Housing Benefit (Wales)

Jessica Morden Excerpts

Thursday 1st May 2014 Westminster Hall

[Jessica Morden (Newport East) (Lab)]

I agree with other Committee members, who were kind of schmoozing the hon. Member for Monmouth (David T. C. Davies), congratulating him on how he chaired the inquiry. I should mention, in fairness to him, the lovely, careful, measured way in which he spoke today, in his capacity as Chair of the Welsh Affairs Committee—apart from the end part of his speech.

A year on from the bedroom tax, which is what I will mostly be talking about, this is a welcome opportunity to consider whether that controversial policy, which has caused so much hardship among my constituents, is working out. I am aware that I have a Privy Counsellor next to me, lining up to speak, and that we do not have much time. This is an important opportunity that allows us as much time as possible to press the Minister on how many of our report’s recommendations he has followed through—few, I suspect, if not none, but I will welcome being corrected at the end if I am wrong.

We need to know more about how the Government are monitoring this measure and how it is working in practice. Although I know, anecdotally, that housing associations, tenants, constituents and tenants associations are struggling, it is important that we hear from the Government what they are doing to monitor the situation.

The situation is different in various parts of Wales. The hon. Member for Montgomeryshire (Glyn Davies) said that 600 households in his constituency were affected. In Newport, the figure is more than 2,000. In my part of the Monmouth council area, which I share with the hon. Member for Monmouth, I suspect that a higher proportion of people are affected by the bedroom tax than in his area. It is hitting my constituents harder.

It is worth labouring the point and saying that we, as a Committee, decided to consider this matter because Wales is hit hardest. We heard earlier that more than 40,000 tenants could be affected—46% of working age tenants in Wales, the highest proportion of any region in Great Britain, where the average is 31%. The evidence that we heard in the inquiry, as most hon. Members have mentioned, was that, because our housing stock is different, there would be a lack of sufficient one and two-bedroom homes available in Wales to ensure that everyone who wanted to be re-housed could be.

Obviously, the Government’s two stated aims were to save money and to make the most efficient use of housing stock. In the numerous debates that we have had on this subject in the past year, we Opposition Members have mentioned real, hard cases, showing how the bedroom tax has hit disabled people who have had adaptations done to their homes, divorced parents who have their children to stay at the weekend and want to maintain that relationship, and people who just cannot afford to stay in their home and community, because they cannot afford to pay extra.

Clearly, the Government ignore the real impacts of these cases that we have repeatedly raised with them and always respond with the usual battery of figures. I make no apology for talking about just a few cases that have been brought to me, because, after all, if we do not know what is happening on the ground, we do not know how this policy is panning out.

In one case recently, a mother and her 30-year-old disabled son were desperate for him to be able develop his independence. An appropriate adapted property was being found for him, but the mother would then have been hit by the bedroom tax. She had no means of paying the extra money and no hope of moving to a smaller property.

I have seen numerous divorced parents at my constituency surgery, whose kids come to stay with them on weekends and during the holidays. Recently, a man had been laid off from his job, with no ability to pay the extra money involved. He was aghast that he should take in a lodger, as the Government suggested, because that would mean that his children would have nowhere to sleep when they came to stay. A woman called up, horrified, when she realised that she and her 11-year-old son who has severe autism would be penalised for the sensory room, recommended by the paediatrician, that was essential for him.

It is no surprise that Newport and Caldicot citizens advice bureaux, which I visited over Easter, and the food banks, report that the benefits changes, including the bedroom tax, are the biggest issues that people want help with. Are people moving to smaller properties and is that leading to a greater use of housing stock? No. As my hon. Friend the Member for Vale of Clwyd (Chris Ruane) mentioned, according to figures obtained by the BBC, only 6% of tenants affected have moved. As has been mentioned, we identified in our report that a lack of sufficient one and two-bedroom properties is a particular issue in Wales. The Joseph Rowntree Foundation found that, by November last year, 22% of those still affected by the legislation remained registered for a transfer or mutual exchange.

Housing associations are being creative. Newport City Homes is trying to be innovative. It has been forced to change its policy for housing previously designated for over-60s. That has had a knock-on effect, causing anxiety among elderly residents in settled communities. It is a difficult change.

What is happening to those who cannot move? The National Housing Federation has found that two thirds of households affected cannot find the money to pay up and arrears are stacking up. Last year, I researched housing associations in Wales and discovered that there had been a 51% increase in rent arrears for those affected by the bedroom tax. Figures from the Community Housing Cymru sector survey show that the bedroom tax has led to rent arrears of more than £2 million. It estimates that that means that the financial capacity to build 1,000 affordable homes has been lost in Wales.

Bron Afon housing association—I apologise to my right hon. Friend the Member for Torfaen (Paul Murphy) for always mentioning that housing association in his constituency—said that coping measures to deal with this will

“eat into money that would otherwise be used to build houses”

and that housing associations will have to

“divert more money to survive rather than develop”.

