Oral Answers to Questions

Liz Kendall Excerpts
Monday 7th October 2024

(2 months, 1 week ago)

Commons Chamber
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Gregory Stafford Portrait Gregory Stafford (Farnham and Bordon) (Con)
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24. What estimate she has made of the number of pensioners in poverty who will not be entitled to the winter fuel payment in winter 2024-25.

Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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May I say briefly, Mr Speaker, that as my right hon. and learned Friend the Prime Minister has said, 7 October last year was the deadliest day in Jewish history since the Holocaust, and we stand firm in our commitment to bring the remaining hostages home and secure the immediate ceasefire and aid that civilians in Gaza and Lebanon desperately need.

An estimated 880,000 of the poorest pensioners are not claiming the pension credit they are entitled to, so they do not get the winter fuel payment or pension credit of up to £3,900 a year. That is why we have launched the biggest ever drive to increase pension credit uptake and ensure that the poorest pensioners get the support they deserve.

Ben Obese-Jecty Portrait Ben Obese-Jecty
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Having spent the run-up to the election scaring pensioners into voting for them by claiming it was the Conservative Government who were a threat to their wellbeing, some of our poorest pensioners will now be forced to find out how difficult it is to keep warm huddled around Labour’s gaslight. Given that the Government’s own equality analysis states that only 100,000 of the 880,000 pensioners who are eligible for pension credit are expected to apply for it, if all those who are eligible do apply, how much more will that cost compared with the initial saving from removing the winter fuel payment?

Liz Kendall Portrait Liz Kendall
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I say gently to the hon. Gentleman that upon coming into government, we discovered that 880,000 pensioners are not claiming the pension credit they are entitled to. Given that his former Government failed to take action to deal with that issue, I suggest that instead of making that point, he works with his council to increase pension credit uptake and looks at the £1.8 million we have given to Peterborough council to make sure that all the help for pensioners, including on winter fuel, is made available.

Wendy Morton Portrait Wendy Morton
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I remain deeply concerned about the pensioners in my constituency who will not be entitled to the winter fuel payment this winter—we are now into October. Given that we now know that just 14% of pensioners in absolute poverty receive pension credit, how can the Minister justify her Government’s claim that they are focusing support on those in the greatest need?

Liz Kendall Portrait Liz Kendall
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Again, I say to the right hon. Lady that the reason so many of the poorest pensioners are missing out is that her Government failed to increase pension credit uptake. We have launched the biggest ever programme to increase uptake of pension credit. For the first time, we will be writing to all pensioners on housing benefit, and I urge the right hon. Lady to work with her local council and others to make sure that the poorest in her constituency get the money they are entitled to.

Gregory Stafford Portrait Gregory Stafford
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Over 18,000 people in my constituency will lose the winter fuel payment, but this is not about figures; it is about individuals, which is why I am running a pensioners advisory service on Friday to help them with this issue. This is about people, so what does the Secretary of State say to people such as Rita in my constituency, who is looking after her husband who has multiple sclerosis and who will not be eligible for pension credit and therefore the winter fuel payment?

Liz Kendall Portrait Liz Kendall
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I know that the hon. Gentleman has focused over many years on health and healthcare issues, and I would say to him that we are in this situation because his Government left a £22 billion black hole in the public finances. Unlike Conservative Members, we take our responsibilities seriously, and I would urge him to work with his councils—they have received £7.1 million in Hampshire and £5.3 million in Surrey from the household support fund—to make sure that all pensioners get the money they are entitled to.

Lindsay Hoyle Portrait Mr Speaker
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I call the Chair of the Work and Pensions Committee.

Debbie Abrahams Portrait Debbie Abrahams (Oldham East and Saddleworth) (Lab)
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I welcome the work that my right hon. Friend is doing in ensuring that the uptake of pension credit is increased, but there are genuine concerns about people who are just above that threshold who will remain in poverty—just under a quarter of a million in the north-west alone. In addition to the fantastic commitment there has been through the household support fund, will my right hon. Friend be undertaking any other mitigations to ensure that those pensioners living in poverty, particularly disabled pensioners, will not fall foul of this?

Liz Kendall Portrait Liz Kendall
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I thank my hon. Friend for her question, and I welcome her to her position as Chair of the Select Committee. Alongside our work to increase pension credit uptake, the household support fund is available for those just above the pension credit level. My own council has done a lot of work to make sure that pensioners just above that level can get extra help with the costs of heating or energy debt. There is also the warm home discount, which is available not just to those on pension credit, but again to those just above that level if they are on low incomes and have high housing costs.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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I congratulate the Secretary of State on her ambition to sign people up to pension credit, but we know that about 780,000 people will not sign up in time and also that there are 1 million people in fuel poverty above that mark. Given that we are really worried now, as winter is approaching, about the impact that this is going to have, particularly on the health of older people, will she look at the work done by Energy Systems Catapult and NHS Gloucestershire on social prescribing to ensure that people can receive energy payments in that way?

Liz Kendall Portrait Liz Kendall
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My hon. Friend raises a very important point. This is not just about urging people to come forward and claim. We are writing to pensioners on housing benefit for the first time ever, and I am determined to bring forward the merger of housing benefit and pension credit, which the former Government delayed for years. I very much agree about the need to bring together social prescribing with help from the household support fund and other areas to make sure pensioners get all the help they need, and about the need to work with frontline NHS staff, as we are also doing, to make sure that the poorest who may be stuck at home with chronic conditions also know what they are entitled to.

Alistair Strathern Portrait Alistair Strathern (Hitchin) (Lab)
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It is clear that one of the drivers of pensioner poverty is the sheer number of pensioners eligible for pension credit who have been left not claiming it for successive years by the previous Government. I welcome the Secretary of State’s zeal for making sure that we put that right, but how can we as Members from across the House work with her Department to make sure that there are no unnecessary barriers for those who are eligible and in need of pension credit to claiming it this winter?

Liz Kendall Portrait Liz Kendall
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I would urge all hon. Members in this House to work with their local councils, as I am doing, to make sure that those on housing benefit and other pensioners know what they are entitled to, and to make sure that their councils know that the household support fund—the £421 million we have set aside this year, despite all the problems we face—is also available to those pensioners just above the pension credit level.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Secretary of State.

Liz Kendall Portrait Liz Kendall
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In 2017, the right hon. Gentleman’s party manifesto promised to means-test winter fuel payments. Until Conservative Members know that they have to apologise to the British people for the 200,000 extra pensioners in poverty over the past 14 years, and for a £22 billion black hole in the public finances, which we are now putting right but that has put the public finances at risk, they will remain on the Opposition Benches and we will remain on the Government Benches.

Mel Stride Portrait Mel Stride
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I think I need to correct the right hon. Lady: there were actually 200,000 fewer pensioners in absolute poverty under the previous Conservative Government. She quite rightly is pressing the uptake of pension credit, but if all those who are eligible for it take it up, that will cost £3.8 billion, which is substantially more than the saving that is scored at £1.4 billion. If she is successful in her aspiration, the costs will substantially outweigh the savings; if she is not successful, potentially millions of pensioners will be plunged further into poverty. May I ask her which it is?

Liz Kendall Portrait Liz Kendall
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There are 200,000 more pensioners in poverty, and I am happy to put those figures into the public domain to set the record straight. The savings we have put forward take into account the increase in uptake that we foresee. Unlike Conservative Members, we are determined and will do everything possible—they should perhaps ask themselves why they first announced the merger of pension credit and housing benefit in 2012 and then put it off until 2028—to change things and get people the money they are entitled to. We will bring that forward to ensure that all the poorest pensioners get what they are entitled to.

