Department for Education

Lord Field of Birkenhead Excerpts

Tuesday 26th February 2019 Commons Chamber

[Frank Field (Birkenhead) (Ind)]

There has been a huge change in the debates that we have about poverty in this country. When I first came into the House, there were these rather distant debates in which we talked about what the poverty line should be and whether the Government’s benefits were adequate. We now face a situation—certainly in my seat and in the constituencies of others—that is a matter not simply of poverty and people being hard-pressed but of destitution. We cannot be surprised by that, because although the Government have rightly increased the national living wage and personal allowances, most of the cuts in public expenditure to rid us of the deficit have fallen on families and poor families on benefits. If one message goes out from this debate to the Chancellor, I hope that it is that enough is enough. The Prime Minister has talked about our now being through the austerity period; if we are, the first groups who should feel the relaxation of the whip of austerity should be the families who have been so badly hit by the cuts imposed on them to try to balance the books.

There have been seven main cuts, and I wish to remind the House of how extensive they are. They are not cuts that affect pensioners: all affect those who are of family age—families with children. The first is the freeze, which my hon. Friend the Member for High Peak (Ruth George) talked about. I congratulate her on securing the debate and on her contribution. Such a freeze is almost unheard of in our terms. In 1953, Harold Macmillan made the decision on behalf of the whole country that, as living standards rose, poorer people would benefit from those rises. Ever since then, Governments have tried to hold to that commitment. They have had varying degrees of success, but their intent has been that the poor should share in rising living standards.

Since 2011, we have had a freeze on benefits that means that the least advantaged—if I can put it in a sarcastic way—have suffered. For example, a single parent who is out of work and has one child has lost £888 of what their income today would be had the freeze not taken place. A single earner couple with two children have suffered the amazing cut in their living standard of £1,845. That alone, I hope, will get the alarm bells ringing in the Treasury, so that when the Chancellor makes his statement come the spring, we will see some change on banning the freeze for the final year.

[Neil Gray (Airdrie and Shotts) (SNP)]

I am glad that the Chair of the Select Committee has raised the benefits freeze. Our research through the Library shows that this final year of the benefits freeze is due to raise an extra £1.2 billion in savings for the Treasury, because of increased inflation. Does he not agree that, as a result, this Government should scrap the final year of the freeze?

[Frank Field]

I hope that long before the Chancellor rises at the Dispatch Box—the position that the Minister will be in when he replies to this debate—he will have made the decision that there will be no more freeze. He will say, I hope, that the freeze will be lifted, and I hope that, from this debate, we will build a movement in the country that convinces him and his Cabinet colleagues that that is the one overriding priority.

There are, however, six other cuts of which I wish to remind the House. The first of those six is the cut in council tax benefit. A total of 4.4 million families have been affected by this cut—of not paying council tax in full—with an average weekly loss of £3.

Let me turn now to sanctions, on which the Select Committee, the House and the Government quite properly indulge in debates. Three million people have been sanctioned since 2012. We know now that a person can be in work and sanctioned. I challenge the Minister to answer this when he replies to the debate: as a person can be sanctioned for not getting a higher income, even though they are in work, will he tell me how many work coaches in DWP have been sent for interviews by their colleagues because, given the amount of benefit that they draw as a result of the wages that they gain from DWP, they will now be sanctioned if they do not improve their income? Sanctions, therefore, form the second cut.

Another cut has come in the form of the lowering of the local housing allowance. Since 2013, 1.4 million of our fellow citizens have suffered an average loss of £50 a week. We are not talking about our salaries; we are talking about people who are earning very, very modest incomes from the benefits system.

On the bedroom tax, 704,000 of our constituents have suffered, on average, a weekly loss of £15 a week. A total of 197,000 households are affected by a benefit cut of between £63 and £73. Then there is the two-child limit, which affects 70,000 households, but which is likely to increase to 600,000, with an average weekly loss of £53. Any one of those cuts causes mayhem to the budgets of poorer people who have no savings—whether they are in work or not in work. I have witnessed in my constituency, as other Members have witnessed in their constituencies, an issue now not of poverty, but of people who struggle with all their might to maintain a roof over their heads.