Wales and West Housing Association has conducted research into the impact on disabled people and the cost of adaptations. It says that it would cost the public purse some £40 million to adapt smaller properties and that that

“makes no financial sense whatsoever as it could wipe out the potential savings in housing benefit for many years”.

The Committee heard evidence that people’s moving to the private rented sector would be a more expensive option in many areas. According to the Library, the amount of housing benefit paid to private landlords would rise from £7.9 billion to £9.4 billion.

I know first hand that tenants and housing associations are struggling. I should like the Minister to explain how he has addressed the recommendations in our report: specifically, whether and how he has monitored how hard it is for local authorities and housing associations to find smaller accommodation; how the Government have monitored the cost of accommodation in the private rented sector, as we asked in the report, following the introduction of this policy; how he has monitored the impact on disabled people and the cost of their adaptations; and how direct payments, which no hon. Members in this debate have had much time to touch on, are monitored.

I hope that, given the time available, there is a chance for the Government to provide us with a substantive response on these issues.

[Mr Clive Betts (in the Chair)]

Order. We are constrained for time. We need to get to the end of this debate by 3.30 pm and four Opposition Members want to speak: Paul Murphy, Madeleine Moon, Geraint Davies and Huw Irranca-Davies. The Front-Bench spokesmen need 10 minutes each, so there is 10 minutes for the four of you. That is not very much time, but if you can manage that between you it would help to let everybody in.

Personal Independence Payments (Wales)

Jessica Morden Excerpts

Wednesday 9th April 2014 Westminster Hall

[Jessica Morden (Newport East) (Lab)]

I congratulate my hon. Friend the Member for Clwyd South (Susan Elan Jones) on securing this very important debate and on an excellent contribution that clearly laid out the difficulties that people in Wales are experiencing with PIPs.

The difficulties with the PIP process are all the more excruciating to witness—let alone go through—because in all the debates we had over the work capability assessments in the past, Ministers were repeatedly asked how they would ensure that the PIP process was fit for purpose. I certainly asked, and the reply from the then Minister, the right hon. Member for Basingstoke (Maria Miller), was that we should not worry. She said that the Department was working with more than 50 disability organisations and that

“we will ensure that it is very much fit for purpose.”—[Official Report, 24 October 2011; Vol. 534, c. 22.]

Clearly, that is not the case.

Like my hon. Friend the Member for Wrexham (Ian Lucas) I want to say to the Minister, please do not underestimate the very real, palpable fear out there about the change from the disability living allowance to PIPs. That was brought home to me by a constituent called Richard, who has cerebral palsy. He has a range of care needs and has been fretting about this process for about a year. I know that he will get PIPs almost automatically, but although I have repeatedly tried to reassure him through my office and through the agencies that work with him, he is still extremely stressed about it. I say to the Minister that that is the backdrop we are working with. There have been repeated changes to the welfare system that are hitting people in multiple ways, and it is terrifying for people.

I am not alone in seeing constituents who are experiencing lengthy delays at every stage of the PIP process. They are waiting for the forms from the DWP following the part 1 process on the telephone. A lot of constituents are having difficulties with the part 2 forms. If those are not returned, it seems that people fall out of the system, which seems to be a particular problem for people with mental health issues. If they just cannot cope with the part 2 form, what happens to them? I know that they are supposed to be followed up by Capita, but that does not seem to be the case.

People are then waiting months for an assessment. When they finally have one, it takes an inordinate amount of time for Capita to process the assessment, generate a report and hand it over to the DWP for the decision. That was confirmed by Newport citizens advice bureau, which has had more than 30 cases waiting for about five months for a decision and two cases waiting for seven months. It also puts an extreme strain on advice workers, who are already struggling with cuts and struggling to be able to support people. They are finding that doing so is a great difficulty.

I saw a woman who had to wait seven months for her decision. We only got the decision after an intervention from my office, and I dread to think how long it might have taken otherwise. That was seven months of stress and anxiety—Capita apologises for the delays, but it is not good enough. Like my hon. Friend the Member for Clwyd South, I saw another lady who applied in July and was not assessed until November, and in one phone call to Capita she was told that if she wanted to speed things up or wanted any progress to be made she should contact her MP, which is clearly ridiculous.

In addition to the delays, a lot of paperwork, including important reports, seems to be lost between Capita and the DWP. There are call centres with no named contact, so people are repeatedly calling back and are not able to get to anyone who understands their case, and there is poor communication. All in all, it is an infuriating experience for the constituent.

I know that the Government will say that there are teething problems, but as today’s debate shows, it is important that the Minister realises some of the consequences that the situation has on people’s lives. A constituent of mine had to rack up debt on credit cards and sell his car while waiting for his wife’s claim to be processed. He happened to be a taxi driver, so you can imagine the financial strain that has put the family under, Mr Owen. Another constituent was left in debt as she waited for her claim to be processed. She had direct debits and no money in her account, and she now has bank charges to cope with. We are not helping people to lead independent lives; they are often having to rely on other people to bail them out during the process.

