Oral Answers to Questions
Luke Graham Excerpts(5 years, 4 months ago)
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Amber Rudd
The hon. Lady may be aware that I have some concerns about no deal; I would much prefer that this country chooses to leave the European Union on the basis of a deal, and I am hopeful that when we have a new leader in place we will be able to arrive at that position, possibly even with the support of the hon. Lady, to try to ensure that we get an exit that supports disabled people as well as everyone else.
Luke Graham (Ochil and South Perthshire) (Con)
The Minister for Employment (Alok Sharma)
I thank my hon. Friend for the energy with which he is supporting his constituents on universal credit. One of the key performance indicators is, of course, payment timeliness, which has improved significantly over the past couple of years, and that progress is matched in Alloa jobcentre. His local jobcentre staff will be happy to interact with him and, of course, I am also happy to meet him.
Pension Funds: Financial and Ethical Investments
Luke Graham Excerpts(5 years, 5 months ago)
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Mike Amesbury (Weaver Vale) (Lab)
It is a pleasure to serve under your chairmanship, Mr Howarth. I thank the right hon. Member for Kingston and Surbiton (Sir Edward Davey) for securing this vital debate. I also thank the nine Members who made speeches, as well as those who intervened.
It is not every day that I agree with the Liberal Democrats, but we certainly have common ground on this issue. We are in a climate emergency, and when we talk about moving towards a greener economy, we must be clear that the time for debate and discussion alone has passed. It is now time for clear, concrete and urgent action. As my hon. Friend the Member for Dulwich and West Norwood (Helen Hayes) so powerfully argued, we must make no mistake: this is a climate emergency; this is a crisis.
One could argue that climate change has never been so prominent in public consciousness and political discourse. Despite the Brexit-related dramas in Parliament, which still continue, between 15 and 25 April, climate change was high on the news agenda in response to Extinction Rebellion protests in London, a major BBC documentary presented by Sir David Attenborough, and the visit to London of a Swedish schoolgirl. They led the way for many of us.
Over the past 12 months, according to pollsters, the environment has risen in public concern. In a YouGov poll conducted on 29 and 30 April, 24% of people placed the environment among the top issues facing the country—about the same level as concern about the economy and immigration. That is a stunning development. We know from our postbags the levels of concern among the public about the climate emergency. Nothing short of a major transformation from fossil fuels to renewables will be good enough. Changing the ways that pension funds invest will not solve the crisis on its own; it must be part of a much wider approach—a new green deal, or a green industrial revolution. We have made some progress but, my God, we need to make considerably more if we are genuinely to tackle this emergency.
My hon. Friend the Member for Warwick and Leamington (Matt Western) highlighted the fact that the Labour-led Southwark Council has moved £450 million into passive funds that track low-carbon and fossil-free indices. It has also invested £30 million in Glennmont’s green energy fund, which invests in western European wind and solar companies. Many trade unions—I declare an interest as a member of Unison—have produced excellent and accessible guides to divesting away from fossil fuels, and I know that has been welcomed by representatives on local government pension committees and schemes up and down the country.
Parliament has started to take this issue more seriously and put its own House in order. In June last year, 11 hon. Members, including the shadow Chancellor, called for Cambridge University to remove its £377 million fossil fuel investments. In addition, 244 serving and former MPs have signed the Divest Parliament pledge, calling on the trustees to phase out investments in fossil fuel companies. The trustees are developing a climate change investment policy, but not quickly enough, as highlighted powerfully by my hon. Friend the Member for Bristol West (Thangam Debbonaire). We want that policy to commit to phasing out investment in fossil fuel companies in the earliest timeframe possible and to reinvest the money in funds aligned to the Paris agreement.
This country’s pension assets, as highlighted by my hon. Friend the Member for Warwick and Leamington, total some £2.8 trillion. Pension savings should be at the forefront of the fight against climate change. Pension savers have money invested for the long term, so it is particularly exposed to climate risks, as powerfully argued right across the Chamber. This concern is now relevant to more of us than ever.
Given the clear threat that climate change poses, we would all hope that it would be the norm for pension schemes to manage the risks. Unfortunately, research from the charity ShareAction finds that, for many, their retirement savings are unlikely to be sufficiently protected against climate risks. In a survey of some of the UK’s largest defined-contribution corporate pension schemes, just two of the 15 participating schemes had changed their default investment strategy specifically to reduce the exposure of employees’ savings to climate change risks. Although ShareAction found that a handful of schemes are considering further policy developments in this respect, the fact that a gulf exists in the strategies of schemes means that workers face a lottery from one job to the next as to whether their savings are sufficiently protected against climate change.