[Heidi Allen]

I wish in a way that, at the time, I had been able to defend the courage of my good friend the Member for Bexhill and Battle (Huw Merriman). He is right that employment is up, but for the parts of the country that my right hon. Friend the Chair of Select Committee and I have seen on our tour—I hate that word because it sounds like a holiday—of food banks, what we saw were people who were utterly on the edge. With the greatest respect, universal credit is not built to deal with people who have no financial resilience at all. They are the people that we are talking about, and these cuts have absolutely cut them to the bone.

[Frank Field]

And beyond. Families know they are finished as a family if they lose their homes, so the fight is to keep the roof over their heads. They go without food; they go without heat; and they go without basic necessities. This debate is, for me, the first time that we have in this House to confront the system for those of our poorest constituents who face not just poverty, but destitution. They are the ones who have paid the most to bring down the budget deficit, and they should be first in the queue, as far as the Chancellor is concerned, to get relief when he makes that spring statement.

Oral Answers to Questions

Lord Field of Birkenhead Excerpts

Monday 11th February 2019 Commons Chamber

[Alok Sharma]

As my hon. Friend knows, we discussed this in an earlier question. Of course, the key thing is to get support to people, and where they have two payments in one assessment period and none in the following period, they should expect to receive their full universal credit payment.

[Frank Field (Birkenhead) (Ind)]

Does the Secretary of State think that, if the regulator had the power to commit to prison for seven years individuals who wilfully or recklessly mishandle a pension scheme, Sir Philip Green would now be in prison?

Social Security

Lord Field of Birkenhead Excerpts

Monday 4th February 2019 Commons Chamber

[Guy Opperman]

My hon. Friend asks his customary astute question, with his deep knowledge of this issue. The reality of the Government’s approach is that we wish to address the increase to 8%, get to April 2019, address the degree of opt-outs that follow from the increase to 8% and, at that stage, consider where we are. We have already had the 2017 automatic enrolment review, which agrees that the limit will go down to the first pound, and that we will go down from 22 to 18 in terms of the working population. The key point is that we should get to 8%; we should get this country up to a situation where we have ever larger numbers of people being not only part of automatic enrolment, but in a situation where they are up to 8%. That is possibly not the entirety of where we should be going, but, without a shadow of a doubt, it is a massive step forward.

[Frank Field (Birkenhead) (Ind)]

If I may follow the hon. Member for Amber Valley (Nigel Mills), who is a member of the Work and Pensions Committee, the Government clearly should be worried about people opting out when there are big changes. However, would the Minister and his Department argue to his colleagues from the Treasury, who are sitting just by him, that we could more profitably use some of the huge subsidies that go to higher rate taxpayers for their pensions to pay the contributions of those who are low paid?

[Guy Opperman]

I am in absolutely no doubt that my esteemed colleagues from the Treasury will be taking due note of the right hon. Gentleman’s advice and recommendations on pension tax relief, as he is the Chair of the Work and Pensions Committee. [Interruption.] They have encyclopaedic memories; they do not necessarily need to write particular words down, and they also have the benefit of Hansard. However, I am sure that the Chair of the Select Committee would agree that the primary purpose of auto-enrolment is to get to 8% and then to gain a proper understanding of where we are at that stage. There is a perfectly legitimate debate to be had across the House, on what is a cross-party policy formulated over 10 years, about where we then go in terms of employer contribution, employee contributions, the rates that one must go to and the tax relief that applies. That, I would suggest, is for another day. In those circumstances, I commend the orders to the House.

Oral Answers to Questions

Lord Field of Birkenhead Excerpts

Monday 7th January 2019 Commons Chamber

[Frank Field (Birkenhead) (Ind)]

I am so confused. Might I ask the Secretary of State whether the best news we have heard since the benefit was introduced is in fact correct? Is she postponing the mass migration? Is she limiting it to the 10,000? Is she then going to see how those 10,000 are looked after in the transfer? If that is so, may I thank her and congratulate her, and say that it is a real pleasure that she has introduced so quickly a key recommendation of the Select Committee?

[Amber Rudd]

I am afraid the right hon. Gentleman is a little ahead in his fulsome praise for me, which I always appreciate. As I said to him in the Select Committee before Christmas, I will want to consider carefully when I bring to the House the vote for the 3 million managed migration, which is scheduled for 2020. I am still considering when to do that. I can reassure him that there will be a vote on that before it takes place. The 10,000-person pilot, which was announced some time ago, will, as always, inform us how we do that.

