to the Istanbul convention, which I am sure he supports? Will he recognise that no recourse to public funds affects not only the individual concerned but the wider family, if there is one?

If hon. Members talk to people who are sleeping rough on our streets, turning up at food banks in our communities or begging on tubes and elsewhere, they should ask them what their situation is. Many have been unsuccessful in their initial asylum application, but may ultimately win on appeal, and they have no access to any benefits whatsoever. They live in the most desperate poverty, are prey to crime and abuse, and can be abused and exploited by those with criminal intent in our society. Through this policy, we are creating an incomeless underclass in the major cities of this country. I know the Minister would not want that to be the case, but unfortunately the implementation of this policy leads to that.

The last point I want to raise is to follow on from what the hon. Member for Glasgow East and others have been saying about the pension level in our society, and the numbers of pensioners who are entitled to support beyond the level of the state pension but are simply unaware of it, do not know how to apply for it and do not get it. I also want to mention the women who were duped by the way in which the state pension retirement age was raised and are now living in desperate poverty—colloquially known as the WASPI women. I think they deserve justice. They were very badly treated and my friend, the right hon. Member for Hayes and Harlington (John McDonnell), certainly took their case up when he was shadow Chancellor of the Exchequer.

Pensioner households, like everyone else, are facing terrible stress at the moment from food and energy price rises. I heard from the media yesterday that the Government have no intention of continuing the energy price limitation after April, but if I am wrong on that I am happy to be corrected. The protection that exists now is only a protection relating to the 100% increase in energy prices that we have already had. If you go down any street in any poorer part of this country in the evening, you see darkness; you do not see people with their lights on. You see people going to bed early because they cannot afford to heat their home. This is real. Children in the poorest households are underfed and they are cold because their homes cannot be properly heated. Many elderly people are huddling in libraries during the day just to try and keep warm. Is this really a sensible or fair way of going on? Other Governments, including the French Government, have intervened to try to control the energy market and ensure that energy price rises do not get to the levels they are in this country. Our Government are not prepared to do that.

This benefit uprating will no doubt go through this evening, but all it does is meet the headline of inflation that the consumer prices index set last year. What we need is something much more bold, with much more intervention, that recognises energy price rises, food price rises and the enormous rent rises in the private rented sector. Those are the biggest drivers of poverty in our society.

--- Later in debate ---

[John McDonnell (Hayes and Harlington) (Lab)]

I want to raise three issues briefly; some of this has been covered already but I want to reiterate some of it and go into more detail. The first is the benefit cap. The second is the triple lock. The third is the carer’s allowance, where I follow on from the hon. Member for North East Fife (Wendy Chamberlain).

This debate is primarily about the increase, but in the past these debates have been used to try to shape the debate on social security for the future. Much of what I say, therefore, may be aimed at the Government, but now that the Select Committee has announced its inquiry, part of it is aimed at the agenda for that inquiry.

Those of us who were in the House when the benefit cap was introduced will know that it was born in an era when the debate on poverty had descended into definitions of “skivers” and “strivers”; it was almost a reversion to the language of the Poor Law. We knew what impact it would have and we knew the numbers affected would increase rapidly. Just over 70,000 were being impacted at the start but, as my right hon. Friend the Member for East Ham (Sir Stephen Timms) said, this rose to 120,000 and above. The cap hit some areas in particular, including London constituencies. I am a London MP and I know that 44% of those affected are in London. It hit the black, Asian and minority ethnic community in particular; it has hit eight out of 20 from the BAME community, yet they represent three out of 20 in the population overall, so this was discriminatory.

[Jeremy Corbyn]

My right hon. Friend is making a strong point. Does he agree that the cap has also been a major driver in forcing working-class communities out of inner-city areas, where there are now huge levels of private landlord speculations going on?

[John McDonnell]

I hope that Conservative Members and others who may not have had the experience of this recognise how it has affected our communities. I do not use the word lightly, but some of us have experienced what are almost forms of social “apartheid” within our communities, where certain sections of housing are no longer available to working-class people. In some instances, fenced communities have developed as a result. I highlight reports of what happened in my constituency as regards the Ballymore housing development.

