Oral Answers to Questions Debate
Full Debate: Read Full DebateLilian Greenwood
Main Page: Lilian Greenwood (Labour - Nottingham South)Department Debates - View all Lilian Greenwood's debates with the Department for Work and Pensions
(5 years, 7 months ago)
Commons ChamberOur own evidence does not show a direct link between the increase in food bank use and the roll-out of universal credit. As the Trussell Trust has said, it is impossible to identify one single cause. Universal credit spends £2 billion more than the system it replaces, and it incentivises work, providing a pathway out of poverty.
First, I give a commitment that, yes, I am very happy to look into that specific case. It highlights the problems with the legacy benefits, whereby £2.4 billion a year of benefits were missed. It was a complex, bureaucratic process where mistakes could happen and claimants—particularly vulnerable claimants —did not take what they were entitled to. Under universal credit, with personalised, tailored support, mistakes can be rectified more quickly.
Rent arrears are deducted from jobseeker’s allowance at £3.70 a week, but for universal credit the deduction is £31 a month, while overpaid benefits and advance payments are deducted at even higher rates. Some of my constituents are having over £100 deducted from their monthly universal credit payments, forcing them to dip into their rent money and use food banks just to get by. They would not find themselves in this position if they were not waiting up to five weeks to receive their first payment. The Secretary of State says she has put in measures to address that, but they clearly are not working. When will Ministers face the facts and scrap the five-week wait?
Those transferring from legacy benefits would get two weeks’ housing benefit run-on, no strings attached, in addition and would automatically be offered the advance payment. We have lengthened the time over which that would be repaid and lowered the rate at which it would be claimed back.
I will be very happy to look personally into this case and to report back. Actually, we do have powers to investigate further—these powers were opposed by the Labour party in January. We believe that everything should be done to help the receiving parent get the support they are entitled to.
The Government will not be revisiting the state pension age arrangements for women born in the 1950s who are affected by the Pensions Act 1995, the 2007 Act, introduced by the Labour Government, or the 2011 Act, introduced by the coalition. A High Court ruling on this matter will proceed to a full hearing on 5 and 6 June, so further comment would be inappropriate.