As the Minister stated in an intervention, the new pensions investment regulations, in force from October 2019 and to be strengthened in 2020, go some way towards addressing the issue. Scheme trustees will need to update policies to show how they take climate change into consideration as a financial risk. However, as my hon. Friends the Members for Norwich South (Clive Lewis) and for Southampton, Test (Dr Whitehead) argued powerfully, we need to go considerably further.
Financial regulators have a major part to play. Trustees in charge of managing schemes need enhanced guidance from the Pensions Regulator on how best to manage climate risks. The Financial Conduct Authority, in charge of regulating contract-based schemes, needs to provide clarity on the need for consideration of and reporting on climate risks, through both investment and stewardship, to ensure that no savers face weaker protections because of the scheme in which their employer happens to have enrolled them.
Greater transparency about the actions that schemes are taking to manage the risks should result in better decisions being made.
Luke Graham (Ochil and South Perthshire) (Con)
The hon. Gentleman is making a very good point about transparency. A large reform is going on in the audit industry at the moment. Does he agree that there is an opportunity for us to look at the whole of financial services and financial infrastructure and look at how we value investments, so that we value intangibles along with tangibles and ensure that our environmental and sustainability investments are getting their appropriate value? This is not just a trade-off between short-term returns and long-term investments; we can achieve both if they are valued correctly.
Mike Amesbury
That is a very good point, which I will come on to.
Pension schemes should be required to report on their management of climate risks in line with the Task Force on Climate-related Financial Disclosures. Transparency could also be enhanced by mandating scheme member representation—I think that my hon. Friend the Member for Leeds North West (Alex Sobel) argued for this—on the governance boards of the new auto-enrolment schemes, as well as by requiring pension schemes to consult their members on key policies.
We need to send clear signals that tackling climate change and other environmental, social and governance risks is not distinct from the core purpose of financial markets, but an integral part of it, as the hon. Member for Ochil and South Perthshire (Luke Graham) argued in his intervention. Of course, as we divest from fossil fuels, we must ramp up investment in clean and green technology. Labour has set out plans to fit 1.75 million homes with electricity-generating solar photovoltaic panels, creating thousands of quality skilled jobs across the UK. That is a Labour green deal that will shift energy generation via renewables to 85% by 2030. It will provide a major boost to an industry that is still recovering from the effects of the coalition Government’s ill thought out slashing of feed-in tariffs, which was such a blow to a growing and vital industry.
Oral Answers to Questions
Luke Graham Excerpts(5 years, 7 months ago)
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Huw Merriman (Bexhill and Battle) (Con)
Luke Graham (Ochil and South Perthshire) (Con)
The Secretary of State for Work and Pensions (Amber Rudd)
When fully rolled out, universal credit will be £2 billion per year more generous than the support it replaces. As a single system that integrates six legacy benefits, universal credit will enable 700,000 households to access approximately £2.4 billion of welfare that previously went unclaimed. Our welfare reforms are about targeting support at those who need it most.
Amber Rudd
I thank my hon. Friend and near parliamentary neighbour for pointing out the excellent work done by work coaches. The defining difference between universal credit and the legacy benefits that it replaces is that tailored, personal approach, which really helps individuals to get back into work.
Luke Graham
What support is being given, through not only universal credit but schemes such as Access to Work, to those who experience mental ill health?
Amber Rudd
I thank my hon. Friend for pointing out this important element of universal credit. We are determined to make sure that universal credit really supports the most vulnerable. We are piloting a new scheme in Milton Keynes in which people with mental health difficulties are given an early referral to make sure that their needs are dealt with early on, so that they can be given the appropriate, personal, supportive care that they need.
Disability Support
Luke Graham Excerpts(5 years, 10 months ago)
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Helen Goodman
I am glad the Minister did as he did, but we do also hear from people who cannot get jobs because of their disabilities and from employers who say it is too expensive to make the adjustments.
Luke Graham (Ochil and South Perthshire) (Con)
On the point about it being too expensive, does the hon. Lady recognise the support to work schemes that the Government have introduced and which now can reach up to £57,000 per employee, which can help to negate some of those costs and support disabled people in work?
Helen Goodman
If those schemes were so good, the proportion of people with disabilities in work would have gone up, but as my hon. Friend the Member for Oldham East and Saddleworth, who opened the debate, pointed out, it has not increased one jot in the last eight years.
Luke Graham (Ochil and South Perthshire) (Con)
It is a pleasure to follow the hon. Member for Eastbourne (Stephen Lloyd), who is clearly well informed on these issues and who shares my love of statistics.
I congratulate the hon. Member for Oldham East and Saddleworth (Debbie Abrahams) on securing this debate. Opposition Members have talked about the UN report and the Government’s supposed complacency, and I make it clear that, in the 18 months I have been here, not one of my colleagues or I have been complacent about the welfare policies we see play out in our constituencies every single day. I will elaborate on some of the areas where I think we are doing quite well and on other areas where there is still scope for further reform, on which I am sure colleagues will want to work with me and, of course, with Ministers in trying to deliver.