As my hon. Friend said, a representative from Capita met Welsh MPs last week and admitted that the key assumptions in its business case had been wrong. They said that the face-to-face assessments took two and a half hours, not one hour. It took longer to train assessors than they thought, and to the Minister’s credit, he and other Ministers have admitted delays at their end, too. This week, we heard in Wales that DWP civil servants will be drafted in to help process the applications. I welcome both the fact that the Department will help out and the recommendations from the Select Committee on Work and Pensions that the Department closely examine its systems. I particularly urge the Minister to look for Wales to delay the roll-out until the backlog has been cleared. That is crucial, particularly in Wales, where we have so many DLA recipients.

I know that the Minister has admitted that all is not well, but it would be helpful if he could say in his winding-up speech how much of what has happened is the DWP and how much is Capita, because there are delays at both ends. What is the backlog in Wales currently? If we are moving to paper-based decisions in Wales in future, which perhaps might be piloted in Wales, can we at least understand that there will not be further difficulties with that process and get assurances from the Minister on that point?

Oral Answers to Questions

Jessica Morden Excerpts

Monday 24th February 2014 Commons Chamber

[Steve Webb]

I refer my hon. Friend to the written statement that we issued today, which confirms precisely that we will shortly bring forth our announcement, and that we will see through our agenda during the course of this Parliament.

[Jessica Morden (Newport East) (Lab)]

12. What assessment he has made of the effectiveness of the implementation of personal independence payments.

[The Minister of State, Department for Work and Pensions (Mike Penning)]

Personal independence payments were only introduced nationally for new claims in June 2013, and reassessment of existing disability living allowance claimants is being gradually implemented from October 2013, so we are at an early stage. However, the process is taking too long—I accept that—and, working with officials, I am pushing through an agenda to change that.

[Jessica Morden]

Newport citizens advice bureau has assisted many clients with applications for PIPs, and has reported that most decisions take about five months, but some people have been waiting for a decision since July. There are serious delays at both the DWP and the Capita end, although we were assured by previous Ministers that the PIP process would be fit for purpose. Does the Minister accept the stress and hardship that that causes vulnerable people, and why has it taken Ministers so long to get to grips with the problem?

[Mike Penning]

The reason we are phasing the measure in is to make sure that we get it right. There are internal DWP processes that are taking too long. The assessment is taking too long, and it is also the case that some claimants are taking too long to return the forms that have been sent to them. We are working on this with both providers, and we will get there.

Atos

Jessica Morden Excerpts

Wednesday 12th February 2014 Westminster Hall

[Mr Mark Williams (Ceredigion) (LD)]

I am grateful, Sir Roger, for the opportunity to begin my speech a few minutes early, because I hope to participate in Welsh questions in the main Chamber later. I thank the Minister for his co-operation.

I am not unique in having concerns about the work of Atos. I am sure that there is such concern throughout the country. Last year citizens advice bureaux helped with some 450,000 problems to do with employment and support allowance, and 58,000 of those related to work capacity assessments carried out by Atos. Some 94,000 cases related to appeals. The Department for Work and Pensions is currently retendering for new contracts, and I hope that as part of the process the Minister and the Department are examining some of the failures of past contracts. Above all, I appeal to the Minister—he is a Minister who listens—to ensure that whatever conclusions are reached, and whoever gets the contracts, they will be held to account for poor quality assessments and bad customer service. That is the reason for the debate, and I shall give examples—I hesitate to use the word “anecdotes”; many Members of Parliament have constituency experience of the problems.

I am concerned that Atos may not be asking the right questions, and I encourage DWP to introduce regular independent scrutiny of its customer satisfaction surveys. It has asserted that 85% of clients are satisfied with the assessment process, but I question that figure. Citizens Advice has long-standing concerns about the accuracy of work capacity assessment reports provided to DWP as part of the Department’s decision-making process. Citizens Advice asserts that two thirds of reports have a medium level of inaccuracy, and that 40% have had a serious lack of accuracy, which could lead to the wrong decision being made. Those concerns are not confined to the issue of ESA; they could be replicated with respect to personal independence payment assessments.

[Jessica Morden (Newport East) (Lab)]

Does the hon. Gentleman see the stress that multiple processes cause to people who are battling against serious conditions, such as the constituent I recently saw who has severe epilepsy? She waited months for a tribunal on a work capability assessment, and she won; but in the meantime, she lost her disability living allowance. She appealed and while she was waiting had to put in a claim for PIP, and is still waiting for a decision. I know that that is not all because of Atos, and that there is another debate to be had about Capita; but does the hon. Gentleman often see, as I do, people who are coping with worry and stress because of the system, in addition to their illness?

[Mr Williams]

I thank the hon. Lady for that intervention, which she had notified me she wanted to make. She talked about multiple processes, and she is right; in particular she is right about the delays and the anxiety they cause.

