Wednesday 4th February 2015

(9 years, 2 months ago)

Westminster Hall
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Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
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It has been almost five years since the coalition Government took office, so we are far beyond the time when it was even remotely credible to claim that everything that has happened in this country is the fault of the previous Government. The truth is that the choices that we make as a country have an effect. With a few months to go until the general election, this is a good time to assess the Government’s impact on the most vulnerable people in this country and to look again at the Prime Minister’s claim, five years ago, that he would not balance the books on the backs of the poorest. What a joke that statement now seems.

The rise in food banks has been the most visible sign of the devastation caused to towns such as mine, Wigan. In the past three months, my local charity, the Brick, has handed out more than 1,000 food parcels to families who cannot afford to eat. The first thing I want to say is this: be in no doubt that the situation has become much worse under this Government. Ministers have constantly said that food banks are the fault of the previous Government, but let me give them the facts. There were 3,000 food bank users in 2005, and 40,000 by 2010. By 2012, that had exploded to 128,000 people queuing for food parcels in one of the wealthiest countries in the world. Under the Labour Government, food banks fed tens of thousands of people a year; they now feed a quarter of a million people in this country, and the numbers are rising.

Debbie Abrahams Portrait Debbie Abrahams (Oldham East and Saddleworth) (Lab)
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I congratulate my hon. Friend on securing this debate. She may not be aware that we had never had a food bank in Oldham until 2012. In that year, 849 food parcels were delivered; last year, 5,000 people ended up receiving support, including 1,500 children. The numbers are going up inexorably. Would my hon. Friend like to comment on the suffering that those people are experiencing?

Lisa Nandy Portrait Lisa Nandy
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That experience is mirrored in my constituency. The Brick gave out 6,097 food parcels in Wigan last year. I spent a day helping its volunteers to do that. Many of the food parcels were cold boxes—I had never heard of a cold box before I spent the afternoon at my local food bank—for people who cannot afford the gas or electricity required to heat up some soup or a tin of beans. Our credit union, Unify, the charity Compassion in Action and Citizens Advice have given out loans, furniture and fuel payment vouchers in increasing numbers in the past four years. Yet people were told by the Conservative hon. Member for Blackpool North and Cleveleys (Paul Maynard) that unfortunately their food bank use has become a habit. How utterly offensive.

The real causes are obvious. In my constituency, one can track almost exactly when the cracks in the community started to show. In October 2012, the Government introduced a new sanctions regime that affected nearly 6,000 families in my borough alone. It had an immediate impact. In early 2013, the manager of the Brick, Trish Green, said:

“We have been operating since 2008 but recently we have seen more families, more young people and people who have lost their jobs using the service…It also affects every part of the borough and we distribute food parcels throughout different communities, not simply the more deprived areas.”

That is mirrored across the region: as pointed out by my hon. Friend the Member for Oldham East and Saddleworth (Debbie Abrahams), between 2012 and 2014, the number of people accessing food banks in the north-west exploded, growing by 238%. That was not, as the Conservative Minister for Business and Enterprise, the right hon. Member for West Suffolk (Matthew Hancock), said, because

“more people know about them”.

The vast majority of food bank referrals were because of benefit sanctions, although delays, debt, low-paid work, loss of job and family crisis were all common reasons.

Most of my constituents who have used a food bank were referred to it after being refused help by the jobcentre. A quarter of them had been told that they had not participated in an employment programme, and a fifth had been told that they had failed to attend an adviser interview. Let me give the Minister an example. Just yesterday, a man got in touch with me who had taken on temporary work over Christmas. He had notified the jobcentre of the start and finish dates of that temporary work, but was told that he had missed an appointment with the jobcentre to give the information that he had already provided. He was sanctioned. The jobcentre was closed on the day when he was supposed to have attended an appointment, so he was paid just 1p for the whole of January. He found out yesterday that he has been given £26 for the whole of February. Will the Minister tell me how someone in this country is meant to live on a penny a month?

Quite separately, two other people got in touch with my office, one a woman, the other a young man. Both had been sanctioned in the past few months for attending the funeral of a family member. In both cases, the individuals had notified the jobcentre of the reason why they could not turn up to sign on. I was thinking about what on earth people are supposed to do in that situation. It reminded me of a line from Kafka, which states that,

“it is not necessary to accept everything as true, one must only accept it as necessary.”

When death is not a good enough reason to change the rules, what sort of society have we become?