We are having this debate against the backdrop of significant changes to our welfare policy. DLA is being phased through to PIP, along with attendance allowance for pensioners with care needs. We have seen a big difference in how the money is being spent, too.
Some Opposition Members have criticised the Government, saying that costs have been cut on the backs of the most vulnerable in our society. I have heard that allegation made against Ministers time and again, which is why I went to the Library to look at the overall expenditure within our welfare system. Breaking it down, around £10.3 billion was being spent on DLA in 2009-10—we did not have PIP in 2009-10—and in 2017-18 around £16 billion was being spent on DLA plus PIP. In cash terms, there has not been a reduction in overall expenditure.
The hon. Member for Bishop Auckland (Helen Goodman), who is no longer in her place, said that we are cutting costs on the backs of the most vulnerable, which is neither fair nor accurate. If we are to have a proper debate on how to help the most vulnerable in our society, we should speak to the right facts. The facts and statistics have come up as an issue time and again, including in the House this week. We owe it to all our constituents to speak to the facts, and if Opposition Members dispute the facts, they should take it up with the Library.
In looking at how the policies have come across, not only has the way in which the money is distributed changed, but so has how services are delivered. What has happened with a lot of the welfare reforms—I have seen it, and my constituents have come to my office to speak about it—is that many people on legacy benefits are, for the very first time, having some of the assumptions challenged and are being asked for reassessments. Sometimes that is for the good, but sometimes there has been a detrimental impact where they have fallen through the different changes. They might have had a change of circumstances, or they might have moved between counties or to different parts of the country, which has had a negative impact. I have asked questions of Ministers in the House to try to tackle those issues.
Debbie Abrahams
How many disabled people were supported by the social security system in 2009, and how many are supported now? It is important to have the denominator value so that we have a rate, not just cash values.
Luke Graham
I could not agree more. I find it interesting that we have had an increase of around 800,000 people aged 16 to 64 who are now being classified as disabled. I understand that they had previous classifications within the welfare system and were receiving different benefits, so a simple change in the denominator would not indicate the impact.
The Government have made commitments to people in receipt of cash benefits. [Interruption.] It is a fair point. The hon. Lady asked me a direct question, and I gave her a direct answer. Again, I would happily debate the number of people who are now being classified as disabled.
There have been some positive movements in the Government’s changes. We have seen the employment rate for disabled people go up from 43% to 51%, which is welcome. I referred to Access to Work earlier, and £104 million went into the scheme in 2016-17, providing support to around 25,000 people.
Again, no Conservative Member is complacent. We are very clear that changes still need to be made. A number of my constituents have talked to me about their experiences of the assessment process, taking me through the paperwork. I have gone through that page by page with them to understand where they are having difficulties. From that, we can see that some of these changes have brought people into our offices; they have brought them into the welfare system. For a long time, they have lagged in the dark, whereas now assumptions are being challenged and new benefits are being offered. As a result, new questions are coming from our constituents, and we should try to answer them as best we can.
Angela Crawley (Lanark and Hamilton East) (SNP)
I commend the hon. Gentleman for giving a far more honest portrayal of his experience of his constituents than other Government Members. May I just challenge a point he made earlier about the figures? Of course, when he refers to these figures, he is being somewhat selective. The rate of inflation means costs have risen since 2010, so naturally the costs, output and spend he refers to will be higher, but that does not necessarily mean that people are not being affected disproportionately.
Luke Graham
We are looking at a 38% increase in cash terms, but if the compound inflation rate over the same period is taken into account, this would come out as less than 38%. I am happy to go through the calculations with the hon. Lady separately, but we would still find a real-terms increase in the benefits that are being paid out.
On all these policies, we, as constituency MPs, see people who come into our offices. They come to see me and my staff in my Alloa office and in my Crieff office, and we see some of the human impact of the changes made in welfare. I support looking at how we assess the impacts on disabled people, because we are putting in a considerable amount of money. My hon. Friend the Member for Ayr, Carrick and Cumnock (Bill Grant) made the point about the amount being spent on disabled benefits, and we are one of the highest spenders in the developed world, which should be applauded, but if the money is not getting to the right people at the right time, we need to see exactly how it is being administered and how our services are being delivered on the frontline right across our country.