There are reports of some disabled people waiting more than six months for face-to-face assessment; scheduling problems; last-minute cancellations; and difficulty in getting to assessment centres. I represent a large rural constituency in the west of Wales and access to assessment centres is a critical matter. We must factor in the lack of public transport and people’s difficulties in getting to their interviews.

That should all be seen in the context of the fact that many claiming benefit are doing so for the first time, after experiencing a catastrophic, life-changing event such as an accident, the sudden onset of disability or the deterioration of an existing condition. They face an urgent need for support, given the sudden extra costs. Everyone in the Chamber acknowledges that delay is unacceptable, although of course new systems have teething problems. I should emphasise, however, that not one of us, of whatever political persuasion, has a monopoly on empathy with the problems, which are understood by the Government, the Opposition and all parties. Nevertheless, I question the capacity of existing providers to carry out the work. The Minister is in a difficult position, because the tendering process is being embarked upon, but I hope that he can allay my fears.

I sought the debate because of the increasing numbers of constituents who are coming to my surgeries, writing to me and e-mailing me, and are facing the stress and anxiety of going through work capability assessments carried out by Atos for the DWP. That is perhaps inevitable given the increased pace of assessments but, as a result of, some would argue, the inappropriate system and process, many of our constituents are told that they do not qualify and are indeed fit for work. The constituent then appeals, but can be left in a state of limbo while this process takes place—delays take months or even years. One of my constituents had an assessment two years ago, but the case is still not resolved.

In response, local agencies such as Jobcentre Plus, Citizens Advice and the DWP itself have been advising my constituents to contact me to assist with their appeal or the speed of their claim. I would never turn a constituent away on any bit of casework, however big or small, because that is our duty and our function, and I am supported by excellent staff here in London and in Aberystwyth, so we will help in any way. There is something wrong, however, if DWP staff are themselves referring people to their MP. In one case, a DWP member of staff told my constituent to contact me to complain about the service. As such, it is my duty to bring these matters to the Minister’s attention.

Oral Answers to Questions

Jessica Morden Excerpts

Thursday 30th January 2014 Commons Chamber

[Mrs Grant]

I welcome London’s incredible success in attracting so many visitors. It is important for that success to continue. The Government promote the UK, including London, through the GREAT campaign, which has just received a 49% increase in funding from the Chancellor.

[Jessica Morden (Newport East) (Lab)]

A family contacted me recently about their mother who had become addicted to online bingo and had gambled away tens of thousands of pounds. They asked me to highlight to Ministers not only the issue of daily limits, but just how hard it was, with the mother’s permission, to close these accounts, with bingo operators repeatedly trying to hook her back in with offers and emails. Will the Minister look at the issue?

[Mrs Grant]

I am happy to look at all issues of this nature but I remind the hon. Lady that the remote gambling Bill will require all operators selling online gambling to British consumers to hold a Gambling Commission licence and to comply with conditions that include having policies, procedures and practices to promote socially responsible gambling.

Food Banks

Jessica Morden Excerpts

Wednesday 18th December 2013 Commons Chamber

[Jessica Morden (Newport East) (Lab)]

I was e-mailed last Friday by a woman in my constituency who asked me to attend this debate. She said:

“I would ask if you could attend to represent the poverty and daily struggle that can be found in our area. I am writing as a former user myself of the food bank which at the time was a life-saver for me. At the beginning of this year, the DWP sanctioned me for six months due to an administrative error, which I did not ever receive a written apology for. I had to live on £27 a week for six months until my support worker found out and helped to get me back on my feet. I am not a waster or a shirker but having to receive food parcels because you have nothing in your cupboards is embarrassing for anyone. I also know people who work as hard as they can but because of low wages can’t manage.”

That was powerfully put. If the Minister listens to nothing else today, I hope she listened to that.

It is fair to point out that food banks are not new in this country. When I was elected, there were two in Newport—the Ravenhouse Trust and the King’s Church—and they did an amazing job.

[Alison Seabeck (Plymouth, Moor View) (Lab)]

I thank my hon. Friend for giving way. Is she slightly shocked, as I am, that there is not a single DWP or DEFRA Minister now sitting on the Front Bench?

[Jessica Morden]

I thank my hon. Friend for that valuable intervention, which speaks volumes.

The difference is that, back then, when I first went to meet volunteers packing food hampers, the number of people receiving them was much smaller. Predominantly, in that dispersal area, the people receiving them were asylum seekers, people with drug and alcohol problems and homeless people. I am glad that the food banks were there, because those recipients were badly in need of our help. However, there are now four food banks operating around Newport; recently, we were joined by the Caldicot food bank and the Trussell Trust. That now has four satellite distribution centres. In Newport, there is a mixture of independent and Trussell Trust food banks. They all work together and they all say exactly the same thing: there has been a phenomenal increase in demand over the past year or two. They have seen a large number of working families on low incomes in need, and a marked increase in referrals from the DWP and jobcentre staff because of the bedroom tax, sanctions and other benefit changes.