We find increasingly that people are sanctioned for being just a few minutes late for appointments to sign on. My local councillor, Jeanette Prescott, said that,

“several times this year I have had to refer a gentleman with learning difficulties to Denise (the local Reverend) for food due to him having sanctions on him for turning up late (once by 4 minutes). The gentleman can’t tell the time and is a recluse. He has been found sitting in his flat in the dark with no electric or gas. He won’t ask for help. Only for the old neighbours watch out for him and contact myself heaven knows what would of happened to him. I was informed he has to get a letter off the doctor for an electric card…The lad turned up at my door the other night. He hadn’t eaten for 5 days. He looked like he was dying.”

Mark Spencer Portrait Mr Mark Spencer (Sherwood) (Con)
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I hope that the hon. Lady appreciates that people who work very hard, and who might be earning very small amounts from working 50 hours a week, have to turn up to work on time. If they are late for their employment, they might be sanctioned by their employer. It is important that those who are seeking employment learn the discipline of timekeeping, which is an important part of securing and keeping a job.

Lisa Nandy Portrait Lisa Nandy
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I must say to the hon. Gentleman that taking that sort of patronising tone towards people is exactly why people throughout the country are so angry with the Government. While he was speaking, my hon. Friend the Member for Bishop Auckland (Helen Goodman) made the point that two Conservative Members turned up minutes late for this debate, but they will still be allowed to participate if they wish to do so. I will come on to the example of a working couple who got in touch with me recently and who have had real problems with the system. Nevertheless, I am happy to give way again if the hon. Member for Sherwood (Mr Spencer) wants to come back on this point: what would he expect someone with learning difficulties, who cannot tell the time, to do in that situation? He has no one to turn to for help and was sanctioned for being four minutes late.

Mark Spencer Portrait Mr Spencer
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I think that that emphasises the importance of the education system in solving the challenges that we face as we move forward. We must try to ensure that the employees of the future are in the best place to be able to take on a career and move forward with a job.

Lisa Nandy Portrait Lisa Nandy
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The man I am talking about is the fourth case of someone with learning disabilities being sanctioned that I have come across in my constituency office this month. The Minister’s Department holds the responsibility for people with disabilities. I hope that she has listened to the comments made by her colleague and will take the opportunity to condemn them. I also hope that she will ensure that in future no one will be sanctioned for having learning difficulties that prevent them from being able to tell the time.

Debbie Abrahams Portrait Debbie Abrahams
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I am sure that my hon. Friend will want to take the opportunity to mention the fact that the universal credit regulations include the potential for introducing in-work conditionality for people who are in work but on low pay. The hon. Member for Sherwood (Mr Spencer) should be careful in what he says. Also, people are sanctioned who have done nothing wrong. We repeatedly hear examples of people who did not know that they had appointments because they were made without their knowledge. Of course, they did not turn up to those appointments, so they were sanctioned.

Lisa Nandy Portrait Lisa Nandy
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Absolutely. I could not agree with my hon. Friend more.

I want the Minister to understand the complete nonsense of the system. Another of my local councillors, Lol Hunt, got in touch with me last week to help a 53-year-old woman. That woman was awarded maximum points for ESA last year; she got no points at all this year. Absolutely nothing in her health or circumstances has changed. Councillor Hunt said that,

“she has very little food in her cupboards and is cancelling her direct debits this week for rent, gas, electric, phone etc. as she simply cannot pay.”

That is just the tip of the iceberg as to the stupidity of the sanctions regime.

The single biggest reason that my constituents were given for being sanctioned last year was that they were supposedly not seeking work. For example, in one family, a couple with two-year-old twins, one of the partners worked as a home care worker on a zero-hours contract—I am sure all Members are familiar with the situation of the many people who work in the home care industry on low pay and with insecure conditions. The hours that she was given were so few that the pay did not even cover the bus fare to work.

The wider family tried to help out, but the stepfather is out of work and the grandmother on a small pension. They were even refused a doorstep loan. The twins were living on a tin of beans and a few potatoes a day, while the adults went for days on only tea and the occasional biscuit. Relatives of mine remember such conditions in our family a few generations back, but that was before the war. One of my constituents—one of the parents—told me that,

“asking for food was so humiliating but the alternative was to go hungry. We were so grateful for the help of the Brick and they made us feel like it is not something to be ashamed of.”

Contrast the actions of that local Christian charity with the words of Lord Freud, Minister for Welfare Reform, who said that,

“food from a food bank…is a free good, and by definition there is an almost infinite demand for a free good.”—[Official Report, House of Lords, 2 July 2013; Vol. 746, c. 1072.]