Lindsay Hoyle Portrait Mr Speaker
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I call Liberal Democrat spokesperson Steve Darling.

Steve Darling Portrait Steve Darling (Torbay) (LD)
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There are 2.7 million pensioners over the age of 80 who would have benefited from the £300 winter fuel allowance. They are among the most vulnerable in our society. The right hon. Lady is right to say that the previous Government let them down, but let us not add insult to injury and have the new Government let them down. Can she reassure the House that she will reverse the regressive approach that she has taken to the winter fuel allowance, and not hit the most vulnerable people who are over 80?

Liz Kendall Portrait Liz Kendall
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I thank the hon. Gentleman for his question. He will know that this was not a decision that we wanted or expected to make. The reason we have taken it is that we have to deal with the £22 billion black hole in the public finances left by Conservative Members. But in doing so, we will as a progressive party always prioritise the very poorest pensioners. That is why we are so determined to end a situation where up to 880,000 people miss out on the winter fuel allowance because they are not getting pension credit. We are determined to put that right.

Johanna Baxter Portrait Johanna Baxter (Paisley and Renfrewshire South) (Lab)
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2. What steps she is taking to reduce the time taken for Access to Work claims to be processed.

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Torsten Bell Portrait Torsten Bell (Swansea West) (Lab)
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13. What steps she is taking to progress the work of the child poverty taskforce.

Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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Tackling child poverty is a top priority for the new Government, and a personal priority for me. Children cannot fulfil their potential without food in their belly or a decent roof over their head, and we cannot fulfil our potential as a country when the talents of so many are left behind. That is why our new child poverty taskforce will drive action across every area of government to drive up family income, drive down family costs and give every child the best start in life.

Torsten Bell Portrait Torsten Bell
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I welcome the establishment of the child poverty taskforce. How will the taskforce ensure that lessons, including on the role of housing costs in driving up relative poverty and the necessity of growth to drive down absolute poverty, will be learnt from previous attempts to drive down child poverty in Wales and across the UK?

Liz Kendall Portrait Liz Kendall
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My hon. Friend makes a very important point about learning the lessons from the last time we were in government and lifted more than 600,000 children out of poverty, and looking at similarities and differences, not least that there are more children growing up in poverty in households, whether in the private rented sector or in social housing, and that there are more children growing up poor in a household where somebody works. Getting and creating more good quality jobs, and helping families into those jobs, is absolutely a crucial part of our child poverty plan.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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Yet we have a situation where families with more children are impacted by the two-child cap and the benefit cap, and the Government are refusing to get rid of those things. At a stroke, they could lift thousands of children out of poverty and improve, overnight, their life chances. I appreciate the fact that the Government have the child poverty taskforce, but that is not making a difference to these children today, is it?

Liz Kendall Portrait Liz Kendall
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I am under no illusion about the impact 14 years of the Conservatives and the social security system has had on child poverty. That is why we are determined to take action across government to increase family incomes, drive down costs and, crucially, put in place long-term support, particularly in the early years. We will produce the strategy by spring. I am absolutely sure that every part of the plan will lift more children out of poverty.

Luke Akehurst Portrait Luke Akehurst (North Durham) (Lab)
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14. What assessment she has made of trends in the level of child poverty in the last 10 years.

Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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The last Labour Government lifted 600,000 children out of poverty. Under the Conservatives, the number went up by 700,000. There are now more than 4 million children living in poverty in the UK in the 21st century. In one of the richest countries in the world, that is a complete disgrace. That is why the work of the child poverty taskforce, which I co-chair with the Education Secretary, is so urgent and so important.

Luke Akehurst Portrait Luke Akehurst
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Almost a third of children in the north-east live in poverty. The problem is particularly acute in the region. Will the Secretary of State work with our Mayor of the North East, Kim McGuinness, on her excellent regional plans to reduce child poverty?

Liz Kendall Portrait Liz Kendall
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Yes, we have already met Kim McGuinness, on 19 September, when she set out the actions she is already taking. Let me say to Members on both sides of the House that our strategy will be out in the spring, but we will not be waiting until then to act. Nationally, we have put £421 million into the household support fund to help the poorest families, and mayors such as Kim McGuinness are doing amazing work: they are working with schools to ensure that people claim the benefits to which they are entitled, and, crucially, working with businesses to help them to do all that they can to tackle in-work poverty and ensure that working families receive the money for those children.

Alison Hume Portrait Alison Hume (Scarborough and Whitby) (Lab)
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15. What steps she is taking to tackle carer’s allowance overpayments.

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Chris Webb Portrait Chris Webb (Blackpool South) (Lab)
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T1. If she will make a statement on her departmental responsibilities.

Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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I am determined to put transparency at the heart of the DWP, so I have today published 31 reports that were sat on by the previous Government—something that my right hon. Friend the Minister for Social Security and Disability has long campaigned for. Under this Government’s leadership, the DWP will be honest about the problems that the country faces and focused on the solutions needed to help people build a better life. That starts with our forthcoming White Paper, to get Britain working again.

Chris Webb Portrait Chris Webb
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I first joined WASPI women—Women Against State Pension Inequality Campaign—in their welcome campaigning activity back in 2017. Seven years later, they are still fighting for justice. Can the Minister assure women in my constituency and across the country that she will act urgently, unlike the previous Government, and bring this injustice to an end?

Liz Kendall Portrait Liz Kendall
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I thank my hon. Friend for his question. I met representatives of the WASPI campaign before this Government were elected. My hon. Friend the Minister for Pensions was the first Minister to meet them in eight years. It really is a serious report that requires serious consideration. We will do everything possible to get this issue resolved as soon as possible.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Secretary of State.

Mel Stride Portrait Mel Stride (Central Devon) (Con)
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On 10 September, two days before recess, I led a debate in this Chamber, secured by the Conservative party, on the winter fuel allowance. The right hon. Lady spoke just now about transparency, but there was no equality impact assessment made available for that debate. Indeed, on 30 August, by way of a written question, my hon. Friend the Member for Hinckley and Bosworth (Dr Evans) established that the Government had no intention of publishing that particular report. Yet on 13 September—two days after the debate and the vote, and one day after Parliament had risen—the report was made available. It was clearly, in my opinion, deliberately withheld. Does the right hon. Lady agree?

Liz Kendall Portrait Liz Kendall
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That is not true. The Conservative Government did not even allow the Office for Budget Responsibility to do an analysis of Liz Truss’s disastrous mini-Budget and sat on 31 publications that, under their own rules, should have been published. We published an equality analysis. The right hon. Gentleman will know that that was never done for secondary legislation when he was in government, but this Government will be open and transparent, which is what we are already doing.

Paul Davies Portrait Paul Davies (Colne Valley) (Lab)
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T5. Since the election, numerous constituents have contacted me to raise concerns about the Child Maintenance Service’s inefficiency in collecting arrears payments. Can the Minister outline the measures being taken to enhance the service’s effectiveness in this area?

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Lindsay Hoyle Portrait Mr Speaker
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Order. These are topical questions, so please can we keep them short? I have to try and get through the list to help others.

Liz Kendall Portrait Liz Kendall
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My hon. Friend has raised these issues with me before, and I will absolutely meet children, families and child poverty organisations from her constituency. We aim to visit every region and every devolved nation as part of that strategy, and I look forward to meeting her and her constituents then.

