Oral Answers to Questions

Karen Bradley Excerpts

Monday 25th June 2012 Commons Chamber

[Chris Grayling]

I must say that I think it is pretty poor when the eventuality of a bus arriving two hours early is turned into a scandal by the Labour party. In fact, as part of a training and development programme, a group of volunteers were participating in a national experience that would build skills which could take them into other employment. I think that the hon. Lady should welcome that and not criticise it.

[Karen Bradley (Staffordshire Moorlands) (Con)]

What support is available to 16 and 17-year-olds who are released from young offender institutions such as the one in Werrington, in my constituency, to ensure that they receive the training that they need so that they can get back on the right track?

[Chris Grayling]

That is an important issue. One of the challenges that we face is that 16 and 17-year-olds are often not on benefits. Together with the Department for Education, we are introducing a new programme, which will begin in autumn and will be funded by Payment by Results, to engage, support and develop the skills of that particular cohort of young people. We cannot abandon them, as has happened far too often in the past.

Oral Answers to Questions

Karen Bradley Excerpts

Monday 23rd April 2012 Commons Chamber

[Karen Bradley (Staffordshire Moorlands) (Con)]

One message coming from Staffordshire Moorlands Community and Voluntary Services, which runs the job club in Leek and Biddulph, in my constituency, is that it would like more employers to offer the youth contract. What can the Minister do to encourage more employers to get involved?

[Chris Grayling]

First, I pay tribute to the work being done in the Moorlands by the job clubs there, which is making a real difference to the prospects of the unemployed. What I say to my hon. Friend and to every hon. Member is that there is a real opportunity for each of us, individually, to approach local employers and encourage them to provide work experience opportunities. Tremendous work is already being done by colleagues in organising job fairs and organising different opportunities for young people who are looking for work. We can all play a part in this; it is a way in which this House can be a real activist centre in trying to help unemployed young people.

Disability Allowance

Karen Bradley Excerpts

Tuesday 30th November 2010 Westminster Hall

[Maria Miller]

I thank the hon. Lady for her intervention. I can say to her that we will shortly be consulting in full on this and other measures on disability living allowance. Hon. Members, their constituents and interested parties will have a full opportunity to give their thoughts and see the measures that we are introducing.

Across the spectrum of disability living allowance, we see overlaps, duplication and gaps in provision created by a series of opaque, confusing and inefficient systems. The debate has highlighted just how out of kilter the current system is, with different payment streams and delivery mechanisms spanning different lines of departmental responsibility. We have to address the underlying issues, which is why we are proposing major disability living allowance reform. That is the only way we can ensure that the clarity we need is put in place.

[Karen Bradley (Staffordshire Moorlands) (Con)]

I am still a little unsure about when the reform will take effect—2012 has been mentioned. Would the Minister clarify exactly when the measure will be introduced and perhaps give some further information on other measures that will affect disability living allowance?

[Maria Miller]

As the Chancellor has set out, the measure is due to come into place in October 2012, and others will come into place in a similar time frame. It is important to focus on time because, as hon. Members have said, that will give us the opportunity to work across the Departments affected by the measure to ensure that good provisions are put in place and delivered effectively.

We remain fully in support of the principles of DLA as a non-means-tested cash benefit contributing to the extra costs incurred by disabled people. However, we must ensure that the benefit reflects the real needs of disabled people today and their aspirations for greater control in the future and that the system is sustainable in the long term. As the hon. Member for Glasgow East (Margaret Curran) will know from her colleagues who were in government, more than 3 million people currently receive DLA and the expenditure this year is forecast to be £12 billion, which is substantially more than was intended when the allowance was introduced.

Oral Answers to Questions

Karen Bradley Excerpts

Monday 22nd November 2010 Commons Chamber

[Chris Grayling]

One of the things I made sure to do when we set up the review was invite the chief executive of Mind to take part in one of the support groups for Professor Harrington. That input has been hugely valuable. I have also invited the mental health charities to make recommendations about possible changes to the descriptors, which might also help enhance the process. They are due to respond shortly. We will make sensible changes as and when we can. I intend to brief the hon. Lady and her colleagues about the contents of the Harrington review tomorrow morning, and perhaps we can talk briefly behind the Speaker’s Chair about how best to arrange that. I want them to be part of the process, and I am very happy to take suggestions from Opposition Members as well. As the hon. Lady rightly says, this is a cross-party issue. We have to get it right. It is in all our interests that we get it right, and I think we share the aspiration that this process should be fair and firm.

[Karen Bradley (Staffordshire Moorlands) (Con)]

12. What assessment he has made of the effect of the proposed universal credit on work incentives.

[The Secretary of State for Work and Pensions (Mr Iain Duncan Smith)]

We believe that universal credit will make work pay. We have done some assessment and we can announce that we believe we should reduce by 1.3 million the number of workless households facing a participation tax rate of more than 70%. We also believe that we will improve earnings incentives for some 700,000 people and that we could reduce the number of workless households by about 300,000.