Like other Members here, I have hosted debates on Disability Confident, which is a fantastic scheme. The hon. Member for East Kilbride, Strathaven and Lesmahagow (Dr Cameron) talked about how MPs should be signing up for that. My office is a member of the scheme and the same applies to colleagues from right across the House. The Minister visited the Glenalmond Timber Company in my constituency, and I hope everyone will be able to join me in congratulating Jed Gardner, its production manager, who now has Disability Confident leader status—the first in Scotland. I hope everyone will congratulate him on the fantastic work being done in Methven to give people with disabilities opportunities to work. When I visited the company and when the Minister did, too, we could clearly see the impact this has on not only individuals, but their family and friends. So some incredibly positive work is being done by this Government, although there are also areas where we need to review and assess continually.
Furthermore, in my constituency, we recently held a joint event with my hon. Friend the Member for Stirling (Stephen Kerr) on Disability Confident in Alloa, which the local community and the DWP attended. It was hosted in Inglewood House, which, I am glad to say, signed up to the Disability Confident scheme immediately following that event. Again, that is an incredibly positive action, showing that companies in Clackmannanshire, Perth and Kinross are taking Government initiatives from the green Benches here and applying them in a daily way where we can see real improvement in our constituents’ lives.
As I said, I have a number of concerns about how the assessment is taking place, and I would support looking at having an assessment of how these things are being delivered. I hope to work with my Government colleagues on how that would be done. I hope that such an assessment would be independent, or certainly objective, to make sure that our constituents, our Government and ourselves will have the best possible view on how these disability benefits are being delivered.
Kate Green
Does the hon. Gentleman agree with the recommendation in the Work and Pensions Committee’s report published this week that, while someone is waiting for a work capability assessment, it is unreasonable of the Department not to pay universal credit, because that is leaving people high and dry?
Luke Graham
The short answer is yes. I led the inquiry on universal credit in the Public Accounts Committee, and I refer all Members to the inquiry and subsequent report, where we identified the strengths and shortfalls of the UC system. I hope that Government colleagues have read that report and taken those recommendations into account.
I wish to make one or two final points before summarising. We have talked a lot about statistics. One concern I have—this is often not appreciated in this House—is that the devolution of certain levels of statistics around the country means we often have different levels of government in the UK producing different statistics, which makes like-for-like comparisons quite difficult. When preparing for this debate and for the mental health debate that was pulled, I struggled to get figures from the Library, because in Scotland we are now not going along with certain NHS quality-for-delivery frameworks. Even if different parts of the United Kingdom and different levels of government use different methods, we have to find a statistical method to find a uniform measure so that we can have a meaningful debate in this place. Otherwise, we are not comparing apples with apples and we cannot get a real view of how services are being delivered for our constituents.
In that same vein, the devolution of welfare powers has been debated in the past, and I am sure that the debate will be ongoing in this place in the coming years. I have a real concern about the devolution of welfare powers—not because I think that all powers should remain here and I want to sit on the green-Bench throne, but because when we speak to the most vulnerable people in our constituencies, as I know every Member does, we find out that adding another agency or two into the equation would make it even more difficult for them to get the help that they need.
I support this issue, because we should have an objective assessment of what these changes are doing for our constituents and for the most vulnerable people. We are spending the money, but we have to make sure that it goes to the right place. For too long, benefits have been a party political issue. When it comes to disability and helping the most vulnerable people in society, we can look past our party affiliation and deliver for our constituents.
Personal Independence Payments
Luke Graham Excerpts(6 years, 1 month ago)
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Hugh Gaffney
Talking about compassion, the introduction of PIP, which was supported by the Tories—we should not forget that the Liberals backed it, too—was meant to lead to a fairer, more transparent and more consistent system. It has been anything but. We should not forget that the overarching aim was to slash public services—in other words, saving money on the backs of the most vulnerable in our country. They are the people who are suffering. Has it worked? No, it has not worked for those who want a fairer, transparent and consistent system.
Despite all the Tory and Lib Dem cuts, the Office for Budget Responsibility has continued to downgrade its estimate of the savings from the introduction of PIP. So the Government’s aims have not been achieved. At the same time, we have seen many people and families hurt in the process. That hurt is made worse by the fact that despite the DWP being responsible for handling PIP claims and making the decision on entitlement to benefits, private companies such as Capita and Atos have been doing the assessments. Perhaps we should not be surprised by what we see and hear every day. It is time for change.
Luke Graham (Ochil and South Perthshire) (Con)
The hon. Gentleman is talking about cuts, but does he recognise that the welfare reforms have led to an increase in welfare spending? If cuts were the Government’s desire, then yes, we have failed. However, if that means we are providing more funding for those most in need, that is where my right hon. Friend the Secretary of State has succeeded.
Hugh Gaffney
I am sorry, but I do not agree with the hon. Gentleman. I do not know who goes into his surgery to talk to him, but I certainly do not hear that from the people who come in to talk to me.
Many colleagues have consistently raised PIP with the Government over recent months and years. My hon. Friend the Member for North West Durham (Laura Pidcock) is one and I congratulate her on the birth of her baby boy and I hope that they are both doing well.