Oral Answers to Questions

Lord Field of Birkenhead Excerpts

Monday 19th November 2018 Commons Chamber

[Amber Rudd]

I thank my right hon. Friend for his welcome. I share his view that it is vital that as universal credit is rolled out, we learn from any errors and adjust it, to ensure that it properly serves the people it is intended for. Of course I will look into that case—I saw the report—and, if appropriate, come back to him.

[Frank Field (Birkenhead) (Ind)]

I welcome the Secretary of State to her position. I will ask her an easy question. The Government will bring forward regulations on the migration of beneficiaries of the existing benefits to universal credit. Will she not bring forward the debate on those regulations until we have received the Select Committee report and the Social Security Advisory Committee has had another chance to look at the Government’s important amendments?

[Amber Rudd]

I am not sure that the right hon. Gentleman has properly badged that as an easy question. I will have to take a look at that and come back to him, I am afraid.

Universal Credit

Lord Field of Birkenhead Excerpts

Monday 5th November 2018 Commons Chamber

[Ms McVey]

My hon. Friend makes a very good point—he has probably been reading my mind. Outreach work is key: how do we get to the most vulnerable, whether people in isolated parts of the country or those with learning difficulties or transport difficulties? We will look at outreach work and perhaps a mobile bus. We should look at new, good ideas for connecting with our claimants.

[Frank Field (Birkenhead) (Ind)]

I thank the Secretary of State for the money she managed to claw back from the Treasury—I advise her for her own safety not to take routes home in the dark that pass the Treasury. A crucial element of her statement was the one-off, non-repayable sum for claimants who have been transferred to universal credit. Will she give the House an assurance that the sum—non-repayable, therefore incurring no debt—will be equivalent to the sorts of sums people would get if they were already on universal credit?

[Ms McVey]

We have made sure that that will be people’s benefit going forward. As I said, it is the sum that they need when they adjust from two to four weeks and it is, as the right hon. Gentleman said, non-returnable. That is to ensure that people can balance the money when moving from a two-week to a four-week payment. It is extra money.

Universal Credit

Lord Field of Birkenhead Excerpts

Wednesday 17th October 2018 Commons Chamber

[Ms McVey]

I will indeed.

[Frank Field (Birkenhead) (Ind)]

On a point of order, Mr Speaker.

[Neil Coyle]

I am really grateful to the Secretary of State—

[Mr Speaker]

Order. Before we hear from the hon. Gentleman—I am sure that his intervention will not be aggressive—we have a point of order from Frank Field.

[Frank Field]

On a point of order, Mr Speaker. As the Secretary of State is finding it so hard to see which Opposition Members are standing up wishing to intervene, might she use her glasses to recognise those of us who are doing so?

[Mr Speaker]

I did not have any impression that the Secretary of State was having any particular difficulty; I think she was spoilt for choice and taking a little while to exercise her choice. But we are always grateful for the right hon. Gentleman’s advice, solicited or otherwise. [Interruption.] Well, I am not going to comment on the glasses situation—it is rather beyond the ken of the Speaker. However, we note the right hon. Gentleman’s well intentioned advice.

--- Later in debate ---

[Neil Gray]

I absolutely take what the hon. Lady has said, and I think she is absolutely right. At the weekend, the UK Health Secretary claimed that he had not received any correspondence on universal credit, only—three hours later—for the Mirror’s Dan Bloom to prove that was inaccurate as he had received an email from a constituent in West Suffolk just three days earlier. I will take with a lorry load of salt Conservative Members saying that they have had no problems with universal credit in their areas.

Let us be clear: even if the rumours are true, just delaying the roll-out will do nothing to sort out the problems people are facing with universal credit right now, such as in Airdrie and Shotts; it will only delay the inevitable for others. It will not solve the misery that is soon to be thrust on people in Aberdeen, Edinburgh and Glasgow. The only way to sort out those problems is by accepting that a significant investment needs to be made in universal credit at the Budget so that radical change can follow.