[Natascha Engel (North East Derbyshire) (Lab)]

The food bank in Chesterfield that opened six months ago has reported that 50% of people presenting to the food bank are there because of benefit changes and benefit sanctions and because the DWP has really messed up. In what way is that not the responsibility of the DWP and the Government, who are actively forcing people into food banks?

[Jessica Morden]

My hon. Friend is right. I wish there were a DWP Minister present so that they could hear her point.

The depressing Wales-wide figures from the Trussell Trust show that, in 2010-11, it supported 4,070 individuals in Wales. This year, just from April to November, it has supported 44,756. As my right hon. Friend the Member for Torfaen (Paul Murphy) said, it expects that figure to rise to 60,000 by the end of the financial year. Those figures are from the Trussell Trust and do not include figures from the independent food banks.

The unmistakeable message that I have been told time and again is that there has been an explosion of working people using food banks. Unemployment may be down, and I definitely welcome that, but the use of food banks by working people has dramatically increased, which should tell the Government something.

Whatever the Secretary of State for Work and Pensions says, the truth is that the proportion of people using food banks as a result of benefit changes is sharply increasing. The Government have shamefully—and it is shamefully—altered the form used by Jobcentre Plus staff when referring clients for food parcels by taking off the tick box that records that they are referring them because of benefit changes. No wonder the Secretary of State can play down the fact that benefit changes are driving the increase in demand—he has stopped his staff collecting the data that prove it.

I thank all those involved in food banks for the work they do in my constituency, not least our churches, which are also running night shelters, and the street pastors. They should be praised for the work that they do. I also thank King’s church in Newport, which partners with FareShare to reduce food waste and feed people at the same time, and businesses such as Newport Bus, which has been collecting for Ravenhouse this Christmas.

[Mrs Moon]

Does my hon. Friend also wish to thank those people who are donating to the food banks? Today, my office took a phone call from someone who said that they had won a food hamper in a raffle. They cannot eat that food knowing that people are starving, so they are taking the hamper to a food bank.

[Jessica Morden]

I thank my hon. Friend for her valuable contribution. We should thank those who give to food banks.

However raucous the debate and however characteristically chippy the Minister's response, it is worth reminding ourselves about the people behind the figures. Two young boys came into a Newport food bank recently with their social worker and asked whether they could have one packet of cereal and one packet of drinking chocolate as a treat. Sad stories, real lives.

Housing Benefit

Jessica Morden Excerpts

Tuesday 12th November 2013 Commons Chamber

[Jessica Morden (Newport East) (Lab)]

Thank you, Mr Deputy Speaker.

The bedroom tax hits Wales the hardest, which is why it is good to see so many Members from Welsh constituencies on the Opposition Benches; I see that, on the Government Benches, Wales is represented by the lone voice of the hon. Member for Monmouth (David T. C. Davies).

[Barbara Keeley]

Will my hon. Friend give way?

[Jessica Morden]

I will.

[Barbara Keeley]

I thank my hon. Friend, but it is a pity that the hon. Member for South Derbyshire (Heather Wheeler), who put questions to Labour Members, did not let any of us intervene. In my constituency, 280 households affected have been able to move—close to the hon. Lady’s 318—but 85% of affected households, which means 4,500 in Salford, cannot move. The hon. Lady should think a bit more about those figures: 300 is nothing in comparison with the work load of Opposition Members.

[Jessica Morden]

I thank my hon. Friend for her intervention, and she is exactly right. The bedroom tax particularly hits people in Wales—a point to which I shall return. The policy affects proportionally more housing benefit claimants in Wales than elsewhere in the UK, with 40,000 households affected by the bedroom tax—46% of working-age social housing tenants, when the UK average is 31%, and 25,000 of those have a disabled person living in the household. These are huge figures.

A little under a year ago, social housing tenants in my constituency received their letters telling them that, thanks to this coalition Government’s changes, they would have to pay more rent or move home—that is effectively their choice. Opposition Members warned then of the terrible impact the bedroom tax would have on some of our most vulnerable families, and of the fear and uncertainty it would bring. I hope the Minister does not underestimate in any way the palpable fear and anxiety felt out there among the disabled communities and families with small children.

[Mrs Moon]

Does my hon. Friend also appreciate the humiliation and the distress caused for many people with disabilities who have been forced to claim the discretionary housing payment? They have to fill in several pages of a claim form—the claim will often last only for six weeks—detailing, for example, how often they wet the bed, how often they need the bedding changed, how often they put the heating on, and so forth. That is a personal invasion, which they found humiliating.

[Jessica Morden]

I thank my hon. Friend for that intervention. That is not the only process they have to go through, either. The cumulative effect of the Government’s different benefit changes, particularly on disabled people, makes things all the more arduous for them.