UN Convention on the Rights of Persons with Disabilities
Luke Graham Excerpts(6 years, 4 months ago)
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Rosie Duffield
What the hon. Member for Chelmsford (Vicky Ford) said sounds fantastic—really good news. However, in my constituency, the lack of jobcentres—they have closed recently—severely impacts on the sort of access that I am talking about. It would be great if that did not happen.
The Centre for Welfare Reform found that austerity has been targeted at disabled people nine times more than the general population, and at severely disabled people 19 times more. Such statistics are shocking. The targeted austerity measures put in place by the Government are clearly unusually cruel in that regard.
The UN recommendations under article 28 state that UK law should ensure that welfare policies protect the income levels of disabled people and their families— the key word there is “protect”. I want to know what the Government think they are doing to protect such income levels and to protect disabled people from having to beg for help from friends, families and food banks in order to stave off poverty, dire need and hunger.
The Government must also ensure that that local authorities have enough funds to support disabled people. Also under article 28, the UN committee’s report is critical of how the squeezing of local authority funding impacts on disabled people. I only need to think of the shocking state of some social housing provision for people in my constituency. For example, one woman who is a full-time wheelchair user—I shall call her Janet—came to my office for help. Janet had been confined to her council flat for months and months. She had been housed on a high floor of a housing block. The flat was not adapted or good enough. My office were pleased to help to secure her move when she needed our help, but for every Janet out there we know about, 10 other people are forced to make do in private with inadequate social housing.
It is important to remember that such inequalities experienced by disabled people in our community are intersectional. The UN committee expressed concern about a lack of legislation in UK law to prevent intersectional discrimination. Intersectional disadvantage means that a person experiences multiple disadvantages from different discriminations at the same time. It is horrifying enough that—according the Disabled Living Foundation—the average income of families with disabled children is £15,270, or 23.5% below the UK mean income of £19,968, but for a single mother who faces other difficulties such as the gender pay gap or limited child welfare because of cuts, those hardships will be so much worse.
On article 7, the UN committee’s report called on the UK Government to cut the high levels of poverty among families with disabled children. Will the Minister tell me what monitoring there has been in that respect? Does she feel that the Government should be proud of recent statistics relating to family poverty where one or more of the children is disabled? It is not just families who are affected; the onslaught of cuts and austerity unscrupulously enforced by the Conservative Government has left many single disabled adults, and couples in which one or more of the couple is disabled, struggling to obtain and access the bare necessities.
A well-known topic that adversely affects disabled people throughout the UK is the flawed roll-out and poor implementation of the personal independence payments scheme. The many statistics and stories that we regularly hear are simply gut-wrenching. As a result of PIP assessments, 80% of disabled people’s health has deteriorated because of stress or anxiety. A third of those who experience funding cuts as a result of the outcome of the test have struggled to pay for food, rent and basic utilities.
Luke Graham (Ochil and South Perthshire) (Con)
I congratulate the hon. Lady on securing the debate. She talked about cuts, but does she welcome the Government’s increase in the amount of the access to work fund from £42,000 to £57,200? People with disabilities can access that fund to get themselves into work. I led a debate in this Chamber on the Disability Confident scheme, and I invite her to sign up to it, as I am sure other Members have done.
Rosie Duffield
I thank the hon. Gentleman for raising that point, but the cap is still quite low and it is difficult for people to get beyond that.
It sounds too simple to say that problems with PIP assessments cause poverty, but it is true. Those statistics bear witness to that fact. The trauma caused by the PIP assessment process and the ramifications of losing welfare provision are even more infuriating, because 69% of decisions made by PIP assessment bodies are overturned by our courts. I hear about this every single week from my constituents. If 69% of decisions are challenged and later found out to be wrong, the original system is not just broken; it is wholly inadequate.
John Howell
I do not accept what the hon. Gentleman says. I do not accept that there has been that level of cuts to charities in my constituency, or that cuts are having such an appalling effect on people with disabilities, who are continuing their work.
A wide range of companies and organisations are involved in providing these services. We have the likes of Microsoft and Glaxo, we have slightly smaller companies that are nevertheless household names, such as Sainsbury’s, and we have a range of individual organisations, such as the Greenshoots nursery, Leonard Cheshire and indeed Mencap, which provide assistance to people with disabilities in my constituency.
To pick up on the point made by my hon. Friend the Member for Ayr, Carrick and Cumnock (Bill Grant), more than 6,500 employers are involved in the Disability Confident scheme, and that is to be celebrated. I am pleased to say that all main Government Departments have now achieved Disability Confident leader status, which is to be welcomed.