The biggest problem with universal credit is that, for years, it has been an all-consuming cash cow for Treasury cuts to social security. George Osborne’s 2015 Budget and the subsequent Welfare Reform and Work Act 2016 cut universal credit to ribbons. Everyone’s memory of the Budget in 2015 was George Osborne’s U-turn on tax credits, but as we and others warned then, that U-turn did not cover universal credit and the cuts were engrained but to be seen another day. For the many Tory MPs who thought George Osborne’s U-turn was enough, that day of reckoning is soon to arrive.

[Frank Field]

Before the hon. Gentleman finishes his speech, will he address the question that I wanted to ask the Secretary of State during her contribution: can we not have the roll-out until all these difficulties have been dealt with, so that we can safely ensure that each and every one of our constituents will not be messed around in the terrible way so many of them have been?

[Neil Gray]

The right hon. Gentleman will of course know that that has been SNP policy for some years, and I hope the Minister will be listening.

Universal Credit

Lord Field of Birkenhead Excerpts

Tuesday 16th October 2018 Commons Chamber

[Frank Field (Birkenhead) (Ind)]

(Urgent Question): We hope the length of time it took the Minister to get to his place is reflected in the roll-out of universal credit.

[Mr Speaker]

I am extremely grateful to the right hon. Gentleman but, at this stage, all he needs to do is to ask that the Minister makes a statement. The right hon. Gentleman will get his full opportunity ere long.

[Frank Field]

I always make that mistake. I apologise, Mr Speaker.

[Mr Speaker]

A thought for these new young Members. It is very difficult for the right hon. Gentleman but, in due course, when he is a bit more experienced—

[Frank Field]

I am just starting my career as an independent, but you are right, Mr Speaker.

The urgent question is: To ask the Secretary of State for Work and Pensions if she will make a statement on her Department’s proposed changes to the roll-out of universal credit.

[The Minister for Employment (Alok Sharma)]

I note the precise wording of the urgent question. I have a great deal of respect for the right hon. Gentleman, who cares deeply about welfare matters and is an excellent Chair of the Select Committee on Work and Pensions. He, his Committee and the whole House have a right to hold the Government to account, and that includes the Department for Work and Pensions.

I do not wish to be unhelpful. However, some of the matters to which the right hon. Gentleman may allude are the subject of speculation in the media. There has been a great deal of speculation about universal credit over the past few days, and I cannot and will not comment on speculation.

When it comes to the roll-out, we have long said that we will take a slow and measured approach to managing migration, which is why we will continue to take a test-and-learn approach, acting on feedback and improving the system as it rolls out.

Universal credit will be in every jobcentre in the country by December 2018. People making new claims to our benefits system now apply for universal credit, rather than being put on the old system. Next year, we will start the wider process of moving people from the old benefits system on to universal credit. The process will begin later next year in a measured way, with no more than 10,000 people moved over, to ensure that the system is working well for claimants and to make any necessary adaptations as we go.

We have said for a long time that the managed migration process will take place from 2019 to 2023.

[Frank Field]

I think I am grateful for that answer. I will be more grateful if we get answers to my five questions, which I will put in the two minutes I am allowed.

Will the Government commit themselves to ensuring that everybody who is transferred from the existing benefits on to universal credit is not made worse off, does not lack income and does not face hunger or destitution? First, to that end, will the Minister guarantee that existing benefit payments will continue to claimants until they pick up universal credit?

Secondly, on debt recovery, a welcome rumour has been given to the papers of a reduction in clawback from 40% to 30%, but that is only on the advance people might receive to prevent hunger and destitution; it does not cover all other debts. People can still be left with no money. Will the Minister guarantee to the House that nobody will face a situation where their debt repayments cancel out their benefit payments?

Thirdly, will the Minister implement the Select Committee’s recommendations to ensure that those brave people who have chosen self-employment to try to free themselves from poverty are encouraged, not discouraged?

Fourthly, for mothers already on universal credit who find work, will he guarantee that their childcare payments will be made up front, and not a month in arrears?

Fifthly, given that this benefit is designed for people on monthly payments and not for poorer working people who get their income on a daily or weekly basis, will the Minister wish me luck when I meet the Secretary of State this afternoon to discuss our need for a citizens bank, which will help people manage their money, once all those reforms are in place, and ensure that none of them faces hunger, destitution or losing their home?