The warning from Opposition Members was that far from saving money, this policy could end up costing money. The warning was that the very notion of tenants moving to smaller homes was clearly absurd, as there were nowhere near enough smaller properties for them to move into.

[Lilian Greenwood (Nottingham South) (Lab)]

Does my hon. Friend recall the Government’s 2012 impact assessment, which said:

“Estimates of Housing Benefit savings are based upon the current profile of tenants in the social rented sector, with little tenant mobility assumed. If a significant number of tenants wished to move, this would reduce direct savings and place extra demands on social landlords.”

Does she agree that this confirms that the Government’s real intention was to balance the books on the backs of the poor and vulnerable?

[Jessica Morden]

I thank my hon. Friend for that intervention. It is clear that the Government will save money only if people stay put and pay up, which is the fundamental point.

The shortage of housing is no more acute than in Wales, where traditional three-bedroom properties predominate and there is a huge shortage of smaller social properties. Again, the warning back then was that discretionary housing payments were not enough to help the disabled and that housing associations would be left with a burden of debt, and unenviable choices.

All those warnings were ignored by the Government coalition parties. Government Members said that debates such as this one were characterised by exaggeration, that we were painting too bleak a picture and that our predictions were inaccurate. Tragically, those predictions were not wrong.

All Members have constituency cases to quote, so here are just a few of mine from the last couple of weeks. The mother of a disabled child who up to now used the third bedroom as a sensory room for her autistic son, as recommended by a paediatrician, is now struggling to find the extra rent. A divorced father whose two sons normally stay with him during the summer months has had to move because he cannot afford to keep his current home and will no longer have that access to his children. The largest group is the numerous families with disability adaptations to their properties who have no prospect of being moved to smaller accommodation that fits their needs because it would cost far too much to adapt the new properties. It is now clear that the financial “assistance” provided to already cash-strapped local authorities is not enough, as I see every day in my case work.

[Lucy Powell]

Will my hon. Friend give way?

[Jessica Morden]

I would love to, but I am running out of time.

Local housing associations are working hard and using their creativity, doing their best to lessen the impact. From the work I see in my constituency, I realise that they know their tenants and have been in contact with them in the years preceding this situation. The simple fact remains that the vast majority of people hit by the bedroom tax have nowhere to move to within existing social housing provision.

A BBC Wales report earlier this year found four local authorities in Wales, including Monmouthshire, had no one-bedroom properties at all. In Wales, Shelter Cymru has argued that the chronic shortage of one and two-bedroom properties will drive many households into the private rented sector, where the local housing allowance for smaller two-bedroom properties outstrips the rents of three-bedroom social property. The difference is as much as 46% across Wales, and in Newport private rents are 36% higher. One Gwent housing association pointed out that every single private rented property is more expensive than the social rented property.

More damningly still, over the summer my office conducted some research on housing associations in Wales, showing that more than 50% of affected housing association tenants previously not in arrears—these people were always up to date with their rent—have now been plunged into debt and fallen behind on payments, with housing associations in Wales shouldering over £750,000 of extra debt. These are people who were up to date with their rent before April. When even the hon. Member for Monmouth commenting on the Welsh Affairs Select Committee report admitted publicly that the bedroom tax is simply not working in Wales due to the dearth of smaller properties, we know just how badly judged this policy is.

The bedroom tax is a bad and cruel policy. It is forcing people who cannot move into debt. I am thus very pleased that my right hon. Friend the Member for Doncaster North (Edward Miliband) tabled the motion before us today.

Oral Answers to Questions

Jessica Morden Excerpts

Monday 1st July 2013 Commons Chamber

[Esther McVey]

I am not aware of any specific advice that is given about people with organ transplants, but I do know that our disability employment advisers have in-depth knowledge and help people with all disabilities.

[Jessica Morden (Newport East) (Lab)]

10. What assessment he has made of the operation of work capability assessments; and if he will make a statement.

[The Minister of State, Department for Work and Pensions (Mr Mark Hoban)]

The work capability assessment is aimed at ensuring people out of work through ill health or disability get the support they need. It is under regular review and today the call for evidence for the fourth review is being launched.

[Jessica Morden]

In recent weeks, it seems that more of my constituents have been put in the work-related activity group without even having a face-to-face assessment. Will the Minister confirm whether the use of discretionary powers is increasing and will he reassure me that that is not a case of cutting corners to clear a backlog?

[Mr Hoban]

It depends on the information provided and if claimants are providing good-quality information through the ESA50, they can be referred without a face-to-face assessment. I would also point out that the proportion of people going into the support group has increased in recent times, particularly as a consequence of not using face-to-face assessments.

Oral Answers to Questions

Jessica Morden Excerpts

Monday 20th May 2013 Commons Chamber

[Steve Webb]

My hon. Friend makes an important point. We need local authorities and social landlords, with which we have been working, to alert tenants to the fact that over £150 million has been made available to local authorities this year to help individuals in hard cases.