How utterly insulting to a family such as the one I am describing. They had built up £1,000 in rent arrears, because they were not earning enough even to cover the bus fare to work. At a loss as to how to help them, the only advice that a local charity could give them was that the partner should leave her job, because it was pushing them further into debt. Reluctantly, they went to claim jobseeker’s allowance, but were told that she had left the job voluntarily and were sanctioned for three months. The mother said:

“We were receiving 15 minutes of work a day that is around £1.10 a day. If this…wasn’t a good reason for leaving a job, I truly do not understand what is.”

That is not an accident of the system; that is the system.

The level of confusion in the Government is astonishing. The Department for Work and Pensions website states:

“We expect claimants to do all they reasonably can to look for and move into paid work. If a claimant turns down a particular vacancy (including zero-hours contract jobs) a sanction may be applied, but we will look into the circumstances of the case and consider whether they had a good reason.”

Only a couple of weeks ago, however, I had a letter from the Minister stating:

“It may be helpful to explain that Jobseeker’s Allowance claimants are not required to apply for a zero hours contract job and cannot be sanctioned for refusing to accept employment under a zero hours contract or for leaving such employment voluntarily.”

She even went to the trouble of underlining some of the words in that sentence. When she responds to the debate, will she tell me how that fits with what happened to my constituents only recently? Will she tell us what the policy is? Perhaps she would like to explain it to people who are trying to navigate the system and work within it, but who find that there is no safety net.

Mark Spencer Portrait Mr Spencer
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Surely the hon. Lady has to accept that in a complicated welfare system, with officers working in jobcentres, on occasion a mistake will be made. That may happen at times. The question is, how do you put that problem right? If the rules are being set by the Government, but sadly on occasion being misinterpreted or misunderstood, we have to find a system that puts that right. Accidents will happen, but it is a question of how we put them right quickly.

Lisa Nandy Portrait Lisa Nandy
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The hon. Gentleman does not seem to be listening: the rules are the problem and make no sense. I have just quoted two examples, one from the Minister and one from the Minister’s departmental website, that contradict one another. Neither makes any sense in the context of what happened to my constituents. I have written back to the Minister to ask what on earth is going on, though I have not had a reply yet. I hope that I will get a reply, and that all the people stuck in the same situation as the one my constituents just went through will get any reply at all.

In “The Trial” by Kafka, the hero of the novel, K, said:

“But I’m not guilty…there’s been a mistake. How is it even possible for someone to be guilty?”

The priest replied:

“That is true…but that is how the guilty speak.”

That is exactly what is happening to people in the system. There is nowhere to turn; there is no way to fight their way out of the system. That is not an accident of the system; that is the system, and it is time that the Government did something about it.

The saga for the family in my constituency continued—that was not the end of it. After the sanctions were lifted, they were told that they had to sign on every day at an unpredictable time, and that for a family with two-year-old twins. One of the parents said that once her partner

“had to take our two sick, contagious children who were suffering (from hand, foot and mouth disease) with her to a job centre appointment as the adviser said you must come in, bring them on the bus with you. Even when we replied but they have a temperature of over 40 degrees his response was if you don’t come in we will have to issue a further suspension. We live in fear that our money will be stopped and this hell will never end.”

That is indeed a hell.

Margot James Portrait Margot James (Stourbridge) (Con)
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I have great sympathy for some of the individual cases that the hon. Lady has talked about, but I want to introduce a note of perspective based on my own constituency experience. The last time I checked with my jobcentre, just before Christmas, fewer than 5% of all the people seen there had been sanctioned over the previous 12 months. We are talking about a minority, and she is talking about a very tiny minority of an already small minority. I also want to put in a word for the sanctions regime, because from the experience of what I have seen, the threat of sanctions has been of assistance in galvanising people to maintain their appointments and genuinely to seek work.

Lisa Nandy Portrait Lisa Nandy
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I am grateful to the hon. Lady for trying to bring statistics to the debate, but they do not reflect the reality. Glasgow university has found that across the country, one in five have been sanctioned, and 6,000 families in my borough alone. In the past few weeks, research from Oxford university shows that the majority of people who have been kicked off benefits due to sanctions have not gone into work. So it is simply not true to say that we are talking only about a minority.

Furthermore, although I know that the hon. Lady fights for people and against injustice—I have seen her do so on behalf of her constituents—if such things happen to families, they must be stopped. We should not tolerate what happens to families who are trying to find work and do their best. They might have to drag ill two-year-old twins across town because of the inflexibility and inhumanity that we have somehow managed to build into the system. It is a hell of low-paid jobs, zero-hours contracts and rising living costs. Frankly, the system lacks any compassion or understanding.