[Alok Sharma]

I thank the right hon. Gentleman for his comments, and perhaps I may go through them in turn. He raised the overall issue of managed migration. As he knows, we have made our draft proposals available to the Social Security Advisory Committee; they have been public and people can see them. We have received recommendations from the SSAC and in due course we will publish our feedback on those. As for ensuring the position of anyone currently on benefits when they are transferred across, we have made it very clear that transitional protection is in place for those individuals. We have also said that the 500,000 people on severe disability premium will be protected. As he knows, earlier this year we also implemented £1.5 billion of extra support. I say not in anger but in sorrow that Opposition Members did not support those proposals, and I hope that when it comes to managed migration, they will. On debt recovery, he talked about a “rumour” and I am not going to comment on rumours, but, as he knows, maximum deductions are currently 40% of the standard allowance. On self-employment, we are indeed helping people; as he knows, from 2017 we introduced a new enterprise allowance, and we are making sure that we are giving support to people to help them to develop their business plans and to grow their businesses—as a party that is the champion of entrepreneurs, that is absolutely the right thing for us to do. He will of course know that up to 85% of childcare costs are recoverable under universal credit, and that is an important improvement that has been made. I am sure that he will find his meeting with the Secretary of State extremely useful.

--- Later in debate ---

[Alok Sharma]

As the hon. Gentleman will know, it is possible to phone jobcentres, and in cases where people are vulnerable, it is also possible for home visits to be made.

[Frank Field]

May I thank you for granting this urgent question, Mr Speaker? Huge numbers of people will know after our proceedings that they have not been deserted by their MPs. Thank you very much.

[Mr Speaker]

Well, it is a pleasure. My job is simply to facilitate the House in discussing in this place what people are discussing in the Dog and Duck, around the dinner table and in the workplace.

[Frank Field]

And in the DWP.

[Mr Speaker]

And in the Department for Work and Pensions, as the right hon. Gentleman pertinently observes. I am very grateful to him for what he has just said.

Oral Answers to Questions

Lord Field of Birkenhead Excerpts

Monday 15th October 2018 Commons Chamber

[Ms McVey]

My right hon. Friend is correct to point out these facts. When we visit jobcentres, work coaches say that this is the best system that they have ever had to help people into work. We know the validity in that statement because 1,000 more people have been getting into work each and every day since 2010. We have to ensure that the system works for claimants and taxpayers.

[Frank Field (Birkenhead) (Ind)]

May I raise the question about which I wrote to the Secretary of State, regarding how universal credit is being rolled out in Birkenhead? It is not going as well there as we are told it is in the House of Commons, and some women have taken to the red light district for the first time. Will the Secretary of State come to Birkenhead to meet women’s organisations and the police, who are worried about the security of women being pushed into this position?

[Ms McVey]

The right hon. Gentleman knows that my door is always open to him. I did receive a letter on Friday, but really we need to work with those ladies and see what help we can give them—from work coaches right the way through to various charities and organisations. In the meantime, perhaps he and the work coaches could tell these ladies that there are currently a record 830,000 job vacancies, and that perhaps there are other jobs on offer.

Widowed Parent’s Allowance

Lord Field of Birkenhead Excerpts

Wednesday 5th September 2018 Commons Chamber

[Justin Tomlinson]

I thank my right hon. Friend for that and he raises a fair point. As with any of the benefits we provide for those in need, this is always underpinned by the principle of fairness.

[Frank Field (Birkenhead) (Ind)]

May I welcome the Minister back to the Treasury Bench, after a very short period with the Work and Pensions Committee? Might I say that there is some disappointment at the fact that more progress has not been made for him to report to the House today. In other areas of social security the cohabitation rule applies and evidence of cohabitation can be male slippers in the home, but in this case we are talking about evidence of children. There is no doubt that this was a stable union. As the right hon. Member for Hemel Hempstead (Sir Mike Penning) said, surely in such cases fairness is not operating.

[Justin Tomlinson]

I thank the right hon. Gentleman for that. I enjoyed my brief four or five weeks as part of his Select Committee, where he was a formidable, excellent and well-respected Chair. Fairness is the key. In my defence, this judgment was made only last week and it would have been churlish of me to make a rushed decision, as this has very serious implications and we need to consider it carefully. I will return to update the House as quickly but as sensibly as possible.