Universal Credit Roll-out

Kelly Tolhurst Excerpts

Tuesday 24th October 2017 Commons Chamber

[Kelly Tolhurst (Rochester and Strood) (Con)]

Last week we had a Labour Opposition day debate on pausing the roll-out of universal credit, and now we are debating the outcome of that Opposition day debate. Universal credit is a great move forward in how benefits are claimed. It is replacing an outdated system—a system which is complex, and which I have seen from my own experience in my constituency discourages people from working for more than 16 hours a week. Many of my constituents have wanted to work more than 16 hours a week and have said that it is just not worth the hassle, because if they were to do more than 16 hours even for a short period, they would be affected and could be left in financial difficulty, with waits for benefits to be reinstated.

Universal credit will ensure that people are better off in work and will make it far easier for constituents who want to work more hours and gradually increase hours to be better off, and to be able to do that without the stress or worry about the impact. This is a gradual roll-out over nine years, moving from 8% of the claimant count to 10%, and all new claimants. The number of people on universal credit as of the summer was 590,000, and 230,000 of them—nearly 40 %—were in work.

As with all policies, implementation is key. Of course when we move from an extremely complex system to a more simple system there will always be things that crop up, which the Government then work to address. That is shown by the fact that the Government are doing a gradual roll-out.

[Mrs Anne Main (St Albans) (Con)]

I am listening to the figures my hon. Friend mentions. Does she recall that the hon. Member for Swansea East (Carolyn Harris) said there was mayhem before universal credit was rolled out? I am puzzled by that, as this is a gradual process.

[Kelly Tolhurst]

My hon. Friend raises an important point, which serves to show that there are some inconsistencies in the Opposition’s argument against universal credit.

The Government are doing a gradual roll-out, so that testing can take place, and they are then able to modify the implementation based on what is learned from the experience of the practical implementation of the scheme. As Ministers have made clear, claimants who cannot afford to wait can get advances up front. These payments are made straight away. The Opposition are irresponsibly scaremongering in an attempt to frighten existing and potential claimants, and trying to negatively portray the universal credit system as a bad thing, rather than talking about the benefits to the people of this country.

[Stephen Lloyd]

Will the hon. Lady give way?

[Kelly Tolhurst]

I will not give way at the moment.

The Opposition are scaremongering rather than talking about the benefits of universal credit in helping people move into work and making it easier for claimants in the long run. Universal credit is a good step forward in how benefits are delivered to the people who need them. Claimants who need these advance payments because of their particular circumstances will receive advances within five days, which is quicker than for new claimants applying for the old jobseeker’s allowance.

[Dr Whitford]

Does the hon. Lady recognise that these have to be paid back once universal credit is received, which means that people will already be spiralling into debt? It is just a loan.

[Kelly Tolhurst]

I thank the hon. Lady for her intervention, but there is an assumption that everyone on universal credit will already be in debt, which I refute.

For Labour to suggest that this Government want to deliberately disadvantage people when they need help from the state is frankly appalling. I am also amazed by the indignation of the Opposition about the outcome of last Wednesday’s debate, which was just that: it was an opportunity for the Opposition to debate an issue that they wanted to bring before the House.

However, over the last few weeks since returning from recess we have had some major pieces of actual legislation from Government passing through the House, but where were the Opposition in these most important debates? Why were they not in the Chamber debating and questioning the Government? Notably on the Finance Bill, we would have expected the Opposition to be doing exactly that. Was the reason for their absence that that would not have generated sharp headlines? The Committee of the whole House on the Finance Bill did not even run to its full allotted time. That is unbelievable, since the Opposition have complained not only about not having enough time to debate important issues, but we have also debated not debating in this House. The first piece of Brexit legislation had a Second Reading in the House last Monday, too, and where were the Opposition?

If the Labour party truly believed what it was saying—that it does indeed support the principle of universal credit—it would be working with the Government to make sure that the roll-out is a success, rather than scaremongering and trying to block this good reform to our benefits system.