[Jessica Morden (Newport East) (Lab)]

Monmouthshire council has allocated over a third of its £121,000-worth of discretionary housing payments in the six weeks since the bedroom tax came in. Given that the demand and the need is so high, does the Minister really believe that the Government have given enough money?

[Steve Webb]

It was always the case that there would be high demand at the start of the year, because unlike other discretionary housing payments that arise randomly through the course of the year, this will apply for the whole year. We expected and planned for a higher rate of demand at the start of the year. We do keep these things under review, of course, and we are in close contact with local authorities in Wales to monitor the early implementation of this policy.

Housing Benefit (Under-occupancy Penalty)

Jessica Morden Excerpts

Wednesday 27th February 2013 Commons Chamber

[Jessica Morden (Newport East) (Lab)]

I want to begin by talking about the impact of the bedroom tax on Wales and my local area. I say “bedroom tax”, but I note that the Minister has renamed it during the course of this debate as the “spare room subsidy”. That sounds a lot better, and I am sure that that will be of great comfort to those facing it in April.

The hon. Member for Banff and Buchan (Dr Whiteford) described in her excellent contribution how this provision is just part of an accumulative effect that is hurting the vulnerable. I want to mention the case of a couple I met during the recess when I was knocking on doors in my constituency. They have been hit not only by the bedroom tax, but by other things as well. They had worked all their lives. The husband used to be a driver, but he was hit by rheumatoid arthritis and had his driving licence revoked. He has, therefore, been unable to work, not least because, as he showed me as I sat in his kitchen, he cannot hold a mug for any length of time. He was moved off incapacity benefit on to employment and support allowance, and was then incorrectly put in the work-related activity group on reduced benefit.

The husband’s benefit and that of his wife were reduced as he waited for his appeal, which took eight months to come through. He won it, then two days later he received another letter from Atos telling him to go back for a work capability assessment. In the meantime, because the couple’s income had dropped, they were forced to claim housing benefit and received a letter telling them that they would be liable to pay the bedroom tax in April. Luckily, the husband had won his appeal after an eight-month wait, so he thought that that might help but, on top of everything, his wife, who had worked in a manual job, was diagnosed with myelopathy. She had hoped to retire this year, but will now have to work another three years because of the Government’s changes to women’s pensions. To cap it all, this couple’s experiences with the work capability assessment mean that they are now absolutely terrified of the personal independence payment, particularly the mobility component, which may lead to them losing their mobility vehicle.

I hope that the Minister does not in any way underestimate the palpable fear and anxiety among the disabled community. This couple worked all their lives until illness hit them later in life and they now find themselves hit on all fronts when they need a safety net. The Government’s replies are doing nothing to allay their fears.

Advice services, which are themselves being hit hard and cut, are also experiencing anxiety, as are housing associations and local authorities, which in my experience locally are working extremely hard to try to mitigate the profound effects of the bedroom tax.

Nationally, as we have heard, 31% of housing benefit claimants of working age in the social rented sector will be affected. As the shadow Welsh Secretary, my hon. Friend the Member for Pontypridd (Owen Smith), has said, in Wales that figure is 46%, with the Department for Work and Pensions estimating that 40,000 tenants will be affected. Newport city council in my area has calculated that 2,455 households will be affected. Newport City Homes housing association says that 1,794 of its tenants will be affected and Monmouthshire Housing Association, which covers parts of my constituency, notes that it has 421 such tenants. What choices do those people face? They can move to a smaller social housing property, pay up or move into private rented accommodation.

Turning to smaller social housing—to give an idea of the real impact in my area—there are 4,220 people on the common housing register in Newport and 2,500 in Monmouthshire. There is not enough social housing available. For example, of those affected in Newport, 916 will be looking for one-bedroom houses or flats, and 823 for two-bedroom properties.

In total, Newport City Homes has only 1,264 one-bedroom properties and 2,600 two-bedroom properties. Today on the common housing register website—Newport housing options—only 32 properties are advertised. There are very few smaller properties. The point has been made that whole estates in Wales have very few one or two-bedroom properties. In the past we needed larger properties, so that is what councils built. The scarcity of larger properties may be a problem in big cities in England, but in Wales there is a scarcity of smaller properties. There is simply nowhere to move to. As Community Housing Cymru has said,

“the option of tenants downsizing would prove difficult in almost all cases”.

The other option is to pay more. As the excellent report by the Bron Afon housing association in Torfaen highlights—I hope that the Minister has looked at it—many of those affected consider themselves to be just surviving already. Many are like the man I met on an estate last week, who said that he left the heating off until tea time because the price of food was going up every week and he did not want to go into debt. A family in the Bron Afon study, which surveyed all its tenants, concluded that the only solution was to eat two fewer meals a week.