Luke Graham
My hon. Friend makes a good point about the number of disabled people in work. It is important that we give our constituents the facts. Opposition Members have used very emotive language. I know from having a family member who has been disabled and from the number of cases that my office works through how disruptive PIP assessments can be. We need to cut through to get to the facts and look at turning the screw on Atos and the other companies that deliver these services. It is not a genuine intention of the Government to be inhumane, but there has been a failure of administration by some of the companies that we have employed to deliver services.
John Howell
I am sorry, Dame Cheryl, for allowing interventions to run on, but my hon. Friend makes an important point. He is right that we need to cut through the haze and give the figures, so let me repeat one: 600,000 disabled people have been moved back into work in the past four years. That is something that we should be proud of and hang on to.
Like my hon. Friend, the problems that I have found have been with the implementation of PIP, not with PIP itself. It behoves us to work closely with the Department and the Secretary of State to ensure that we get those things right, and I am pleased that I have been able to do that.
Oral Answers to Questions
Luke Graham Excerpts(6 years, 7 months ago)
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Kit Malthouse
As the right hon. Gentleman knows, triggering cold weather payments is done on the basis of absolute temperature: it has to fall below 0 °C for a length of time. I must confess that, as someone who is married to a Canadian, I know only too well the effects of wind chill and the significant difference it makes. If he will allow me, I will take away that issue and have a look at it.
Luke Graham (Ochil and South Perthshire) (Con)
I welcome the comments from my hon. Friend the Minister for Disabled People, Health and Work about getting more people with disabilities into work. Given that there are 650 potential employers in this House, what more can be done to improve disability employment in the House and in our offices around the country?
The Minister for Disabled People, Health and Work (Sarah Newton)
I congratulate my hon. Friend on his work and his campaigning on this issue. He is himself a Disability Confident employer, as are all Work and Pensions Ministers. Some 70 Members of Parliament have now taken this step, and I really encourage all those who have not done so to come along to one of our excellent Disability Confident events so that they will have the confidence to employ people with disabilities and health conditions.
Scottish Welfare Powers
Luke Graham Excerpts(6 years, 7 months ago)
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Luke Graham (Ochil and South Perthshire) (Con)
I will try to keep my remarks as close to one minute as I possibly can. Welfare is one of the key elements of the modern British state. We launched the NHS together and we built the welfare state together. It started at the turn of the 20th century and was built throughout the last 100 years. Beveridge was the son of a Scottish civil servant and helped lay the infrastructure in which we operate today.
Welfare is also one of the biggest issues that I have experienced as an MP. Constituents regularly come to me with a whole range of welfare issues and my staff and I work incredibly hard to make sure that we resolve them. We have been able to successfully resolve 94% of the universal credit inquiries we have had in just a few days. The greatest concern when we get into the politics of the devolution of welfare powers is the impact on constituents. I have already had constituents coming to me in a state of confusion because they do not know whether to go to the local authority, the MSP or the MP, and that is just with the current system, before we create a whole other agency with a whole other bureaucracy and the costs that go with that.
The Smith commission put the powers in—
Andrew Rosindell (in the Chair)
Order. I apologise. I call Patricia Gibson.
Neil Gray
I absolutely concur.
The hon. Member for Ayr, Carrick and Cumnock suggested that the Scottish Government are not following due process in preparing for the new system, and that they are not ready for the new powers because there is a lack of detail in the plans. I politely suggest to him that both statements cannot be true. Indeed, both are false. He himself acknowledged many of the areas in which the Scottish Government have used their powers to act. The Bill to create the new Scottish agency passed Committee stage at Holyrood—it did so with remarkable consensus, given the topic of discussion—so the process has been followed in a timeous fashion.
The Scottish Government are in regular contact with the hon. Gentleman’s colleagues in the DWP about how the two systems relate to each other. I wonder whether the Minister has done the groundwork that the Scottish Government have. We have yet to see evidence that he has. On the process point, the hon. Gentleman is clearly wrong.
Luke Graham
Does the hon. Gentleman agree that benefits across this country should at least be of one high standard? We have to be careful that, in creating another agency, we do not end up duplicating services, creating more cost for our taxpayers and delivering a worse service for our constituents. In other words, there has to be an incremental benefit, not duplication, more cost and bureaucracy.
Neil Gray
I agree with the hon. Gentleman’s constructive intervention to a point. That is why the Scottish Government are taking time to consider setting up the agency and are doing what they can to liaise with the UK Government about how the systems will operate in tandem.
The hon. Member for Ayr, Carrick and Cumnock is also wrong on the detail point, which relates to our readiness. From the Bill’s progress in Committee alone, we know that private companies will not be involved in delivering assessments. A new benefit will be provided to overcome his Government’s removal of housing benefits from most 18 to 21-year-olds.