Vikki Slade Portrait Vikki Slade (Mid Dorset and North Poole) (LD)
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T2. Data from Marie Curie suggests that 90,000 people die in poverty every year, many of them after a terminal diagnosis. Even with the help of the special rules system, there have been reports of terminally ill people facing mounds of red tape when trying to claim benefits. Is the Minister satisfied that the current 12-month limit on special rules is sufficient, and has she assessed how the current administrative burden on terminally ill people claiming benefits can be reduced?

Liz Kendall Portrait Liz Kendall
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The hon. Lady raises an extremely important question, which I have discussed with a hospice and other organisations such as Marie Curie and Sue Ryder in my own constituency. I want to look at how the system can be made to work as quickly and swiftly as possible, particularly for people at this very difficult time in life, and I would be happy for the Social Security Minister and my office to contact her directly to get more information.

Marsha De Cordova Portrait Marsha De Cordova (Battersea) (Lab)
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T7. Research by Sense has found that none of the computers in jobcentres across Britain are equipped with specialist assistive technology, and it has estimated that it would cost £5 million to ensure that every jobcentre had that specialist assistive technology. Will the Minister commit to introducing a jobcentre assistive technology fund in order to aid disabled people in their quest to look for work?

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Priti Patel Portrait Priti Patel (Witham) (Con)
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With employers in Witham and across the country about to be whacked with a barrage of higher taxes, thanks to this Government, how do the Government expect employment levels to stay high? How do they expect small businesses to be at the heart of any employment strategy that they claim to have?

Liz Kendall Portrait Liz Kendall
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Under the previous Government, we had the highest taxes in 70 years, and jobcentres to which only one in six employers ever went to recruit. We will transform our jobcentres into a new jobs and careers service, so that people get the help they need, and so that employers can recruit the staff they desperately need.

Markus Campbell-Savours Portrait Markus Campbell-Savours (Penrith and Solway) (Lab)
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T10. I welcome the Government’s proposed fraud Bill. Can the Minister explain how it will claw back money from people who cheat the system, while also protecting privacy?

Graham Stuart Portrait Graham Stuart (Beverley and Holderness) (Con)
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I thank the Secretary of State for her personal commitment to transparency. Further to the question asked by the shadow Secretary of State, my right hon. Friend the Member for Central Devon (Mel Stride), will she share with the House how many thousands of people will die as a result of Labour’s choice to cut the winter fuel payment?

Liz Kendall Portrait Liz Kendall
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I am very happy to share the data: there are 200,000 more pensioners living in poverty after 14 years of Conservative government. I am also very happy to publish information showing a 152% increase in pension credit claims, thanks to the big, bold campaign run by this Labour Government.

Oliver Ryan Portrait Oliver Ryan (Burnley) (Lab/Co-op)
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My constituents want a fair and robust welfare system, but they have no truck with fraud. Can the Secretary of State assure my constituents that she is doing everything she can to crack down on fraud, and to make sure that those who genuinely need help get it?

Social Security

Liz Kendall Excerpts
Tuesday 10th September 2024

(3 months, 1 week ago)

Commons Chamber
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Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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This has been a really important debate about a serious issue, with many heartfelt contributions. My hon. Friend the Member for Hackney South and Shoreditch (Dame Meg Hillier), the new Chair of the Treasury Committee, forensically set out the delayed and deferred decisions by the former Government that have put such pressure on the public finances. My hon. Friend the Member for Oldham East and Saddleworth (Debbie Abrahams) rightly spoke about pensioners, children and disabled people in poverty, and the need to do much more to support them. The hon. Member for North East Fife (Wendy Chamberlain) talked about the crucial issue of pension credit uptake and what we will do differently. I will say more about that later, but I reassure her that the Treasury is fully behind the action that we are taking.

My hon. Friend the Member for Shipley (Anna Dixon), who has huge experience in health and social care, talked about the need to work with those in supported accommodation, housing associations and the NHS to ensure that pensioners get the help that they are entitled to. I will spell out some of that action. My hon. Friend the Member for Rossendale and Darwen (Andy MacNae) made a strong case for targeting help to the poorest pensioners and the need to tackle the root causes of poverty, including insulating homes and bringing down energy costs. My hon. Friend the Member for Poole (Neil Duncan-Jordan) mentioned, among many things, the very long and complicated pension credit form, which I have asked the Department to reduce to make it as simple as possible.

I would like to start by setting out why we have taken the difficult decision to means-test winter fuel payments so that they are no longer available to all pensioners whatever their income, but are focused on those in the greatest need. Put simply, it is because we must fix the foundations of our economy as the first step to rebuilding Britain and making the changes that our country desperately needs, and because when money is tight, our priority must be to target resources at those who need them the most.

Opposition Members do not want to be reminded of their record and the state they left the country in, but their economic failure and reckless decisions left a £22 billion hole in the public finances this year, with a £6.4 billion overspend on the asylum system, a £2.9 billion overspend on the transport budget, and new roads, hospitals and train stations announced but not budgeted for. There was one unfunded commitment after another, and the reserves were spent three times over—spending like there is no tomorrow, with no thought for the consequences today. That is before we even begin to deal with the challenges we already knew about: NHS waiting lists at 7.6 million, more than 1 million waiting for a council home, a totally broken prison system and more than 4 million children growing up poor. Opposition Members want to deny that is the case, but the Office for Budget Responsibility is crystal clear: it was made aware of the true extent of the pressures on the public finances only after we were elected—pressures it says constitute one of the largest overspends outside the pandemic. Faced with that reality and the need to get the public finances on track this year, we took the difficult decision to focus winter fuel payments on those in greatest need.

Lucy Rigby Portrait Lucy Rigby (Northampton North) (Lab)
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I am grateful to the Secretary of State for giving way. Pension credit uptake is clearly critically important. From discussions I have had in my constituency, I know there are some myths around pension credit eligibility. Will the Secretary of State please confirm the efforts she is making on pension credit uptake, and does she agree with me that it is vital we ensure everyone who is eligible for pension credit receives it?

Liz Kendall Portrait Liz Kendall
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My hon. Friend is absolutely right. I would make that point in response to the faux outrage of Conservative Members, who left 880,000 pensioners, the very poorest, not getting the pension credit they are entitled to. I urge all hon. Members to work with us that their local councils to ensure pensioners get the money to which they are entitled.

As my right hon. Friends the Chancellor and the Prime Minister have said, this is not a decision we wanted or expected to make, but when we promised we would be responsible with taxpayers’ money we meant it, because we know what happens when Conservative Members play fast and loose with the public finances: working people and pensioners on fixed incomes pay the price with soaring interest rates, mortgages and inflation.

Liz Kendall Portrait Liz Kendall
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I will give way to the former Chair of the Treasury Committee.

Harriett Baldwin Portrait Dame Harriett Baldwin
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I thank the Secretary of State. Will she confirm from the Dispatch Box that if every pensioner who is eligible for pension credit takes it up, the cost to the Exchequer will actually be substantially more than the savings from axing the winter fuel payment?

Liz Kendall Portrait Liz Kendall
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Is that the reason why Conservative Members never took the action needed to increase pension credit uptake? We take a different approach. All the savings the Chancellor has announced take into account the increased uptake that we want and intend to achieve. When money is so tight, it cannot be right that all pensioners, including some of the wealthiest pensioners, receive a payment worth £200 to £300 a year regardless of their income.

Gavin Robinson Portrait Gavin Robinson (Belfast East) (DUP)
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I thank the right hon. Lady for giving way and allowing me the opportunity, at this late stage of the debate, to speak on behalf of the people of Northern Ireland.

Not in our name, Secretary of State. This is a political choice, irrespective of the debate back and forth between the Labour Government and the Conservative Opposition. It is not for us, it is not right and this measure is a measure of shame.