Can the Minister comprehend the social isolation being caused? A 39-year-old mum got in touch with me. She is struggling to walk because of spina bifida, which has deteriorated in recent years, and she has three kids. She applied for a personal independence payment, but was told—this is common—that it could take a year. She said:

“We don’t leave the house and I need help.”

A local reverend contacted me about a parishioner who had been sanctioned. She told me:

“He was living on one bowl of porridge a day and glasses of water to stave off the hunger. He sold his TV and most of his valuables. He’s a very gentle man who cannot understand how this has happened to him.”

I was contacted by a woman who took a cleaning job for 25 hours a week in Warrington, involving two buses, a train journey and a four-mile bike ride simply to get to work. It was a minimum-wage job and the travel alone came to £45 a week. When money was missing from the first pay packet—a common experience for many families who work in that industry—she was hit with rent arrears and threatened with eviction. She said:

“We only have £3 a week after our bills are paid meaning we can’t afford any shopping or gas once again.”

People are trying, but their Government quite simply are not on their side. When they ask for help, they are sanctioned. Nothing is done to stamp out the scourge of exploitative zero-hours contracts. There is no action on low pay; the Minister’s own Department accounts for more than half of the directly employed or contracted Government workers who earn less than £7.65 an hour. What could be more symbolic than the fact that her own Department has one of the worst records in Whitehall on paying the living wage? This crisis is of the Government’s own making.

We know what the real problem is: the lack of good, sustainable jobs that command decent pay. But because the Government have absolutely no answers to that problem they hit people hardest. Instead of tackling underemployment, they hit the underemployed. Instead of tackling low pay, they hit the low paid. They pick off those people who are least able to complain and while doing so they haemorrhage money on contracts to the private sector that do little to get people into work but create the living hell that my constituents have written to me about.

We are storing up so many problems for the future. The situation is pushing more and more people in my community into debt, and one of the biggest causes of that debt is the bedroom tax, which affects 4,500 households in my constituency alone. Rent arrears have gone through the roof and the vast majority are caused by one factor only-that callous, ineffective policy. Those families have never been in debt before in their lives. And it is not simply the same households—more and more people are being affected as their circumstances change, including 817 new families in my borough last year. There is quite simply nowhere for them to move to. In towns such as Wigan we built family-sized properties on purpose, because that was what people wanted and needed. We move people into those properties and then hit them with the bedroom tax and tell them to move, but there is nowhere for them to move to.

Many of those families have survived the past few years by claiming discretionary housing payments—in my constituency, the number is over 3,000. But that is senseless. We are burning money—we spent £412,000 on that in the last year alone. So what do the Government do? Instead of reversing a cruel and vicious policy that is ripping people out of their communities and pushing them into debt, they announced on Friday that they are slashing the money for discretionary housing payments by a quarter. Not that long ago, additional money for discretionary housing payments was being announced—with loud fanfare—and was aimed at disabled people and foster carers. I am really interested to hear from the Minister what assessment she has made of the potential impact of the cut on the 14,000 children who are waiting for a foster home or on people with disabilities.

The bedroom tax is senseless. It does not work. The DWP’s own analysis has shown that between May and December 2013 just 22,000 of the 500,000 households affected by the bedroom tax had downsized. It has done nothing to reduce private sector rents, either. The DWP’s figures show that rents have gone down by 76p a week, but the rent shortfall is over £6. The problem does not hit landlords; 89% of the cuts to housing benefit have hit tenants, and just 11% have hit landlords.

What is worse, on top of all that, is that many families—12,000 in Wigan—now have to pay council tax who did not have to do so before. As a result, arrears have gone up in my borough by 91%. To give hon. Members an illustration of the human cost of that, only last week my office staff were on the phone trying to stop bailiffs entering the home of an elderly couple who had got into difficulties with their rent and were desperately frightened.

The impact of all this can be seen right across my high street. Where there used to be shops, charity shops, small cafés and small businesses we now have loan sharks—people who lend at extortionate rates to those too desperate to go anywhere else. Loan sharks used to be seen as a blight on our society, but now it seems the Government are their best agent, stimulating demand and creating business for them. The signs are visible.

I will tell the Minister about the reality. It is not, as Baroness Jenkin said, that poor people do not know how to cook, but that poor people cannot afford the gas or electricity to do so. Many of my poorest constituents are on pre-payment meters. They get charged more and are cut off even if they have young kids. Once they get their benefits back they have to repay the debt before they can get the meter back on. My local reverend said:

“One family we found had no gas or electricity over the Christmas period. I put £20 on their gas card and they got only £8 of gas because it took the rest in fines and arrears.”

