(11 years, 4 months ago)
Commons ChamberI agree with what the hon. Lady has said about what happened in Aberdeen. People have come together, and some of the workers involved have made progress. However, the most severely disabled need to be helped into work and supported while they are there. We have therefore announced a £350 million strategy, on which we shall be working over the summer. Moreover, in July we shall be launching a two-year awareness campaign at an employment conference, bringing together employers, employees and disabled entrepreneurs
As the Minister knows, a social enterprise bid has been submitted for factories in Coventry, Birmingham and Derby. It has received considerable public support, including from me. It is well financed and well advised, and above all it is inclusive. Can the Minister suggest a way of ensuring that it succeeds?
At present, that bid is still part of the commercial process. There have been several significant bids for the automotive industry. KPMG is currently working on the process with Remploy. We must ensure that the best bid is successful, so that there are jobs now and there will be jobs in the future for those disabled people.
(11 years, 10 months ago)
Commons ChamberI will not for the moment, because my hon. Friend has joined our proceedings relatively recently. I should like to respond to the amendments that my hon. Friends and others have tabled, and I hope he understands that.
Amendment 7, tabled by the hon. Member for Brighton, Pavilion (Caroline Lucas) and supported by the hon. Member for Banff and Buchan (Dr Whiteford), is in fantasy land, I am afraid. It not only rejects the savings in the Bill but would add additional savings on top by linking benefits to RPI. I have to give credit to the hon. Member for Brighton, Pavilion, because she knows how ludicrously expensive her amendment is and I am grateful to her for being frank about that. In a single year, it would cost £2.6 billion more than the current plan.
I am grateful to my hon. Friend for mentioning the position of low-paid workers. People on the minimum wage were mentioned in the debate, and we will have halved the tax bill of someone on the minimum wage. That is a real contribution to their standard of living.
I say to my hon. Friend the Member for St Ives that we cannot find the savings that we need by excluding the social security budget from them. The two biggest things that the Government spend money on are public sector pay, which has already been the subject of a separate measure, and social security benefits. The two together account for a vast swathe of public spending. When we need savings, we cannot ring-fence social security. What we can do, however, is try to do things gradually.
I want to explain why some of the figures for people’s losses that have been quoted are far greater than is truly the case. My hon. Friend mentioned someone who is in and out of work, and the typical time on jobseeker’s allowance is three months. My right hon. Friend the Member for Bermondsey and Old Southwark (Simon Hughes) asked me to give some examples of cash figures. We are talking about an uprating of perhaps 80p a week or so below inflation in one year, so maybe £2.50 a week below inflation over a three-year period. For a typical person who is out of work for three months, which is the median spell on JSA, the difference will therefore be a tenner a month, or £30 to £40 over that three-month period. That £40 is a lot of money to someone who is unemployed, but the typical experience is that someone has three months of unemployment and then finds a job. We are about to cut people’s income tax bills by £600 a year, so that person might have, say, £3 a week less while unemployed, but the typical experience is for them to be unemployed for a relatively short period and then get a job, so they will benefit from all our other measures.
Does my hon. Friend agree that the Opposition’s policy of not having a policy runs the risk of putting up the interest rate on our Government debt? We owe more than £1 trillion, and 1% more on that would be more than £10 billion extra to find through either extra cuts or extra taxes.
My hon. Friend is quite right. There is nothing progressive about vast borrowing, because then we are asking our children and grandchildren to pay for it.
There has been much discussion about percentages during the debate. Several Members have said that a small percentage of not very much is not very much—I think their argument was that the answer was a slightly bigger percentage of not very much. However, even a small percentage of a £200 billion bill for tax credits, pensions and benefits is a vast sum of money, which is why we have to take the difficult decisions we are talking about.
(11 years, 10 months ago)
Commons ChamberThe Chancellor’s statement last autumn was an admission that the Government were failing in their economic policy. They had failed on their two fiscal targets and they now say that they will need two Parliaments to meet those targets. The Chancellor needs to divert attention from his economic policy and is doing so by the crudest of politics. The Bill is a wedge between one party and another for electoral advantage. It hits the low paid, the unemployed, of whom there are 2.5 million, and the under-employed—many, many people on low wages, decent, hard-working people, including nurses, primary school teachers and armed forces personnel—and to play politics with them through the Bill is wrong.