Liz Kendall Portrait Liz Kendall
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I know the right hon. Gentleman will care about the increase in uptake in pension credit that we need, and that he will also care about those just above the threshold, which I will turn to later on. That is a really important issue and I will address it head on, but first I want to spell out the principle underlying the approach we have taken, which is the most help going to those who need it most and significant support for all pensioners through the pension triple lock, backed by extra help available for those on low incomes.

Pension credit goes to 1.4 million of the poorest pensioners and is worth on average £3,900 a year.

Caroline Johnson Portrait Dr Caroline Johnson
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Will the Secretary of State give way?

Liz Kendall Portrait Liz Kendall
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I will not.

But the truth we had to confront coming into office was that up to 880,000 of the very poorest pensioners are not even claiming the pension credit that they are entitled to. That is a national scandal, and we are determined to make that change. The previous Government did nothing to tackle this issue properly. Indeed, in 2012 they promised to merge housing benefit and pension credit, which we know would significantly increase uptake, yet when I arrived in the Department I learned it would not happen until 2028—a decision that was taken on their watch. That is completely unacceptable and, unlike the Conservatives, we will change it.

Mike Amesbury Portrait Mike Amesbury
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I thank the Secretary of State for giving way and welcome the increased measures to target the 880,000 who, because of the actions of Conservative Members when they were in government for 14 years, have not received pensioner credit. There are people who have legitimate concerns about the low level of the threshold—hard-working people who have tiny pension pots. What mitigating measures will the Secretary of State put in place?

Liz Kendall Portrait Liz Kendall
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I will come on to extra help for those just above the threshold in a moment, but I want to spell out what we are doing on pension credit.

We have done more to increase pension credit uptake in the last two months than Conservative Members did in 14 years. We have written to all local authorities to ask them to identify eligible pensioners, including by sharing data. We are joining forces with Age UK and Citizens Advice to ensure pensioners check and apply. We launched a major awareness campaign, to continue right up to the deadline to apply on 21 December—and yes, pension credit will be backdated by three months—backed by 450 extra staff to ensure claims are processed as quickly as possible.

The Deputy Prime Minister, my right hon. Friend the Member for Ashton-under-Lyne (Angela Rayner), is working with housing associations and supported accommodation providers so that their residents know what they are entitled to. I am working with the Secretary of State for Health and Social Care, my right hon. Friend the Member for Ilford North (Wes Streeting), to ensure that frontline NHS staff can signpost older patients who may be housebound because of disabilities and chronic conditions. For the very first time, we are writing to all pensioners on housing benefit who are potentially eligible to encourage them to claim, something the Conservatives never did. In the longer term, because the only way to guarantee uptake is to make the whole process more automated, we will bring forward the merger of housing benefit and pension credit, which Conservative Members never did.

That is the extra help for the poorest that we are determined to deliver, but it is built on a bedrock of support for all pensioners through our commitment to the pension triple lock, which has seen the new state pension increase by £900 this year and £970 the year before. Our continued commitment to the triple lock means that the new state pension is forecast to increase by a further £1,700 over the course of this Parliament, including, if today’s Office for National Statistics figures are confirmed next month, an extra £460 from next April.

Paul Waugh Portrait Paul Waugh (Rochdale) (Lab/Co-op)
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When Gordon Brown introduced pension credit and lifted 1 million pensioners out of poverty, in the teeth of the opposition of the Conservative party—let us remind them Conservative Members opposed pension credit—he also introduced savings credit. Savings credit was specifically targeted at pensioners who saved for old age with a small savings pot and a second pension. What happened in 2016? The Conservative party scrapped it. Does my right hon. Friend not agree with me that we should not listen to the crocodile tears of those in the Conservative party?

Liz Kendall Portrait Liz Kendall
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I could not have put it better myself: there is faux outrage from Conservative Members about those just above the pension credit threshold, when it was their former Tory Chancellor, George Osborne, who took a red pen to it, meaning its value decreased, creating some of the problems we are now having to deal with.

There is much more we are doing to help low-income pensioners, including those just above pension credit: the £150 warm home discount; the household support fund, which we have just extended, with £500 million of additional funding that councils can use to help low-income pensioners; our warm homes plan to tackle the root causes of fuel poverty; and the fact that, because the only way to really control energy bills is through cheap home-grown energy, we have already legislated for Great British Energy. That is the difference a Labour Government make: fixing the foundations, taking the long-term decisions our country needs, prioritising help for those who need it most, helping all pensioners with the pension triple lock, and providing more help for low-income pensioners too.

We will not shy away from our responsibilities, as Members now on the Opposition Benches did. We were elected on a platform to deliver economic stability, rebuild the country and make the changes that our country needs; making it better and giving it its future back. Pensioners deserve better than the faux outrage of Opposition Members.

Question put.

Cost of Living

Liz Kendall Excerpts
Monday 2nd September 2024

(3 months, 2 weeks ago)

Written Statements
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Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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Today we are announcing funding for an extension to the household support fund, which will enable local authorities in England to help vulnerable people and families receive discretionary emergency crisis support as we help people through the winter.

Many councils also use the fund beyond emergency support, including working with local charities and community groups to provide residents with key appliances, school uniforms, cookery classes, and items to improve energy efficiency in the home.

The scheme will be worth £421 million in England and will run until the end of March 2025. The devolved Governments will receive consequential funding as usual through the Barnett formula to spend at their discretion.

The dire inheritance we face means more people are living in poverty now than 14 years ago, and this Government are taking immediate action to prevent a cliff edge of support for the most vulnerable in our society.

At the same time, we are taking action to fix the foundations of our country and spread opportunity and prosperity to every part of the country through our plans to grow the economy, make work pay, and get Britain working again.

That means delivering the biggest and boldest reforms to employment support for a generation, including through our upcoming White Paper to tackle the root causes of worklessness.

It also means reducing poverty and driving up opportunity through our child poverty taskforce, taking action across Government so every child, no matter where they come from, has the best start to life.

We will also root out the unacceptable levels of fraud and error in our welfare system so that taxpayers’ money supports those who need it most.

We are under no illusions about the scale of the challenge given our inheritance. We will not turn things around overnight, but our plan will transform lives.

By growing the economy and unlocking investment through the national wealth fund, launching Great British Energy to drive home-grown clean energy and lower bills, making work pay and developing a new child poverty strategy to give children the best start in life, the Government are looking at all levers available to unlock the potential of millions across the country and give them the platform they need to thrive.

Further details for the forthcoming extension will be published ahead of the launch of the new scheme in the coming weeks.

This funding will work to help those in need. Pensioners and others struggling with the cost of living over the colder months should contact their local council to see what support may be available to them. If applicable, please direct residents in your area to their local authority who will be able to help them access the household support fund in the coming months.

[HCWS58]

Labour Market

Liz Kendall Excerpts
Tuesday 23rd July 2024

(4 months, 3 weeks ago)

Written Statements
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Liz Kendall Portrait The Secretary of State for Work and Pensions (Liz Kendall)
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Today I am announcing plans to get Britain working as part of the Government’s No. 1 mission: growing the economy.

We have seen record numbers—2.8 million—excluded from the workforce due to long-term sickness and nearly 1 million young people—one in eight—are not in education, employment, or training.

The plans we are setting out will deliver an employment support system that addresses the labour market challenges of today and tomorrow.

We will set a long-term ambition to get to an 80% employment rate, alongside helping more people out of low paid and poor-quality work. To support this, I will work across Government to deliver fundamental reform in three areas:

Undertaking a major overhaul of jobcentres—bringing together Jobcentre Plus and the National Careers Service to create a new national jobs and careers service focused on helping people get into work and get on at work, not only on monitoring and managing benefit claims.