Alok Sharma
My intention is not to create any kind of ranking—we want to work with the Scottish Government. The point that my hon. Friend the Member for Ayr, Carrick and Cumnock made, rightly, is that he has concerns about the pace at which things are moving. I repeat: the faster the Scottish Government move forward, the faster and more easily we can work together to deliver, ultimately, for the people of Scotland. That is what are here to talk about—not the politicians, but the people of Scotland.
Luke Graham
It is good to hear about the support that the Minister is providing to the devolved Administration, but will he assure me and other Members that, although some devolution of powers will be helpful, he and his Department will work with them to ensure against duplication and our constituents receiving a lower standard of service? Creating a new welfare agency is another layer of bureaucracy and cost. Benefits are already confusing enough for our constituents. Will he make that guarantee? We are MPs in this place to influence Government directly for all the UK, not to devolve our responsibility away.
Alok Sharma
As I said, we are here to work together to deliver for the people of Scotland. I know a number of colleagues have castigated universal credit, but it is a welfare system that has simplified the whole infrastructure of welfare. Having gone to jobcentres around the country and talked directly to claimants, I can say that for them that has made a big positive difference.
I only have a couple of minutes left, so I will deal with a couple of points made during the debate. One was with regard to disabilities. There was an implication that we may be cutting disability benefits, but that is not the case. In fact, PIP and DLA are just one part of more than £50 billion that we will be spending this year alone to support disabled people and those with health conditions.
The hon. Member for Glasgow Central (Alison Thewliss) mentioned the Equality and Human Rights Commission. We do not accept the commission’s analysis, because it only represents a partial picture, does not consider the effect of spending on public services and makes unevidenced assumptions about income sharing in households. She made a specific point about women of Pakistani origin. We are committed to increasing opportunity for them, which is why, as part of the work we have done in the race disparity audit, we have identified 20 challenge areas in which to have pilots, to ensure that we can get people into work.
In conclusion, we look forward to the Scottish Government ultimately making progress with the ideas outlined. We, of course, stand ready to work with them to deliver for the people of Scotland. That is certainly the case that my hon. Friend the Member for Ayr, Carrick and Cumnock made in his opening speech, and I commend him for that.
Universal Credit
Luke Graham Excerpts(6 years, 7 months ago)
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Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)
I will limit my remarks to the universal credit portion of this debate. In accepting the failures so far, the Government have made some changes, but as my hon. Friend the Member for Airdrie and Shotts (Neil Gray) pointed out, the changes due to come into force in April do not go far enough. Ministers should pause the roll-out of universal credit and review all the processes.
I want to go through a couple of the issues, but I could speak for a lot longer on many of the issues affecting my constituents. My constituency was a pilot area from 2013, and went from live service to full service in June 2016. Local agencies, Highland Council and I have been voicing such concerns since the pilot, and the proposed measures do not scratch the surface of what is required. The Secretary of State said earlier that this benefit will be “at the cutting edge”. I say to those yet to experience full service that, yes, they will see more cutting, particularly when it comes to the housing arrears that are being built up.
Like other local authorities, Highland Council is paying the price, and this will have an impact on all our communities, not just on people who are on universal credit. The additional administration costs alone are running at hundreds of thousands of pounds, but rent arrears continue to soar and will have an impact on the delivery of much needed housing, for example.
Luke Graham (Ochil and South Perthshire) (Con)
The hon. Gentleman is making a very serious point about housing benefit. Does he welcome the change that allows the benefit to be paid directly to the landlord, as opposed to going to the claimant?
Drew Hendry
I welcome any change that allows such things to happen. I would point out that we made that request of the Government for many years, and the concession was finally made, as I have pointed out, but much more needs to be done.
Rent arrears continue to soar, as I have said. Rent arrears due to universal credit were already at £1.6 million in Highland in 2016, but they were at £2.2 million in March 2017, and just six months later they were at £2.7 million. The average rent arrears for someone not on universal credit is £250, but for those on universal credit it is £840. We know that 30% of private landlords have already evicted a tenant because of universal credit arrears. According to the DWP’s own figures, this means that over 70,000 tenants in private accommodation face the threat of eviction due to the shambles of universal credit.
The UK Government continue to ignore the plight of people with a terminal illness who are forced to meet work coaches. I give credit to my local jobcentre, which has tried to put in place local workarounds to overcome the faults in the process. The UK Government must listen to MND Scotland, MND UK and Macmillan CAB, and remove these conditions to allow the terminally ill and their families some dignity as they face the end of their life. I ask Ministers to meet me to discuss how that can be brought forward. MND UK has said it does not believe that people who have claimed using DS 1500 should have to meet and have a conversation with a work coach, as this is highly inappropriate. The Government have already been found to have acted unlawfully in relation to 1.6 million people, at an estimated cost to the taxpayer of £3.7 billion, and they should not risk the same kind of slap-down over their treatment of the terminally ill.