Part-time workers need help and support, yes, and I would support a reform that helps them, but to penalise them at this time is completely and utterly wrong. The Chancellor is not known for his consistency. In his autumn statement in 2011 he said:
“I also want to protect . . . those who, through no fault of their own, have lost jobs and are trying to find work”.—[Official Report, 29 November 2011; Vol. 536, c. 802.]
Those are the very people who, 12 months later, he is going to hit hardest.
I can understand some of those on the Conservative Benches thinking that the wedge is very clever, but I cannot understand the Liberal Democrats supporting it. There are not many of them—
I will not take an intervention as the hon. Gentleman has not been here throughout and there are not many of his colleagues here today.
My constituency suffered from high unemployment in the 1930s, the 1980s and the 1990s—mass unemployment in the 1930s. My constituency has a strong Liberal tradition. Megan Lloyd-George, one of my predecessors, refused promotion in the coalition Government because she wanted to stand up for the unemployed, the under-employed and the low paid, and she wanted to support the welfare state. Breaking the link today between the increase and inflation is in many ways a treacherous act for a Liberal.
I will not give way to the hon. Gentleman for the reasons that I gave and the limitations. Had he been here at the beginning, he would have heard many of the arguments.
The Liberal Democrats have a lack of conviction, but they can make up for that. I know that some honourable ones will, and will vote for the amendment tonight and against Second Reading, because the Bill is completely wrong. There was no need for a Bill. The change could have been made as it has been in the past, but it was chosen for political theatre. After losing Corby, the Government in desperation went to Crosby, and Crosby introduced the wedge. The crudest of Australian politics has been imported to the United Kingdom.
Too many of my constituents—decent, honest, hard-working people—will see their benefits cut if the Bill goes through tonight. I appeal to the Liberal Democrats and those decent Conservatives who genuinely care about the underemployed, the unemployed and the low paid to join us by voting for the amendment and against a Second Reading and standing up—I make no apologies for this—for the decent, honest, hard-working people, the low-paid, the unemployed and the under-employed, who are under attack from this Government measure.
(12 years, 9 months ago)
Commons ChamberSome constituents might choose to do that, but that is a matter for them. I am not going to recommend whether that is the right or wrong thing to do because it is a decision they have to take for themselves. It is about personal responsibility. Hon. Members should be in no doubt that at a time when the welfare bill is spiralling out of control and this country has run out of money—we are essentially bankrupt; we are having to borrow money every single day to pay our way—it is essential that we bring the welfare benefits bill under control. It is only by taking tough decisions that that will ever be done.
Like me, my hon. Friend might not be surprised that the Opposition are ignoring the effect of universal credit. Does he accept that many of the families in the margins who are affected badly by means-testing will benefit from universal credit?
My hon. Friend is absolutely right. With universal credit, we seek to sweep away some of the complexities of the welfare system that inevitably lead to confusion and the possibility for people to make errors—sometimes deliberately.
I am very conscious that many other speakers want to get in and I am sure that we want to hear the Minister’s reply. Let me say again that I want to speak up for the hard-working families in my constituency and the vast number of my constituents who think the Government are doing absolutely the right thing on welfare. I urge everyone to back these moves today.
(14 years, 1 month ago)
Commons ChamberIf the hon. Gentleman is worried about the drip, drip, drip on the 20th of this month, I should tell him that there will not be a drip at all; we will get it out all in one go, so he should steady himself for that. None the less, the issue generally will be resolved, and I promise him that if there are any direct questions, I will answer them. He should remember that the figure that he refers to is 40% of all those who appealed. In total, 5% of those who have migrated have had their appeals upheld.
I congratulate the Secretary of State on the proposals for the universal credit, which will make it worth being in work. As well as trying to fit people to jobs, will he consider trying to fit jobs to people by using the Government’s contracting power to require that there be some jobs for the long-term unemployed and some jobs for people with disabilities?