Establishing a youth guarantee—offering training, an apprenticeship, or help to find work for all young people aged 18 to 21.

Empowering local leaders and local areas to tackle economic inactivity—we will give local places the responsibility and resources to design a joined-up work, health and skills offer that is right for local people, as a key part of their local growth plans. The Department will support local areas to make a success of this new approach, including through devolving new powers over employment support to catalyse local action and change.

To drive these changes forward, as part of our growth mission, the Government will publish a White Paper, to set out the policy framework for delivering on these manifesto commitments. To help inform and shape our new approach, I will also be establishing a labour market advisory board of leading experts, chaired by Professor Paul Gregg, who will provide my Department with insight, ideas, and challenge as we design and drive a fundamentally new approach.

[HCWS18]

Women’s State Pension Age

Liz Kendall Excerpts
Monday 25th March 2024

(8 months, 3 weeks ago)

Commons Chamber
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Liz Kendall Portrait Liz Kendall (Leicester West) (Lab)
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I thank the Secretary of State for giving me advance sight of his statement, and thank the ombudsman and his staff for all their hard work. This is a serious report that requires serious consideration. The ombudsman has rightly said that it is for the Government to respond but that Parliament should also consider its findings. Labour Members will look carefully at the report too, and continue to listen respectfully to those involved, as we have done from the start.

The Secretary of State says that he will provide a further update to the House on this matter. When will he do so after the House returns from its Easter recess? This has been going on for years. He rightly says that issues around the changes to the state pension age have spanned multiple Parliaments, but those of us who have been around a little while will remember that the turning point that sparked the Women Against State Pension Inequality campaign was the Pensions Act 2011, in which the then Chancellor, George Osborne decided to accelerate the state pension age increases with very little notice. His comment that this

“probably saved more money than anything else we’ve done”

understandably angered many women. At the time, Labour tabled amendments that would have ensured proper notice was given so that women could plan for their retirement, which would have gone some way towards dealing with this problem.

The ombudsman began investigating how changes to the state pension age were communicated in 2019. In the same year, the High Court ruled that the ombudsman could not recommend changes to the state pension age itself or the reimbursement of lost pensions, because that had been decided by Parliament.

The ombudsman’s final report, published last week, says that, in 2004, internal research from the Department for Work and Pensions found that around 40% of the women affected knew about the changes to the state pension age. Does that remain the Government’s assessment? What is their assessment of the total number of women who would receive compensation based on the ombudsman’s different options? How many of them are the poorest pensioners on pension credit? How many are already retired or have, sadly, passed away? Given the Department already knew there were problems with communicating changes to the state pension age, why did the Government press ahead with the changes in the 2011 Act in the way they did, and in the way that sparked the WASPI campaign?

The Government are currently committed to providing 10 years’ notice of future changes to the state pension age, but Labour’s 2005 pension commission called for 15 years’ notice. Have the Government considered the merits of a longer timeframe, and how they would improve communications in future? Labour is fully committed to guaranteeing that information about any future changes to the state pension age is provided in a timely and targeted way that is, wherever possible, tailored to individual needs. Will the Government now do the same?

Crucially, the Secretary of State omitted to say that the ombudsman took the rare decision to ask Parliament to intervene on this issue because the ombudsman strongly doubts that the Department will provide a remedy. In the light of these concerns, and in order to aid Parliament in its work, will the Secretary of State now commit to laying all the relevant information about this issue, including all impact assessments and related correspondence, in the House of Commons Library so that lessons can be learned and so that Members across the House can properly do their job? Our current and future pensioners deserve nothing less.

Mel Stride Portrait Mel Stride
- View Speech - Hansard - - - Excerpts

I thank the hon. Lady for her response, not least on the apparent points of agreement between us. We accept that there are strong feelings about these complex issues, and she is right to say that they must be given serious consideration and that we should listen respectfully to all those affected. She asks when the Government will return to the House with a further update, and I can assure her that there will be no undue delay.

The hon. Lady made a slightly political point about the 2011 Act, and I gently remind her that the ombudsman’s report focuses on the period between 2005 and 2007, when her party was in government.

The hon. Lady asked a series of questions about various assessments based on the findings in the report. Of course, that goes to the heart of my response, which is—and I think she agrees with this—that we should look closely at the report in order to make those assessments.

On the hon. Lady’s specific point about notice of changes to state pension age, it has always been the position that that should be adequate. Indeed, in the last review that I undertook of it, there was a delay in the decision to increase the state pension age to 68 into the next Parliament. Among other reasons, that was to allow for just that point to be addressed.

What is particularly important now is that we will fully engage with Parliament, as we did with the ombudsman. On the hon. Lady’s point about the ombudsman, its chief executive stated on Sky News on Thursday, the day the report was published:

“The Government, the DWP, completely co-operated with our report, with our investigation, and over the period of time we have been working they have provided us with the evidence that we asked for.”

That is our record in this particular matter, but may I once again assure the House that the Government will continue to engage fully and constructively with Parliament, as we have done with the ombudsman?

Oral Answers to Questions

Liz Kendall Excerpts
Monday 18th March 2024

(9 months ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Secretary of State.

Liz Kendall Portrait Liz Kendall (Leicester West) (Lab)
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In the Budget, the Chancellor said that he wants to end national insurance contributions because the

“double taxation of work is unfair.”—[Official Report, 6 March 2024; Vol. 746, c. 851.]

People’s NICs records help to determine their entitlement to the state pension, so if national insurance is scrapped how will they know what pension they will get?

Mel Stride Portrait Mel Stride
- View Speech - Hansard - - - Excerpts

I am not surprised that the hon. Lady brings that up, because I am well aware of the position that her party has taken on the announcements that we have made. She will be clear in her own mind that the Chancellor has not guaranteed that we will reduce at one stroke national insurance contributions; it is an aspiration that has been spoken about as occurring over a number of years, if not Parliaments, so the problems that she is conjuring up to frighten pensioners are nothing short of political scaremongering.

Liz Kendall Portrait Liz Kendall
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The Secretary of State can bluster and deny all he likes, but the Prime Minister told The Sunday Times:

“We want to end this double taxation on work”.

It is there in black and white, so let me try again. How will people’s pension entitlement be determined if NICs are scrapped, and if the Government are going to merge NICs with income tax what will that mean for pensioners’ tax bills? Is the truth not that their unfunded £46 billion plan to scrap NICs is yet more chaos from the Conservatives, and Britain’s pensioners deserve so much better?

Mel Stride Portrait Mel Stride
- View Speech - Hansard - - - Excerpts

The hon. Lady quoted from The Sunday Times, and I scribbled it down:

“We want to end this double taxation”.

Of course we do, but that is not the same as a near-term pledge; it is a longer-term aspiration—[Interruption.] We have been quite upfront, quite unlike—[Interruption.] If she would care to hear me out, it is quite unlike the £28 billion firm commitment that her party made, and subsequently U-turned on, which was nothing short of fiscally reckless, and would have led to increases in interest rates, inflation, unemployment, and so on.

Budget Resolutions

Liz Kendall Excerpts
Thursday 7th March 2024

(9 months, 1 week ago)

Commons Chamber
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Liz Kendall Portrait Liz Kendall (Leicester West) (Lab)
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Thank you, Mr Deputy Speaker. Yesterday, the Conservative Government’s seventh Chancellor gave his second Budget—thankfully, the last before the general election. Ministers have repeatedly claimed that the economy has turned a corner, but they have driven it into a dead end. Our economy is smaller now than when the Prime Minister entered Downing Street. Not only was GDP per person down in every quarter last year, but it will be lower at the end of this year and lower, too, in four of the next five years. In this Parliament, we have had the biggest hit to living standards on record, and we have the highest tax burden for 70 years.