Margot James Portrait Margot James
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I want to put on the record the context of the quote that the hon. Lady attributed to Baroness Jenkin. She said it as a comment on society as a whole, because she felt that cooking skills had been lost from one generation to the next—that was the context in which she made that remark. The hon. Lady may know that Baroness Jenkin does a huge amount of work on poverty reduction.

Lisa Nandy Portrait Lisa Nandy
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At the very least, Baroness Jenkin took an interest in the issue, which is more than I can say for the Prime Minister or most of his Front-Bench colleagues. But I would say that that remark came in the context of a stream of remarks made by different Government members and Back Benchers from the hon. Lady’s own party that are hugely offensive to people who are stuck in the position I have described and are trying their best, only to find that the Government are not doing the same.

The head teacher of a school in the same area as the family whose £20 gas card was immediately eaten up by debt got in touch with me to say that the school is now having to use the pupil premium to employ learning mentors not to support children in the classroom but to go to family homes to try to sort out problems with vermin, lack of electricity and all the other things those families are not able to deal with themselves, or to find the families food or refer them to food banks. The former Secretary of State for Education, the right hon. Member for Surrey Heath (Michael Gove), said in 2013 that those families were

“not best able to manage their finances.” —[Official Report, 9 September 2013; Vol. 567, c. 681.]

That beggars belief. He was the Government Minister responsible for child welfare at the time; the fact that he even thinks that those families have finances to manage absolutely beggars belief.

The reality is that children and young people have been among the hardest hit. Barnardo’s got in touch with me when it saw I had secured this debate to tell me that increasingly it sees numbers of families in its projects who are reliant on food banks because their income is not keeping pace with the cost of living. What a waste that is. I know Barnardo’s really well. I used to work for the Children’s Society and worked closely with Barnardo’s on some of its projects for young people across the country. Barnardo’s unlocks the talent of children and young people, and helps them to develop, thrive and use their energies, passion and commitment in their local communities. Instead, in 2015, in one of the wealthiest countries in the world, it is diverting its resources to simply feeding and clothing our children.

Barnardo’s told me that the sanctions regime had had a particular impact on young people, especially care leavers, young homeless teenagers and teenage parents—arguably, those young people to whom, as a society, we owe the biggest responsibility. That is especially the case for young people leaving care: we are their corporate parent and hold responsibility for them. Homeless Link told me that 58% of young people seeking help because of sanctions have a mental health problem or other problem. Nationally, 42% of all sanctions relating to JSA affect 18 to 24-year-olds, including over 1,000 young people in my town.

That generation’s wages have fallen by 10% since this Government came to power. Those young people have lost the education maintenance allowance and the future jobs fund. They have seen tuition fees hiked to £9,000 a year and a record 1 million are out of work, yet their Prime Minister has the nerve to tell them that they should be “earning or learning” or they will lose their benefits. How can they? That is my question.

Barnardo’s told me about a young mum who was sanctioned for six weeks because she was attending a school appointment about her child’s behaviour. After she turned to a loan shark, her children, who were desperate to help, went shoplifting to feed the family. Do Ministers have any idea of the desperation that their policies are causing? A local police officer said to me that

“we used to find kids nicking stuff to sell but nowadays it’s more likely to be bread.”

Police forces in Lancaster, Cleveland, Northumbria and my own area of Greater Manchester have said that food and grocery thefts are on the rise. The local chamber of commerce said

“this crisis has been…caused by excessive debt.”

To echo the words of UNICEF:

“It is no accident…It’s possible to make better choices than we’ve made.”

Under the previous Government the number of children in poverty fell by 1.1 million—I know that because I was working with children and young people in the voluntary sector at the time. It also fell, as Ministers are fond of telling us, by 300,000 in the first year of this Government, but please let us not pretend that we do not understand that those figures lag two years behind Government actions.

There is no longer any twisting the facts. Child poverty is widely predicted to rise by 2020 on relative and absolute measures—it does not matter that the Government have made all of us poorer, because poverty is still on the rise. The latest estimates show an increase of half a million children living in relative poverty under this Government and 800,000 more in absolute poverty. None of the figures takes into account rising housing costs. It is not just the lack of material means, but the gnawing anxiety that goes with waking up every day, not having enough food to eat and not knowing what will happen and what the future holds. If Government policy does not change course, the Institute for Fiscal Studies says that child poverty will have doubled between 2010 and 2020. The Welfare Benefits Up-rating Act 2013 alone could push 200,000 more children into poverty.

