Oral Answers to Questions

Debate between Kevin Brennan and Justin Tomlinson

Monday 7th January 2019 Commons Chamber

[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.

Oral Answers to Questions

Debate between Kevin Brennan and Justin Tomlinson

Monday 7th December 2015 Commons Chamber

[Kevin Brennan (Cardiff West) (Lab)]

13. What recent representations he has received on the discretion which may be exercised by his Department’s staff when recovering benefit overpayments.

[The Parliamentary Under-Secretary of State for Disabled People (Justin Tomlinson)]

The Secretary of State has a duty to protect public funds and to ensure, wherever possible, that a benefit overpayment is recovered. Discretion is exercised where it is not cost-effective to recover an overpayment, or where recovery would cause undue hardship, and is subject to guidelines from Her Majesty’s Treasury.

[Kevin Brennan]

Yes, I accept that completely, but since April it has been possible to recover benefit at a rate of 40% from jobseeker’s allowance. There is much evidence that that is becoming the normal figure. There is no appeal, and on review, people are being told that even if they do not have enough money to eat, that is not a sufficient reason to be able to appeal against the benefit recovery. Will the Minister ask his officials to look seriously at this issue and how it is affecting the poorest people?

[Justin Tomlinson]

I thank the hon. Gentleman for his question, and I know he has been tenacious in working in this area, particularly on behalf of a number of his residents. There is discretion in the system applied to repayment rates, but the claimant must prove that there is genuine hardship and talk to the debt management team. There is an appeals process, but I will look further into it further.

Financial Education

Debate between Kevin Brennan and Justin Tomlinson

Thursday 15th December 2011 Commons Chamber

[Justin Tomlinson]

Absolutely. It was important to include that as part of the evidence, but as we are about to set out in our recommendations, it was not the conclusion that we came to.

[Kevin Brennan (Cardiff West) (Lab)]

I commend the hon. Gentleman on his work and on the report that he has produced. Does he not accept that if his Front-Bench colleagues had not taken that position, compulsory financial education would have been delivered through PSHE in secondary schools since last September?

[Justin Tomlinson]

I thank the shadow Minister for his intervention. We are trying to reach consensus on the very best way to deliver that education. We considered that approach as part of our report and concluded that it was not the right way to go. I am about to set out what we feel should be done. I am aware that a number of other Members will also go into detail to explain why we came to that conclusion.

I am going to whizz over the key recommendations. My hon. Friend the Member for Brigg and Goole will explain the mechanics behind them because he chaired the inquiry. We believe that the Government should promote the provision of high-quality financial education in schools in England. They should do that by acting on, or supporting, the following recommendations. I hope that the Minister’s pen is poised.

With regard to national provision, personal financial education should be a compulsory part of every school’s curriculum. Resources produced by outside organisations and visits of providers to schools should be available and accessible if considered helpful by teachers and quality-marked by a trusted body. There are many and varied examples of volunteers and financial institutions that already go into schools to do a good job. There is also evidence that some people felt that that was sometimes a marketing exercise.

It was also clear that provision was very patchy. We saw lots of evidence that if a school governor happened to have a connection to a particular financial institution, their school was more likely to have that opportunity than others. That said, those institutions can play an important role as long as the teachers lead. For example, a PE teacher providing a wide variety of sports may be particularly competent in football and rugby, but if his students want to take part in, say, trampolining, he may invite the local trampolining club to come in and give a lesson. That should be under the control of the teacher and be quality-marked so that we can be sure that it is not a marketing exercise.

--- Later in debate ---

[Justin Tomlinson]

I thank my right hon. Friend for that intervention and echo those comments. We have seen that response as we have made our visits.

Personal, social and health education should be clearly defined as four separate strands, one of which should be personal finance. By reworking the PSHE syllabus, more focused training and assessment can be developed, and individuals would have an opportunity to learn about the implications of their decisions.

Earlier, I pointed out that we are all individuals, with our own individual challenges, priorities and things that we consider important, so there is not necessarily a right answer in this area of education. I shall use yet another example from Martin Lewis to illustrate that point. An individual has been unable for 12 months to find a job; they have been offered a job in a neighbouring town but with only a three-month guaranteed contract; and the only way in which they can get to the town is if they take out an expensive car loan. Does that individual take out the loan? There is not necessarily a right or wrong answer. Are they confident that they will be so good in their job that they will last beyond three months? That is probably the determining factor, but such examples offer young people the opportunity to talk through the day-to-day, real-life challenges that they may face when they enter the big, bad world.

[Kevin Brennan]

The first key recommendation of the hon. Gentleman’s committee is that personal finance education should be part of every school’s curriculum. Is he including academies and free schools?

[Justin Tomlinson]

That is exactly the sort of question that, in setting out the mechanics of the recommendations, my hon. Friend the Member for Brigg and Goole will cover—if the shadow Minister could just be ever so slightly patient.

We also call for a school co-ordinator or champion to be appointed to each school, preferably from the senior leadership team. They should be given responsibility for ensuring that outcomes are achieved in maths and PSHE; for ensuring that there is a clear link between the elements of personal finance taught in mathematics and PSHE; and for sourcing resources. We make it clear that such education should be cross-curriculum, so there should be a point of contact who can champion it.