But people in this country do not need statistics to tell them the dire state we are in or that they are paying more but getting less. They see it every day in the higher cost of the weekly shop and in their gas and electricity bills. They see it in higher mortgages and rents and in soaring childcare costs. They see it in their crumbling school buildings and in the 8 am scramble to see their GP.

The argument I want to make today is that one of the central reasons why the Government have failed on the economy is that they have failed on work. For all the claims made by Ministers, the OBR lays bare the scale of their failure and the appalling cost to the British people.

The official unemployment rate is low, but that is not because a record proportion of people are in work. We are the only country in the G7 whose employment rate has not returned to pre-pandemic levels. Yesterday, the Office for Budget Responsibility revealed that our employment rate will be lower by the end of this year than it forecast in November; that the rate will be lower in five years’ time; and that in 2028-29 it will still not be back to where we were before the pandemic. That is the truth of what another five years of the Conservatives will bring.

The reality is that increasing numbers of people are leaving the labour market and not even looking for work. Whatever the Secretary of State says—he repeated it today—the OBR says that economic inactivity is increasing, not declining. It says that economic inactivity is proving more persistent than it previously thought. It is no longer declining from the post-pandemic high and has instead rebounded to a total of 9.3 million people—the highest in over a decade.

Much of the problem is driven by poor health, an issue raised by many hon. Members in this debate. On the Labour side of the House, we know that a healthy nation is critical to a healthy economy and that the Government are failing on both. Some 2.8 million people are now not in work because of long-term sickness—an all-time high. Many of them are over 50: often women struggling with bad hips, knees and other joints, often caring for elderly parents at the same time.

There has been an extremely worrying increase in young people out of work due to mental health problems, with many lacking basic qualifications. As the Centre for Cities has shown, all those problems are far worse in northern towns and cities, which the Conservatives promised to level up, but which have once again borne the brunt of their economic failure. In places such as Blackpool, Blackburn, Middlesbrough and Hull, if we include the hidden unemployed in the figures, it takes the official unemployment rate from 5% to 20%. The Labour party thinks that unacceptable.

The waste of individual potential is appalling, as hundreds of thousands of people who want to work are written off and denied help to get back on their feet. This is a waste for British businesses, which are desperate to recruit and need the talents of everyone in our country to grow and succeed. It is an appalling waste of taxpayers’ money, too. Over the next five years, 600,000 more people will be on sickness and disability benefit, which will cost an extra £33 billion—more than our day-to-day expenditure on defence.

The impact on our economy is profound. Yesterday, the OBR said that

“higher and rising levels of inactivity”

are offsetting increases in the size and growth of our population, and will leave GDP in five years’ time

“unchanged…and the level of GDP per person…lower.”

There it is in black and white: the Conservatives’ failure on work is a drag on the economy, a drag on growth, and a drag on living standards and money for our vital public services. That is not good enough.

Liz Kendall Portrait Liz Kendall
- Hansard - -

I will willingly take an intervention.

Mel Stride Portrait Mel Stride
- Hansard - - - Excerpts

I thank the hon. Lady. She is rightly not happy with the level of economic inactivity; that is why we are bearing down on it. Given that the level of economic inactivity was higher during every year of the last Labour Government, would she like to comment on their record on it?

Liz Kendall Portrait Liz Kendall
- Hansard - -

I will not take any lessons from a Government who are overseeing economic inactivity at record levels. The number of people out of work due to sickness is at a record level, resulting in soaring costs for individuals and livelihoods. If I were the Secretary of State, I would put in place a proper plan for reform, not offer half-baked programmes, rehashed and re-announced schemes, and more of the same empty rhetoric on benefits.

Mel Stride Portrait Mel Stride
- Hansard - - - Excerpts

If our plans are half-baked and rehashed, why has the OBR confirmed that by the end of the forecast period, 371,000 fewer people will be receiving the long-term sickness and incapacity benefits to which the hon. Lady refers? If our plans are half-baked, why will 371,000 fewer people be on those benefits?

Liz Kendall Portrait Liz Kendall
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The OBR says that there will be 600,000 more people on those benefits, and the total cost will be £33 billion. The Secretary of State tries to deny that the schemes are rehashed. Well, let us look at the reform to fit notes announced in 2023. Back in 2017, what did the Chancellor, then Health Secretary, announce? Reform to fit notes, taking them beyond GPs. The Government recently announced that there will be mandatory work placements. In 2011, what did they announce? A mandatory work activity programme. In 2017, the current Chancellor, as Health Secretary, said:

“We will appoint an Expert Working Group on occupational health.”

They are the same policies with the same failure. It is absolutely time for a change.

We do not have to go down this road; we can choose a different path. Under a Labour Government, we will do so. Our back to work plan will tackle the root causes of worklessness by driving down waits for NHS treatment, and we will recruit 8,500 more mental health staff. We will ensure that employment support is tailored to individual and local needs, by overhauling jobcentres to end the tick-box culture, and devolving employment support to local areas. In every part of the country, we will create more good jobs in clean energy and through our modern industrial strategy. We will make work pay and improve the quality of work, by ensuring a genuine living wage, banning exploitative zero-hours contracts, and strengthening rights to flexible working. And we will do more.

There are now 850,000 under-24s who are not in education, employment or training—one in eight of all our young people. That is a terrible waste for them and for our country as a whole. Given that half of all mental health problems start before people turn 14, we have to intervene earlier, so the first part of our offer to young people is about providing specialist mental health support in every school, and walk-in access in every community. That way, we will tackle one of the key drivers of worklessness before it takes hold. Secondly, we will deliver 1,000 new careers advisers, and good-quality work experience, so that young people leave school ready for work and ready for life.

Thirdly, we will overhaul skills by creating new technical excellence colleges and reforming the Tories’ failed apprenticeship levy, which has seen apprenticeship starts by young people fall by a third. Our new growth and skills levy will help young people to get the skills that they need, including by offering them a second chance at basic skills and pre-apprenticeship training if they did not get the right qualifications at school. Fourthly, we will provide new employment advisers for young people in our young futures hubs. They will offer joined-up specialist help and support, because the old, one-size-fits-all approach will not work when it comes to tackling this problem. Finally, we will overhaul access to work for young disabled people who want to work, so that they know what equipment, adaptations or personal support they will get before they start, giving them the confidence to take the plunge.

Our proposals are fully costed and funded, and will be paid for by scrapping tax breaks for private schools and closing the tax loopholes enjoyed by private equity fund managers. That is our offer to young people. This year, they and the rest of the British public face a choice: another five years of stagnation, low growth, high costs and worklessness under the Tories, or a long-term plan to get Britain building again, growing again and working again under Labour. The public know it is time for change. Let us have an election, and let us have the guts to have it now.

Oral Answers to Questions

Liz Kendall Excerpts
Monday 5th February 2024

(10 months, 1 week ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Secretary of State.

Liz Kendall Portrait Liz Kendall (Leicester West) (Lab)
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This morning the Office for National Statistics published the long-awaited updated figures from the labour market survey. Can the Secretary of State now confirm that our employment rate is even lower than previously thought, and that there are at least 200,000 more people out of work due to long-term sickness? We thought that the cost of health-related inactivity was an additional £15 billion a year since the pandemic, but given these new figures, can he tell the House how much more his Government’s failure is costing taxpayers every single year?