Chris Heaton-Harris Portrait Chris Heaton-Harris (Daventry) (Con)
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I very much appreciate the list of anecdotes that the hon. Lady has given about people who have fallen on really hard times. There is a need for Government to act in certain ways, but surely she must understand that some responsibility lies at the door of the previous Government who caused the 7% drop in GDP and the massive deficit that the Government are trying to correct. Unfortunately, because of their mistakes, tough decisions have to be taken, but I am yet to hear anything from her about how more money can be made available from some sort of magic money tree somewhere that would allow her to reverse the decisions that the Government have taken.

--- Later in debate ---
Lisa Nandy Portrait Lisa Nandy
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That would carry more weight if the Government had managed to do anything like balance the books in the past few years, but the economic stupidity of this sort of policy is clear. In constituencies such as mine, when money is taken out of the pockets of the poorest, they will not spend in local shops and businesses. We have seen exactly what happens in that case: shops and businesses lose trade, then staff, and the vicious cycle continues. It sounds like the hon. Gentleman has just offered the best possible defence of trying to balance the books off the backs of the poorest.

There is an alternative. Germany, Poland, Canada and Australia have all seen child poverty fall in the past four years. The UK is one of only four countries where there has been an unprecedented increase in material deprivation among children. The truth is that those are political choices. I will also say to the hon. Gentleman that we were all present for the 2012 Budget, which had devastating effects in communities such as mine. That Budget, which slashed tax credits and benefits in real terms for people who were in or out of work—some of the poorest people in the country—also handed a tax cut worth nearly £2,000 a week to people who earn more than £1 million a year. Those are political choices and to pretend otherwise is to deny the facts.

Chris Heaton-Harris Portrait Chris Heaton-Harris
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I thank the hon. Lady for giving way a second time. I guess there will always be a difference in politics between the two sides in this debate—I think that 1% of people paying 30% of income tax is actually quite a good deal for 99% of people, but let us put that to one side. What alternative is she offering? How will she pay for any of the reverses in policy that she is asking for? There has been no suggestion at all. Every time that the Opposition find an imaginary pot of money, whether it be from stopping tax avoidance in some scheme or whatever, they spend it 12 or 13 times. Give us one single way in which the Opposition will find money to spend on these schemes, please.

Lisa Nandy Portrait Lisa Nandy
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I will give the hon. Gentleman not one, but several. First, put money back into the pockets of the poorest, because they will spend that money and the economy will grow. That means stamping out things such as zero-hours contracts that exploit people in the ways that I described. Secondly, raise the minimum wage, which will give people greater security in their homes—jobs that pay the rent and cover travel costs.

Chris Heaton-Harris Portrait Chris Heaton-Harris
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That is all money out and no money in.

Lisa Nandy Portrait Lisa Nandy
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That is not money out. I will explain this to the hon. Gentleman, because he obviously needs to understand but does not at present. In this country we are unique in having major structural problems in our economy, which means that poverty is higher than in most other countries even before tax and spending decisions are taken into account.

First, it is the Government’s failure not to tackle root causes such as low pay and zero-hours contracts that causes the level of poverty to be so high in the first place. Secondly, because we then need to spend so much money in income transfers to compensate for that, unfair decisions are made that benefit richer people at the expense of poorer people, which compounds the problem. That is why we have had the explosion of food banks in recent years and why, 30 years after the miners’ strike where the community in my constituency had to come together to feed and clothe our children, because of this Government we are having to do that once more.

I will tell the hon. Gentleman this as well: people are not just being caused distress, anguish and despair, but having their health and safety put at risk. On Monday, a paediatrician, Dr Colin Michie, spoke out about the increase in malnutrition-related hospital admissions in children aged under 16. Hospital admissions for malnutrition doubled between 2008 and 2012 and last year 6,520 people—a seven-year high—were admitted to hospital because of that. The Faculty of Public Health’s John Middleton said that food-related ill health was getting worse

“through extreme poverty and the use of food banks”.

People cannot afford good quality food, so malnutrition, rickets and other manifestations of extreme poor diet are becoming apparent. It is almost inconceivable that in this country in 2015 we are seeing the return of Victorian diseases. Hospital admissions for scurvy have doubled under this Government since 2010.

Mark Spencer Portrait Mr Spencer
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I wonder whether the hon. Lady could help us by giving a definition of the types of food that she means. Products such as potatoes and fresh carrots are actually the cheapest sources of food available.

Lisa Nandy Portrait Lisa Nandy
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I am sure that if the hon. Gentleman went down to a local food bank in his constituency and explained to his constituents that they should be buying carrots and potatoes, they would thank him for that in May. That is the sort of attitude to people whose poverty has been caused by the Government that does his party so much harm, and deservedly so.