As the study showed, people want to stay in their own homes, not least because they are the homes in which they brought up their children, where they may have lost a partner and where they have memories and have lived for years. They may have had them adapted and they may also have family ties and help with child care. These are their homes. In Community Housing Cyrmu’s survey of people affected, 13% said that they would consider downsizing, 8% that they might consider a lodger and 79% that neither of those options was suitable and that they would apply for the discretionary housing payments, which is where the problems arise.

[Mr Andy Slaughter (Hammersmith) (Lab)]

My hon. Friend is making the case well that this is a tax on the poorest. It is not about freeing up housing or downsizing. In my local authority, 824 tenants are affected but just 48 may be rehoused. Despite that, the Government describe this decision as morally right. But it is about punishing the poor.

[Jessica Morden]

I agree with my hon. Friend’s excellent and powerful point.

According to the Trussell Trust, the huge increase in the use of food banks is due in no small part to the benefit changes. Some 42% of those who turn up for their three-day supply of food are not able to balance their budgets because of benefit delays, mistakes, sanctions or reviews. Front-line professionals have to give a reason for a referral to a food bank and problems with welfare are increasingly being cited.

With food inflation above 4% and increases in energy and petrol costs, it will be impossible for many people on low incomes to absorb the additional housing costs. Rent arrears will increase and housing associations might struggle to deal with that. The Welsh Tenants Federation estimates that 10% of tenants are already in debt to their social landlord and that a rent increase on top of those rent arrears could result in 4,000 people presenting themselves as homeless. Newport city council in my area estimates that there will be a 5% increase in homelessness next year.

The Government’s answer to those who cannot move is that the discretionary housing payment will deal with all the issues. Newport is getting £343,000 of discretionary housing payment and Monmouthshire £121,000.

[Stephen Mosley (City of Chester) (Con)]

The hon. Lady is portraying a bleak picture, but as we heard from my hon. Friend the Member for Leeds North West (Greg Mulholland), Labour did exactly the same thing in 2008 when it introduced the local housing allowance in the private sector. Any of us could have stood up then and said exactly the same things that Opposition Members are saying now. Why did Labour introduce that policy in 2008?

[Jessica Morden]

It did not work like that. We are debating a policy that will come in in April. As Members have explained, it will be applied retrospectively to people who have been living in their houses for decades. Government Members have forfeited the right to make such interventions because they have given tax cuts to millionaires.

[Julie Hilling (Bolton West) (Lab)]

To respond to the intervention by the hon. Member for City of Chester (Stephen Mosley), when the local housing allowance was introduced, it did not affect people who were in tenancies at the time, but was applied when people moved house. It therefore did not have the punitive effect of the bedroom tax.

[Jessica Morden]

My hon. Friend is right. This is a retrospective hit on people who have lived in their houses for decades.

[Helen Goodman]

The local housing allowance, whether it is for a one-bedroom, two-bedroom or three-bedroom property, is paid at higher rates than housing benefit in the social sector.

[Jessica Morden]

My hon. Friend is right that private rent is higher. I will come to that point later.

Although Monmouthshire Housing Association is getting £121,000 in discretionary housing payments, it forecasts that its rent arrears will be about £225,000. The Government have set a budget without knowing whether it will be sufficient and are hiding behind it when asked difficult questions. That is as callous as the bedroom tax itself.

If there is no social housing and a person cannot afford to stay in their home, renting privately might be the only option. However, it is an expensive one. Given that the stated aim of the policy is to save money, the policy clearly has no logic. Although the Government do not seem to care about the human impact of the policy, they might at least look at this issue. A cursory look at the property in my area illustrates the point. The policy is more expensive, even with a reduced local housing allowance. In the Bron Afon study, every single property in Torfaen is more expensive than housing association properties.

Not only will the policy cost more money; the impact on families cannot be overestimated. It is a profound change that will have profound effects. People will have to move away from family members who provide child care, there will be no help for those who foster and the disabled will be hit yet again.

[Jane Ellison]

Will the hon. Lady give way?

[Jessica Morden]

I will carry on because I believe that the hon. Lady will be speaking later.

This policy will cause family breakdown. That was illustrated graphically to me by two local cases. The first is that of a divorced father in a two-bedroom house who has his kids to stay at the weekend. As he is under 35 he might be expected to share accommodation, with all the child protection issues that that raises. The second case is a mother of four who was rehoused after great turmoil resulting from domestic violence. She now has to uproot herself and her children who are settled in school because one of her children has moved out and the age of the two youngest means that they have to share one room—the definition of a box room, I presume, being a spare room.

There are many issues and no time to do them justice. So far, the Government’s response has been to shrug their shoulders and tell housing associations to be creative. In my experience, housing associations—unlike the Minister—have spoken to their tenants and know the reality. Alongside local authorities and the Welsh Assembly Government housing associations are being creative, but all the creativity in the world cannot alleviate the basic problem that there is no social housing, and payments to local authorities do not even begin to address the issue. If this measure is about saving money it will surely fail.