Lindsay Hoyle Portrait Mr Speaker
- View Speech - Hansard - - - Excerpts

Order. I remind Front Benchers that this is topical questions, which are meant to be short and punchy, and they should stick to the rules. Do we understand each other?

Mel Stride Portrait Mel Stride
- View Speech - Hansard - - - Excerpts

The hon. Lady refers to the latest weighted numbers just released by the Office for National Statistics, which show that unemployment as a percentage is lower than originally forecast. She cannot get away from the fact that there are 330,000 fewer people in economic inactivity since the peak. As a result of our work capability assessment reforms, the Office for Budget Responsibility has scored us as having 371,000 fewer people on long-term sickness benefits than would otherwise have been the case.

Liz Kendall Portrait Liz Kendall
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The former health Minister Lord Bethell says that he is “gobsmacked” by the figures, and that

“the economic hit will be hard”.

The Minister would do well to listen to his words. Yesterday, the Education Secretary said that the Government cannot guarantee that their promises will be met on childcare, which parents need in order to work. Today, their Prime Minister admitted that he has failed on NHS waiting lists, which the long-term sick need dealt with if they are to get back to work. Why does the Secretary of State not do the decent thing and admit that he has failed too, and adopt Labour’s plan to cut waits, roll out breakfast clubs, overhaul jobcentres and get Britain working again?

Mel Stride Portrait Mel Stride
- View Speech - Hansard - - - Excerpts

We are getting Britain working, unlike the Opposition, under whose last Administration unemployment increased, youth unemployment went up by 40%, some 25% more women were unemployed and 1 million people or thereabouts were stuck on long-term benefits for almost a decade. That was a disgrace.

Oral Answers to Questions

Liz Kendall Excerpts
Monday 18th December 2023

(1 year ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Secretary of State.

Liz Kendall Portrait Liz Kendall (Leicester West) (Lab)
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On Friday, pupils at Shaftesbury Junior School in my constituency gave me the lovely Christmas earrings that I am wearing, which they made themselves using computer-aided design. I am so proud of all their achievements, especially when more than a third of Leicester’s children are growing up in poverty, with all the challenges that brings. As my hon. Friends have said, figures from UNICEF show that under this Government the UK has had the biggest increase in child poverty out of the world’s 40 wealthiest countries. My question is simple: what is the Minister going to do about it?

Mims Davies Portrait Mims Davies
- View Speech - Hansard - - - Excerpts

The hon. Lady will have heard about our work on the LHA. I am extremely proud of the difference that it will make to families in her constituency and mine. With almost 1 million job vacancies across the UK, our firm believe is that supporting all families to progress and do well is the right thing to do. That comes with the full uprating that we have done this year on working-age benefits and supporting the LHA. The hon. Lady made the point that it has been a difficult time, and the household support fund and the cost of living payments, which start again on 6 February, will assist.

Liz Kendall Portrait Liz Kendall
- View Speech - Hansard - -

The Minister is completely out of touch with the reality facing families in Britain today: 3.8 million people face severe hardship this year, including 1 million children. Quite frankly, that is a shameful figure that has almost trebled since this Government abolished Labour’s Child Poverty Act 2010. Millions of parents are now worried about how they will feed, clothe or keep their children warm this Christmas, let along how they will buy them presents. When will the Minister change course, follow Labour’s lead and deliver a cross-Government child poverty strategy that gives every child the start in life that they deserve?

Mims Davies Portrait Mims Davies
- View Speech - Hansard - - - Excerpts

We will absolutely not follow Labour’s lead—let us look at their record. People might be worried ahead of Christmas. Cost of living payments, the household support fund, the benefits calculator and help for households are all out there. I want the people watching now to know that support is there. Progression will vary depending on circumstances; we have a tailored approach. We have 37 district progression leads to help exactly those families that the hon. Lady talks about.

Autumn Statement Resolutions

Liz Kendall Excerpts
Monday 27th November 2023

(1 year ago)

Commons Chamber
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Liz Kendall Portrait Liz Kendall (Leicester West) (Lab)
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My constituent David has a 30-year-old son with autism and severe obsessive compulsive disorder. David says that despite all the challenges his son faces, he has recently moved into independent living and is working really hard to try to find a job. David’s son has lots of skills, especially in computing and research, but because of his autism and, particularly, his OCD, he needs an employer who understands his conditions and will give him a real chance and offer him the work flexibility that someone in his situation needs. He is doing everything he possibly can to find work. He recently applied for a job at Tesco and was really pleased to get an interview, but because the job required a lot of overtime and there are limits on how many hours he can take because he is on employment and support allowance, he could not take up the offer.

This is the reality facing many sick and disabled people across Britain today. They want to work not just for the money, but for the sense of purpose, dignity, independence and self-respect that work brings. They deserve a Government who back their efforts and aspirations and who will tear down the barriers to their success, but under this Government nothing could be further from the truth.

The last few weeks have seen the Prime Minister, the Chancellor and the Work and Pensions Secretary railing against the soaring numbers of people out of work due to long-term sickness. It is as if, after 13 long years, this has nothing to do with them, but these problems have happened on their watch and they only have themselves to blame. Britain remains the only country in the G7 where the employment rate still has not returned to pre-pandemic levels, and 2.6 million people are now shut out of work due to long-term sickness, which is the highest number since records began. What do the Government expect when they have driven the NHS into the ground and let waiting lists soar to 7.8 million, and when social care has been forced to its knees?

And what is the result? There are more and more people over 50 out of work due to long-term sickness, with people struggling with bad hips, knees and joints left stranded on NHS waiting lists and waiting for treatment in discomfort and pain. Many of them are women who are trying to care for their elderly parents or other sick and disabled relatives at the same time, with precious little help from an unreformed social care system after 13 years of this Government.

The number of young people out of work due to long-term sickness has doubled over the last decade and now stands at more than 230,000. Much of that is driven by mental health problems, but it is compounded if such a young person lacks basic qualifications and lives in a part of the country—often a town or coastal area outside our large cities—that is struggling economically.

We know from brutal experience the terrible consequences that long-term youth unemployment brings, and all these problems are far worse in poorer parts of the country. The grim reality is that someone is twice as likely to be out of work due to ill health if they live in the most deprived fifth of areas in England than if they live in the least deprived fifth, with rates of worklessness due to long-term sickness among the over-50s rising three times faster in the north of England than in the south.

This is the reality of Conservative Britain, and it is such an unforgivable waste. It is a waste of individual talent and potential when millions of people who want to work are written off because they cannot get the support they need to get back on their feet. It is a waste for British businesses, which desperately need to recruit staff and use the skills and experience of everyone in our country to thrive and succeed. It is an appalling waste of taxpayers’ money too, with taxpayers paying an extra £15.7 billion a year in higher benefit bills and lost tax revenues compared with before the pandemic.

What are Ministers proposing to deal with a problem so serious that the OBR says it is a significant risk to fiscal sustainability, driving higher taxes and weakening our growth prospects? We heard a lot last week about how more sick and disabled people can work from home. Let us put to one side that, barely 18 months ago, the last Prime Minister but one, the then right hon. Member for Uxbridge and South Ruislip, said that working from home does not work, and the right hon. Member for North East Somerset (Sir Jacob Rees-Mogg) claimed that homeworking reduced productivity and led to higher taxes. I am a strong supporter of home and hybrid working but the reality is that by far the highest levels of homeworking are among people earning £50,000 a year or more. Two thirds of people who work from home have a university degree, compared with only around one in 10 of those with no qualifications. Did we hear anything from the Government about getting sick and disabled people the degrees and professional qualifications they need to secure these high-paid work-from-home jobs, or about how to get the internet access, computers, home adaptation aids and other support that they need, given that so many disabled people are living in poverty? We did not.