[Karen Bradley]

I thank the Secretary of State for that response. Caudwell Children is a charity that has significant experience in helping the parents of disabled children back into work. Could he give some assurances as to how the universal credit will make that process easier?

[Mr Duncan Smith]

I hope and believe that if we implement universal credit correctly, it should allow people with caring responsibilities to meet those responsibilities with greater flexibility in the number of hours they can work. At the moment, it is very difficult for many of them to work the sort of hours they need to work without damaging their ability to fulfil their caring responsibilities. We think that flexibility would be most effective for them and, strangely enough, for lone parents.

--- Later in debate ---

[Mr Duncan Smith]

I always appreciate the hon. Lady’s advice. We certainly keep all that under review and intend to do so all the way through until we introduce the Bill. However, having said that, there is a lot of good evidence out there to show that we have to give people some sort of incentive not to decide to refuse that work. We believe that that is one of the areas where a lot of international evidence shows that such a spur actually helps people to do that.

[Karen Bradley (Staffordshire Moorlands) (Con)]

T5. What can the Secretary of State do to assure unemployed people in Staffordshire Moorlands that the Work programme will help them to find not just employment, but sustainable employment?

[The Minister of State, Department for Work and Pensions (Chris Grayling)]

One of the key differences in the Work programme, compared to previous programmes, is that it will pay providers not simply for getting someone into work, but for supporting them while they are back in work over an extended period. That is crucial to ensuring that people do not come off benefits, stay in work for a few weeks and then return to the unemployment registers, as has so often happened in the past.

Housing Benefit

Karen Bradley Excerpts

Tuesday 9th November 2010 Commons Chamber

[Mr Oliver Heald (North East Hertfordshire) (Con)]

After the election the Government found themselves in a situation whereby it was necessary to curb costs in a number of areas, and housing benefit was one of them. However, it is important to do so fairly and to bear in mind the policy’s overall effect. We cannot get away from the fact that housing benefit rents went up faster than the private rental market from 2000 right the way through to 2007. That is the evidence that was given to the Select Committee on Work and Pensions. In 2008, the system changed, the local housing allowance came in and the situation became worse.

The National Housing Federation, in its evidence to the Committee, said that

“private sector landlords increased rents with the introduction of Local Housing Allowances… the average housing benefit reward for Local Housing Allowance cases is over £9 per week more than for people still on the previous scheme… the Local Authority Omnibus Survey…finds that Housing Benefit managers say that some landlords are using the transparency of the arrangements to raise rents to the Local Housing Allowance level.”

The British Property Federation said that

“rents in some areas have adjusted towards the local housing allowance rates and in markets where there are significant claimants this is seen as the ‘going rate’.”

Paddington citizens advice bureau in central London said that

“we understand the need to place a cap on rents paid by the tax payer, especially in central London where the LHA was spiralling out of control”.

I shall not cite any more evidence, but I remember that during the Committee’s previous inquiry into housing allowance earlier this year and before the general election, Blackpool, to which the hon. Member for Blackpool South (Mr Marsden) referred, was specifically mentioned, because the broad rental market area there included Fylde. As a result, all the rents in central Blackpool went up far faster and far higher than was expected, so it is not surprising that the change under discussion, which I hope will rectify the situation, will have an impact in Blackpool.

[Karen Bradley (Staffordshire Moorlands) (Con)]

In evidence to the Committee, the Royal Institution of Chartered Surveyors told us that the average returns for private landlords in the housing benefit market were 4 to 5%. Does my hon. Friend agree that that seems to be a significant return for any private landlord?

[Mr Heald]

My hon. Friend, who makes an important contribution to the Committee, makes an important point. If we look at the effect of the policy, we find no doubt that landlords will reduce rents, because all the evidence to the Committee suggests that they will.

There are arguments about how much effect the changes will have, but the British Property Federation and the Residential Landlords Association have said that 29% of landlords would reduce rents voluntarily. The Cambridge university research for Shelter shows that 29% of tenants will not be able to negotiate a rent reduction or make up the difference. It concludes that of the remaining 29%, 50% of the group will be in difficulties because landlords will not accept the lower rents paid and will not forbear. It says that some £42 million to £82 million a year will be needed to help those who do not get that forbearance from the landlord, are unable to negotiate a change, and so on.

Let us bear in mind, however, that the Government have set aside very substantial resources for exactly this problem. One might say that the mid-point is around £60 million, which is the figure that the Government are moving towards, although the Secretary of State said, very reasonably, that he will keep it under review and see what exact figure is needed. It is completely wrong to suggest that the Government have gone into this without realising that they must match hardship if it is found.