Oral Answers to Questions

Justin Tomlinson Excerpts

Monday 7th January 2019 Commons Chamber

[Lucy Powell (Manchester Central) (Lab/Co-op)]

2. What support is available for childcare costs through universal credit.

[The Parliamentary Under-Secretary of State for Work and Pensions (Justin Tomlinson)]

Universal credit supports working parents with childcare costs, regardless of the number of hours they work. This provides an important financial incentive to those taking their first steps into paid employment. People can recover up to 85% of their eligible childcare costs on universal credit, compared to 70% on the legacy system.

[Lucy Powell]

As the Minister will know, one of the big challenges with universal credit is that families have to pay their childcare costs upfront. Save the Children and the Centre for Social Justice have recently warned that this is leaving families in £1,000 of debt when they start work. Under the review that the Department now seems to be conducting, can it look again at this, and can it also look at their other recommendation of making it not 85% but 100% of childcare costs, because this would really benefit those on low pay?

[Justin Tomlinson]

I know that the hon. Lady has worked tirelessly on this issue. The Government recognise its importance, which is why we have increased our financial support by nearly 50% since 2010. We are making improvements specifically in relation to payment in arrears, improving communication and ensuring that the Flexible Support Fund is better known and better used to help those who would otherwise face a financial barrier.

[Andrew Bridgen (North West Leicestershire) (Con)]

Can the Minister confirm that parents with disabled children will continue to receive additional support under universal credit?

[Justin Tomlinson]

Yes.

[Dr Rupa Huq (Ealing Central and Acton) (Lab)]

18. Will the Minister ensure that no one else ever suffers the same indignity as Paulette Reid of Acton, a working mum with three kids who, over Christmas, found herself with £10 to her name for the entire holiday season? When she rang the DWP asking for the payment that we are told everyone receives in advance, she was told to go to a food bank. The people at the Department obviously do not understand that that involves a referral process. How can this be happening now in the fifth richest country on earth? It seems that “I, Daniel Blake” is becoming reality in Ealing, queen of the suburbs.

[Justin Tomlinson]

I am very sorry to hear about that case. The hon. Lady’s constituent should have had access to an advance payment, and if she was down to her last £10, it should have been made on that day. If the hon. Lady will write to me with all the details, we will look at that specific case to see what went wrong.

[Dr Philippa Whitford (Central Ayrshire) (SNP)]

I welcome the Secretary of State’s announcement about examining the impact of universal credit on women, which, through women, often affects children. Will she look again at the single household payment, and consider separate payments to protect women from financial coercion, control and abuse?

[Justin Tomlinson]

This matter relates mostly to domestic abuse. I have been doing a huge amount of work with Women’s Aid, Refuge and ManKind to increase awareness that split payments are available in those circumstances, and to ensure that more work is done to identify, refer and support such claimants.

[Royston Smith (Southampton, Itchen) (Con)]

4. What assessment the Government have made of trends in the level of employment since 2010.

--- Later in debate ---

[Mary Creagh (Wakefield) (Lab)]

14. What assessment she has made of the effect of the roll-out of universal credit on household incomes.

[The Parliamentary Under-Secretary of State for Work and Pensions (Justin Tomlinson)]

Universal credit spends £2 billion more than the system it replaces. It simplifies the old system and makes work pay. It is already transforming lives across the country.

[Mary Creagh]

Happy new year, Mr Speaker.

What an extraordinary answer. Some 10% of children in the UK live in severely food-insecure households. That is the highest number in the European Union. However and whenever the roll-out of universal credit starts, begins or enters into its full flood, will the Minister work with the Office for National Statistics to measure the extent of childhood food poverty before and after the introduction of universal credit?

[Justin Tomlinson]

I think we all recognise that we need better-quality statistics. Various groups are working on alternatives, and the Government will take those seriously. As has been mentioned, there are 300,000 fewer children in absolute poverty. On the specific issue of food insecurity, in the past five years alone it has almost halved to 5.4%, which is 2.5% lower than the EU average.

[Several hon. Members rose—]

[Laura Pidcock (North West Durham) (Lab)]

Happy new year, Mr Speaker.

I note the delays to the roll-out of universal credit announced over the weekend, but will the Minister please tell us what justification there can possibly be for people who have had to claim universal credit so far not receiving any protections? Will the Secretary of State agree to halt natural migration, compensate every single person who has lost out, and investigate the circumstances that have led people on to universal credit when there has been no change in their circumstance?

[Justin Tomlinson]

If the hon. Lady looked at the feedback we have had from stakeholders following this week’s announcement, she would see that they make it absolutely clear that they support universal credit over the legacy system. We know that 700,000 people—some of the most vulnerable people in our society—are missing out on £2.4 billion of support because the legacy system is too complicated. Universal credit gives personalised, tailored support and makes sure that people get the support that they need.

[Several hon. Members rose—]

[Jo Swinson (East Dunbartonshire) (LD)]

Thank you, Mr Speaker.

I hope that the delay to the full roll-out of universal credit is a sign that the Secretary of State for Work and Pensions is open to making the many changes to universal credit that are needed. I urge Minister to look in particular at the harsh repayment timescales for loans, which led my constituent to say:

“I should never have taken that 3 month job. It made me worse off”.

Surely that is the very opposite of what the Government are trying to achieve with universal credit.

[Justin Tomlinson]

I, too, welcome the hon. Lady back.

This issue is a real priority for the Secretary of State. We have already made changes: initially, the repayment period was six months, then 12 months, and it is now 16 months, and we have moved the maximum deduction rate down from 40% to 30%. We will continue to review the situation.

[Kevin Brennan (Cardiff West) (Lab)]

15. What recent steps her Department has taken to improve the accuracy of medical assessments of disability for the purpose of claiming benefit.

--- Later in debate ---

[Mr Robert Goodwill (Scarborough and Whitby) (Con)]

24. What steps she is taking to support care leavers into work.

[The Parliamentary Under-Secretary of State for Work and Pensions (Justin Tomlinson)]

The Government are committed to supporting care leavers. We have introduced a £1,000 bursary for those starting an apprenticeship and a £2,000 bursary for those going into higher education, extended paid internship opportunities across Government and launched the care leaver covenant. We are also working closely with Barnardo’s on an innovative work experience pilot.

[Mr Goodwill]

Care leavers are some of the most difficult people to get into employment. Social workers are helping with that transition through projects such as Staying Close and Staying Put, but what particular outreach support can the Department deliver to improve the statistics, which do not look good?

[Justin Tomlinson]

I know that my right hon. Friend worked tirelessly on this when he was a Minister in the Department for Education. We have 900 single points of contact who are supporting care leavers across the country. We are also working with a lot of businesses so that they can realise the huge potential that care leavers offer. I had two fantastic visits, to the Big House in London and PGL, which I saw at first hand were benefiting from giving care leavers work opportunities.

[Giles Watling (Clacton) (Con)]

T1. If she will make a statement on her departmental responsibilities.