I will say this to the hon. Gentleman: food prices have increased by 12% in the past few years, but wages have fallen by 7.6%. Those are the facts and that is why families do not have enough to feed and clothe their children. The British Red Cross is more used to working in countries torn apart by war, famine and disaster, yet, because of the Government’s actions, a couple of years ago it had to launch an emergency appeal to feed and clothe our children.

It was Nelson Mandela who said:

“There can be no keener revelation of a society’s soul than the way in which it treats its children”,

yet here we are, forcing parents to drag ill two-year-olds across town on buses. Children have to grow up in cold, damp conditions without gas, electricity and enough to eat. Children are admitted to hospital because of hunger. Schools, vicars and charities are stepping in to help and finding themselves overwhelmed. If that is the measure of our soul as a country, what sort of society have we become under the Government?

The truth is that it could be so different. I tried to explain that to the hon. Member for Daventry (Chris Heaton-Harris) a moment ago, but I will try again—perhaps he will understand. We have got one of the highest child poverty rates in Europe—second only to Ireland—because of factors such as low pay and that is before anything is done through the state to try to tackle that. Once decisions on tax and welfare such as those that the Government have made are taken into account, child poverty goes through the roof.

The IFS shows that tax and benefit changes made by the coalition have hit the poor and families with young children hardest and reduced household incomes by £1,127 a year. Professor John Hills from the London School of Economics said it was true that the very rich, with incomes of more than £100,000, had lost out more than the average, but, when viewed as a proportion of their income, it was the poorest—those who could least afford it—who had lost the most.

It is the abject failure to tackle the root causes of these problems—low pay, under-employment and insecure work—as well as tax and benefit decisions that hit the poor hardest that is pushing more and more children into poverty. I say this to the Minister: even those flagship measures that are held up—usually by the Liberal Democrats, who are not here today—as ways of tackling poverty, such as raising the personal tax allowance, do little for the lowest paid. Many of those people do not pay tax anyway, so those measures do not help them at all. Others keep just 15p in every extra pound, because in-work benefits such as housing benefit get withdrawn.

The director of the Child Poverty Action Group in Scotland has said:

“All the EU countries with much lower child poverty rates than us use income transfers for poverty prevention. If they can do so much better for their children, then so can we.”

The legacy this Government are set to leave is one of rising child poverty and Budgets that have made the poor much poorer and many wealthy people wealthier still. As a country, we used to know about these things. The previous Government got more lone parents back into work. Like many other countries, we used the tax and benefit system to give families a basic income. Under this Government, however, real spending per child on early education, child care and Sure Start fell by a quarter in just three years. If the Government do not want to use the tax and benefit system to tackle child poverty, they could tackle the root causes. They could learn from Denmark or Slovenia—countries where child poverty is already relatively low, so the state has to do less heavy lifting through the tax and welfare system.

It is typical of this Government that, instead of seeking to deal with the causes, they attack the symptoms: they attack the people, not the problems. Instead of tackling child poverty, they get tough on children in poverty—and not just children, but those who try to help them. The Work and Pensions Secretary accused the Trussell Trust of publicity-seeking and scaremongering for daring to tell the public how many people it was having to feed in 21st-century Britain. The Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Act 2014 gags charities and campaigners and prevents them from speaking out, but it does nothing to tackle the problems in the lobbying industry and in politics. Special advisers threaten charities. The Justice Secretary takes to the Daily Mail—that bastion of social justice—to attack charities as left-wing single-issue groups, and he restricts their right to challenge the Government’s appalling actions.

That sums up exactly what this Government is all about: if you have a problem with unemployment, attack the unemployed; if you do not know what to do about immigration, attack immigrants. Bobby Kennedy once said:

“there is another kind of violence, slower but just as deadly, destructive as the shot or the bomb in the night. This is the violence of institutions; indifference and inaction and slow decay. This is the violence that afflicts the poor, that poisons relations between men…This is a slow destruction of a child by hunger, and schools without books and homes without heat in the winter.”

That will be the Government’s legacy: an attempt to loosen the bonds that bind us, through indifference, inaction and slow decay.

Five years ago, Conservative Members talked about broken Britain. I used to think that was an analysis; now, five years on, I have come to realise that it was actually a manifesto. This is the broken Britain they talked about, and they created it. I say this to the Minister: in the end, this will not work. It started as an attack on just the poor, but it is pulling in more and more people, and it is tearing apart communities.