As the roll-out continues, many more right hon. and hon. Members will feel the sharp effects on people and their communities. Ministers should go further in acknowledging the systemic failures before it adds more costs to people’s lives and drains local government of vital resources.
Personal Independence Payments
Luke Graham Excerpts(6 years, 9 months ago)
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Laura Pidcock
Those stories are so, so common. The changes have hit those most in need of a social security system while reducing the overall welfare budget, and have taken away the safety net for a massive number of people. When cost-cutting is the motivating factor behind changes, we hit trouble, just as we have with universal credit. Let me take Members through some of the difficulties that my constituents and many other people—
Laura Pidcock
I am making progress. There are 20-odd people down to speak; it would be disrespectful to them not to do so.
The initial claimant form is often daunting and time-consuming. People have to rely on stretched services and support agencies to complete the form. At the same time, the questions are very restrictive and do not fit the description of everyone’s illness. Following that, claimants are invited to a medical assessment by an outsourcing company—Atos Healthcare or Capita Business Services, depending on their location in the United Kingdom. The accessibility of venues is often cited as a problem: claimants are invited to assessments miles away from their homes and in inaccessible rooms. Some say that that is a test from the outset. There have also been reports of assessments taking place in expensive gyms and spas in my area, which makes claimants feel on edge. Some people are sure that they were filmed upon entering the assessment, and I believe them.
Laura Pidcock
That is right. I will come on to mandatory reconsiderations in a second.
The outsourcing of the assessment process is very much part of the problem. Some 60% of assessment reports completed by Capita healthcare professionals and sent to the DWP were judged to be of an “unacceptable” standard. Neither Capita nor Atos has ever met the DWP contractual target that no more than 3% of reports should be found unacceptable. I wonder what it would take for those companies to lose a contract with the Government. No action is taken, because the Government are ideologically wedded to the outsourcing model, despite such poor results. Incredibly, I have read that those companies pay people bonuses for completing extra assessment reports, which in my view incentivises rushing and contributes to inaccuracies. Many feel as if they have been lied about in their reports—that is all part of the same inadequacies. I have even had reports of healthcare professionals who conduct the assessments asking claimants if they have thought about killing themselves. While I understand that it is a difficult subject to broach, sensitive language needs to used when dealing with such topics; otherwise, it can be damaging and triggering for that person.
If a claimant is not awarded the points they think they are entitled to, or they are told that they are not entitled to PIP, they must challenge the DWP’s decision through a mandatory reconsideration. Constituents of mine, and many people who have been in touch, have said that the process is completely pointless due to the DWP not reviewing medical evidence or investigating whether the decision maker’s report was accurate. Actually, DWP workers feel unable to challenge the assessor’s report. Advice and support agencies also state that hardly anyone has their decision overturned at that stage. I cannot help but think that is just another stage in the process to grind people into submission.
If the mandatory reconsideration process is unsuccessful, the decision must go to tribunal, putting tribunals as well as claimants under enormous pressure. Advice and support agencies say that they are under a great deal of strain, trying to deal with the demand from people seeking representation. Latest figures show that 68% of PIP decisions are overturned on appeal, so the DWP’s systems are clearly not working. That is completely indefensible: all that trial and trauma for claimants to be proved right, if—it is a big if—they manage to go that distance. People have reported that they have to wait over a year for a tribunal date.
What is very clear is that the assessment process is working against claimants entitled to the benefit. Many campaigners believe that the companies who provide medical assessments are heavily encouraged to hit targets by the Government in order to cut the welfare budget, and I believe them. Perhaps it is because there is an ambivalence to these people, or—more likely—because the Government do not see it as the state’s role to provide that support.
Laura Pidcock
I will give way once more to the Conservative side, and that is it.
Luke Graham
I thank the hon. Lady. I would not necessarily disagree with some of the criticisms she is making of the assessment process. Some of my constituents face those challenges, and we would be happy to work across the House to try to fix them. Does she recognise that under PIP, 66% of claimants with mental issues now get the higher rate of benefit, versus 22% under DLA? Can I ask her for a little balance when she comes to look at the system rather than just criticism?
Laura Pidcock
The balance is that thousands of people are locked out of the system and never even get an award because they are so ground down by the process. The Government need to realise what a cruel and callous system they are putting people through and the knock-on effect that has on our constituents. I am a bit shocked by the disbelief on the Conservative side—they look stunned that this is taking place. That is the reality for disabled people in this country. People are falling further into depression and self-harm, having suicidal thoughts and becoming reliant on food banks. All of those things are harmful for our society. Losing Motability cars was a consistent theme, along with falling into debt. The NHS is also being put under much strain.