I come back to the point that my right hon. Friend the Member for East Ham made, which is that the cap has had an impact on a large number of children, with the last calculation being 308,000; 70% of the people affected are single parents. As he said, this pushes people into deep poverty. I was looking at the figures and they show that the average capped household with two children is now £150 a week below the Government’s own poverty line. Scrapping the cap would increase benefits to them by an average of £65 a week; the cost would be £500 million, which is 0.2% of the total spending on social security. A marginal increase in the efficiency of tackling tax avoidance, an increase in national insurance beyond getting rid of some of the limits at the higher levels—that would easily pay for this marginal improvement but would have a dramatic effect on the living standards of so many people.

I campaigned against the breaking of the link between pensions and earnings when Mrs Thatcher introduced it, so I wholeheartedly welcomed the triple lock when it was introduced by a Conservative Government and I made that point in this House. I regretted bitterly, however, that the Government broke their pledge last year, because once the link was broken, a debate was opened up among some Members about the triple lock being no longer necessary. I am hoping that the statement about social security and pensions today reaffirms the message across the House that the triple lock is here to stay.

When we look at the figures, we see that one in five pensioners is in poverty; 2.1 million older people are in poverty; they get £40 a week less than the Government’s own poverty threshold; 1.3 million older people are now categorised as suffering forms of malnutrition; and we have always had a high level of excess deaths in winter among older people, with on average between 25,000 and 30,000 dying unnecessarily. I looked at the figures showing what has happened since the break with earnings. The proportion of those people living in severe poverty is five times higher than it was in 1986—we have had the largest increase in western European countries. So I make an appeal to Members from across the House. The triple lock was a major reform, and I thought we had built consensus on it. It should not be in any way undermined in the future.

I think the triple lock should apply to all benefits, and I hope the Select Committee will have that debate. I asked the House of Commons Library to give me the figures on what would have happened to carer’s allowance if the link had been kept since the 1980s. It is now at £76.75 but it would have been £146.42. Invalidity benefit is now £130.20, but it would have been £233.55. If we look at unemployment, we see that jobseeker’s allowance is now £84.80 but it would have been £185.49. There is a moral argument for maintaining the protection of benefits over time and trying to build consensus across the House on that, in the same way in which it was eventually built on the triple lock for pensions.

Finally, let me touch on carer’s allowance. I have been chairing meetings of unpaid carers or informal carers, as they describe themselves, over the past 18 months, and I just want to get the stats on this out there. I pay tribute to what the hon. Member for North East Fife has done with her legislation and the campaign she has waged. Some 8% to 10% of the adult population are informal carers; two thirds of carers are in employment—that is the whole point here; six in 10 of those who are caring for 35 hours a week or more are workless, which is three times the rate of those caring for less than 20 hours a week; and about 25% of informal carers are living in poverty, according to the Joseph Rowntree Foundation’s latest figures. Another figure, which I believe she has quoted in the past, is that it is estimated that unpaid carers across the UK provide £135 billion-worth of caring in our society, and that largely falls upon the shoulders of women. It is now time to recognise the significance of the role that these carers play and the fact of the poverty they live in.

As for Northern Ireland, the Carer Poverty Commission was established last month and it is chaired by Helen Barnard of the Joseph Rowntree Foundation. Research from Carers Northern Ireland showed that nearly one in three unpaid carers in Northern Ireland were struggling to make ends meet, with one in four cutting back on essentials such as food or heating just to get by. I believe the situation is exactly the same across the UK for carers.

Let me make this suggestion: the unpaid carers I have met say that, like everybody else who works, they should be paid a living wage. They should at least get the minimum wage so that they can get by. At the very least, let us take the first step in that direction, which would be to recognise that maternity allowance is paid so that people can care for a child. Perhaps carer’s allowance should at least go up to the level of maternity allowance. If we can increase carer’s allowance in that way, it will enable at least some of those informal carers to be lifted out of poverty. I put that suggestion on the table for the Government to debate and for the Select Committee to look at as well.

As the WASPI women have been mentioned, I cannot help but do so too. This is an injustice that needs to be redressed, and it needs to be redressed soon, because many of the women who were affected are now late in life. We have already lost some of them, and many may not live long enough to see the recompense that they deserve. However, I fear that those who are placing their hope in the ombudsman’s assessment will be sorely disappointed by the levels that are recommended. If that is the case, I commit to returning to the matter on the Floor of this House to make sure that the campaign continues and succeeds.