The situation was summed up for me by a woman of 60. She has never been in debt in her life, but she got into arrears after her daughter moved out and she was hit by the bedroom tax. She simply cannot afford the extra rent, so she is trying to move, but she has nowhere to move to, because there are no one-bedroom properties spare in my borough. My local reverend, Denise Hayes, told me, “She has all her friends and community here. She is someone we need on the estate. She is a good example for others.”

People can be in work or out of work—half the children living in poverty today are from working households. This is not about just the poor any more—it is about children, cancer patients and pensioners. Let me tell the Minister this though: the Government should be worried. New bonds of solidarity are forming, just as they did in the 1980s, when these things happened before. Those bonds are forming in communities such as mine, as more and more people are affected and more and more refuse to give in. They can see that what is happening is an attack not just on the poor, but on our basic decency as a society. Like me, they know that Britain can do so much better.

None Portrait Several hon. Members
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Dominic Raab Portrait Mr Dominic Raab (Esher and Walton) (Con)
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I will be as quick as I can, Mr Crausby, and try to stick to your time limit. First, I welcome the debate, even though the hon. Member for Wigan (Lisa Nandy) made a number of political points—

Lisa Nandy Portrait Lisa Nandy
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How does he know? He wasn’t here.

Dominic Raab Portrait Mr Raab
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I was here for the end of the hon. Lady’s speech—[Interruption.] I would be happy to take an intervention from her if she wants to make a point of substance, but we are very pressed for time.

Lisa Nandy Portrait Lisa Nandy
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Will the hon. Gentleman give way?

Dominic Raab Portrait Mr Raab
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Not at the moment—I said on a point of substance.

The key point is the systemic challenges that our economy faces. The fact is that our economy sank to 13th place from fourth place on the global competitiveness rankings, and has now climbed steadily but surely back up to 10th. That is the reason why we have job creation at a record high. If we really care about not just the economy but the most socially disfranchised, we have to care about the unemployed—the most vulnerable in our society.

Lisa Nandy Portrait Lisa Nandy
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Will the hon. Gentleman give way?

Dominic Raab Portrait Mr Raab
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I am not going to; I will make some progress. The hon. Lady spoke for a considerable amount of time and we are very pressed for time. Unemployment has fallen from 8% to 5.8%. Youth unemployment is down. Overall, there are 1.7 million more people in work. If we care about the most vulnerable in our society, that is the critical section of society.

Lisa Nandy Portrait Lisa Nandy
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Will the hon. Gentleman give way?

Dominic Raab Portrait Mr Raab
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I will—briefly.

Lisa Nandy Portrait Lisa Nandy
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I was simply about to say to the hon. Gentleman that had he been here for my speech and not been 45 minutes late, he would have heard that many of the families whose stories I recounted for those who were present are actually in work, or were in work when those problems arose. A story that he missed was about one of my constituents who was sanctioned for three months for being four minutes late for an appointment. The hon. Gentleman was 45 minutes late for the debate, and he does not seem to have suffered any adverse repercussions at all.

Dominic Raab Portrait Mr Raab
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I was following the debate, but unfortunately I was in a Committee, and I did give advance warning to Mr Crausby.

The key point that the hon. Lady needs to address is that all the policies that the Labour party is coming up with will stifle job creation. I gently point out to her that in her constituency, according to the House of Commons Library, unemployment doubled between 2005 and 2010, but has fallen by 63% between 2010 and the present day. Frankly, those facts tell us everything we need to know. When it comes to income tax—[Interruption.] She might want to listen as well as speak, because this is a debate, and I have listened very carefully to what she was saying—[Interruption.]

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Esther McVey Portrait Esther McVey
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The long-term youth claimant count is down 80% on the year. In fact, youth unemployment across the country has had its biggest fall in living memory. More than 170,000 more young people now have jobs. Those are just the facts. In the north-west region, the number of workless households is down by 41,000 since 2010, which is a decrease of 1.7%.

Last week, the local paper in Wigan stated that the number of apprenticeship vacancies in Wigan has hit a record high. There has been a 72% increase in the number of apprenticeship vacancies in Wigan posted online, and the paper said:

“An upsurge in firms willing to take on apprentices has been credited with bringing about a dramatic fall in young people not in employment”.

Lisa Nandy Portrait Lisa Nandy
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One reason why we have managed to get young people into apprenticeships is because the council has taken exactly the opposite approach to the Government. The council pays the living wage, has stamped out zero-hours contracts and has created apprenticeships. If everything is going so well across the country, why does the Minister think that the incidence of scurvy and the number of hospital admissions for malnutrition have exploded under her Government?