(11 years, 11 months ago)
Commons ChamberOn inflation uprating, which is at the heart of this Bill, there is a widespread belief that housing benefit for private rented accommodation will rise in April by CPI. The Department has done little to dispel that understanding, but in Rotherham, as my right hon. Friend might be aware, the rate for a three-bedroom home is set to be cut by 3% in cash terms. Is not this, like the Bill, another harsh, half-hidden cut to the help that those in work and those out of work need to meet the cost of household bills?
My right hon. Friend is absolutely right. He is also right that the Department’s incompetence in proceeding with some of these reforms means that many of the changes risk costing more than they save. That is why Ministers have been forced to delay implementation of the benefit cap, about which they made such a fuss last year. Now we see that it will be implemented in just four London boroughs, because the Government do not know how it will work in practice.
(12 years, 3 months ago)
Commons ChamberThat is very much the point of bringing the debate here today. We need from the Government transparency about the business case, which is being kept secret. Until we get to the heart of how the policy will be rolled out, until we get some answers to these basic questions, it is difficult for us to offer some constructive advice—advice we would offer for free.
Will my right hon. Friend take a look at the Rotherham citizens advice bureau survey, which I have sent to the Secretary of State today? The bureau questioned more than 100 people who had been through employment and support allowance assessments last year; more than half said that the assessment was rushed, nearly two thirds said that the assessor did not listen to them and only a quarter felt that the assessor was fully qualified to assess their medical condition. Does he agree that a fair benefits system and a fair universal credit depend on a fair and accurate system of assessment?
It absolutely does. Our chief concern is that that open and fair system of assessment will not fall into place for universal credit, with enormous consequences for our constituents.
The final point about the basic principle of whether people will be better off in work or on benefit is the evidence published by the Secretary of State’s own Department in the impact assessment that he signed earlier in the Parliament. The evidence shows that the marginal deduction rates will not go down for many people but will go up—2.1 million people will see their marginal deduction rates go up when universal credit is introduced. The incentive for them to work does not increase with universal credit; it goes into reverse. We have problems with free school meals and with council tax benefit, a short-changed personal allowance, the lock-in of cuts to tax credits and a worse incentive to work. That raises fundamental questions about a system that is about to go live in 150 days. That is why in this debate we want some answers on how these problems will be solved.
(13 years, 1 month ago)
Commons ChamberI am grateful, at last, for a consensual note. [Laughter.] The hon. Gentleman’s hon. Friends might laugh, but the fact that long-term youth unemployment in his constituency is up by 48% this year is not a laughing matter. This debate is an opportunity for us to interrogate this Government on what they are doing to get youth unemployment down and how, ahead of the autumn statement, they should negotiate with the Chancellor for more resources to get our young people back to work.
Is my right hon. Friend aware that almost one in seven young people in Rotherham are looking for work and out of a job? It is one of the 10 worst-hit areas since this Government came to office. The question that people are asking is how much worse this waste of talent has to get before the Government are shaken out of their complacency, accept that what they are doing is not working and change course.
My right hon. Friend has experience of this matter at the sharp end. Long-term youth unemployment in his constituency is up by 78% this year. I know what a difference programmes such as the future jobs fund made in his constituency. That is why it is such a tragedy that before the evaluation was in, this Government chose to cancel the project. That is why this debate is so important.
The Opposition do not believe in half measures when it comes to getting young people into work. At the end of the recession, youth unemployment was down by 38%. A year and a half into the recovery, youth unemployment is up. This year, long-term youth unemployment is up by 64%. When we were confronted by the great increase in youth unemployment, we did not stand idle but did something about it. The future jobs fund worked because it helped to create 100,000 opportunities for young people all over the country. When we met to debate this matter in February, the jury was still out on the results. We now have the Department’s own evaluation and the judgment is categorical:
“for many participants their reported experiences had been to such a high standard, that they could not think of any improvements to the scheme.”
The Government cancelled it anyway.