Instead, as I am afraid the Secretary of State repeated today, we heard a rehash of old plans that would not be needed if they had worked in the first place, and of measures so inadequate, unambitious and ineffective that they will fail to tackle the root causes of worklessness and get Britain working again.

The much-lauded reforms to fit notes and the new “expert group” on occupational health to drive improvements in employee health at work were both announced six years ago, in the “Improving lives” strategy that the Chancellor published when was he was Health Secretary back in 2017. The new mandatory work placements were first announced back in 2011, when the Government said jobseekers who need initial support to get back to work can be referred on to mandatory four-week work placements. I am all in favour of work placements and better occupational health, which I have campaigned for in my constituency for years, but reannouncing old programmes that clearly have not worked is not a plan for success.

As for the Government’s changes to the work capability assessment, Labour has been warning for years that benefit assessments are not fit for purpose and should be replaced with a simpler, clearer system that gets decisions right the first time and focuses on what people can do, not just what they cannot, as part of much wider reforms that give practical help and support to get people into work and to stay in work. But that is not what the Government are proposing and their plans are not a recipe for success.

That is not just my assessment, or the assessment of disabled people’s organisations and charities; it is what the Office for Budget Responsibility says in its response to the autumn statement. A reasonable person might think that the results of a successful back to work plan would probably start with fewer people out of work due to long-term sickness and disability, but that is not what the Government’s plans achieve: the OBR says that 600,000 more people will be on sickness and disability benefits after the Government’s plans. Might we expect a higher overall employment rate? Sorry, wrong again: the OBR forecasts that this will remain static at just 60.6%. What about lower spending on sickness and disability benefits overall? I am afraid we would be wrong again; the OBR says that spending on sickness and disability benefits will increase by a staggering £33 billion over the forecast period—that is up by a whopping 75%. That is the result of the Government’s plans.

Britain desperately needs an alternative plan to get Britain working again, and that is what Labour will deliver. Our top priority will be ensuring that everyone who can work, does, because rights to taxpayer support must go hand in hand with the responsibility to take up work and training when they are offered. Conditions have always been part of the social security system since the original Beveridge report, and under Labour that will always remain the case. But Beveridge also said that the state has a responsibility to do everything within its power to help people get back on their feet, including through an NHS that focuses as much on prevention and rehabilitation as on cure, and an economy that delivers full and productive employment across the country. That is why Labour’s fully costed, fully funded plan will tackle the root causes of worklessness, drive down NHS waiting lists, overhaul jobcentres, transform skills, reform social security and make work pay.

That starts with our long-term plan for the NHS, because we know that a healthy nation is the key to a healthy economy. We will invest an extra £1.1 billion a year, paid for by abolishing the non-dom tax status, to provide 2 million more NHS appointments and clear the NHS backlog. We will recruit 8,500 more mental health staff, with support in every school and in every community to tackle mental health problems early on, paid for by closing private equity bonus loopholes, because when half of all serious mental illness starts before the age of 18, we have to get that help and support early on.

We will go further still. We will overhaul jobcentres, so that they provide personalised help tailored to individual needs—not the one-size-fits-all approach that drives too much of what the Government do. Jobcentres will also have new duties to work in partnership with the local NHS, employers and others. There will be a new focus on helping people to progress out of low pay, because we do not just want people to get a job; we want them to get on in their job and to use their talents and skills to the full. That is crucial to improving productivity and putting money in people’s pockets.

Liz Kendall Portrait Liz Kendall
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I look forward to the Secretary of State’s intervention.

Mel Stride Portrait Mel Stride
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The hon. Lady has substantially described our plan. What she has not said is whether she supports it. Does she support our plan?

Liz Kendall Portrait Liz Kendall
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I do not support a plan that leads to £33 billion more spending at the end of the forecast period and 600,000 more people on sickness and disability benefits because the Government have failed to tackle the root causes of worklessness or to put a proper plan in place. I know that the Secretary of State is desperate to say that people on the Opposition Benches do not support conditions or the requirement to work, but work is our party’s name. We believe that the benefits of work go beyond a payslip to the dignity and self-respect that good work brings. We will devolve employment support, so that it works for local issues and local needs, because the man, or even woman, in Whitehall can never know what is best in Leicester, Liverpool or Leeds.

Instead of demonising disabled people, we will put in place a proper plan to ensure that those who can work, do. Our “into work guarantee”, backed by the Centre for Social Justice and the Social Security Advisory Committee, will provide real incentives for sick and disabled people, allowing them to try work without fear of losing their benefits if things go wrong. It seems that the Government have finally nicked our proposals, just as they did with our NHS workforce plan. I have no idea what took them so long. Unlike the Government, however, who have let waits for Access to Work support soar, we will drive those waits down so that people can get the adaptations, equipment, travel and other support when they need it, rather than having to wait for weeks on end.

That is not all. Our mission to break down the barriers to opportunity will overhaul skills, so that no one is ever written off, whatever their age, including with new technical excellence colleges and by reforming apprenticeships. We will make work pay with a real living wage and by banning zero-hours contracts and fire and rehire. We will help parents balance work and family life with breakfast clubs in every primary school and more rights to flexible working through our new deal for working people.

Above all, our driving mission in government that will drive everything we do will be getting growth across every part of our country, because that is the key to our future success. We will get Britain building again by overhauling planning with ambitious new housing targets and first dibs for first-time buyers. We will get Britain investing again, providing the long-term certainty and stability that businesses need, which have been so fatally undermined by this Government. With our national wealth fund, we will leverage private sector investment to create the jobs of the future and make Britain a clean energy superpower. We will get Britain innovating again with our modern industrial strategy and plans to make this country the best place to start up and grow a business.

This autumn statement, hot on the heels of the damp squib of a King’s Speech, proved—if proof were ever necessary—that after 13 long years, the Government have run out of road and run out of ideas. Conservative voters, and even Conservative Members, could be forgiven for wondering what on earth their party is for. They say that they are the party of lower taxes, but the tax burden is the highest for 70 years, and working families are paying £4,000 a year more in taxes in this Parliament alone. They promised to take back control of our borders and stop the boats, but so far this year 27,000 people have arrived on small boats this year, their flagship Rwanda policy is in tatters, and, at 745,000, net migration is the highest recorded in history.

The Conservatives claim to be the party of home ownership, but home ownership has fallen under this Government, with couples now having to spend on average a decade saving for their first deposit, up from only three years under Margaret Thatcher. The armed forces have been cut and cut again, with the Army now employing a third fewer troops than it did in 2010, despite all the risks and threats that we face. Our criminal justice system is on its knees, with violent crime rising, court backlogs soaring and judges being told not to jail convicted criminals because the Tories have failed to build enough prisons. So much for being the party of law and order. That is before we even consider the dire state of our public services, where our schools are literally crumbling, patients are left dying in ambulances, and local government is on its knees.

Britain deserves so much better than this. I know from talking to people across the country, from Hastings to Erewash and from Swindon to Selby, that they are desperate for change, but the Conservatives cannot be the change from 13 years of their own failure. Under the leadership of my right hon. and learned Friend the Member for Holborn and St Pancras (Keir Starmer), we have changed the Labour party, and we stand ready to change the country. Let us have a general election, and let us have it now.

None Portrait Several hon. Members rose—
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