No Recourse to Public Funds

Debate between Meg Hillier and Stephen Timms

Thursday 8th October 2020 Westminster Hall

[Meg Hillier]

Absolutely, and I will touch on that at the end. That is a very significant issue. We have talked a lot about children today, and we are in danger of putting a whole generation on the wrong side of everything. They were often born here, or arrived here as young people, and all they want to do is contribute.

On the face of it, it does not sound wrong. People who come to this country should pay their way; we would expect that if we went to visit other countries—but life is not as simple as that. Many of my constituents are in very low-paid work. As my hon. Friend the Member for Feltham and Heston (Seema Malhotra) said, they are often in low-paid, zero-hours contract jobs. Actually, in my constituency, they are often in good, well-paid jobs. I have nurses, teachers and others who are in jobs that pay well but not enough to live in London. It is very difficult. In my constituency, and probably across the whole of the south-east of England—I do not have up-to-date figures—people cannot rent a three or four-bedroom property under the housing benefit cap. Those people are not necessarily claiming housing benefit, but the costs of renting are too high to pay for out of their wage packet.

What happens is that people live with family and friends, and I have many constituents who do that. As my hon. Friend the Member for Mitcham and Morden said, if these pictures were shown in the media, people would not believe it. People are living in one room with another family member living in the other room, because they just cannot afford the housing costs. They have no recourse to public funds, and they cannot get a penny of housing benefit to help towards that. Let us not forget that most housing benefit goes to people in work. That is another issue, but it is a systemic sign that the whole housing system is bust. That is a debate for another day—possibly the same Members might wish to contribute.

Overcrowding is a big health risk at the best of times, and we are not in the best of times. A concern of mine during the covid pandemic is that those double households are trapped. I had a very distressed grandmother come to see me at a surgery. I had been to visit the family, and they had been to see me before. She loves her daughter and granddaughter, but they cannot move out of their one-bedroom flat because they have no recourse to public funds, and mum is a nurse. The grandmother came to see me and said, “When will we get housing? How will we get housing?” She came to see me privately because she did not want to tell her daughter how hard it was for her to share her small home with her beloved family. These are small flats, and they are often very overcrowded.

As others have highlighted, councils are spending a lot of money on this. In 2018-19, 59 councils were spending £47.5 million a year on service provision to people with no recourse to public funds. That was before coronavirus, and some of those people are being affected now. I want to highlight an individual case—we all have so many. One of my constituents has two children, and her late father was British. She is working, but because she has no recourse to public funds, she cannot claim tax credits, child benefit or housing benefit. That has had a very big effect on her, and is having an impact on her children. She is not sure, and nor am I, how much longer she will be able to cope.

My hon. Friend the Member for Mitcham and Morden highlighted the issue of cost-shunting, which the Public Accounts Committee talks about all the time. There are costs to society, the taxpayer and, of course, individuals. I want to highlight the taxpayer costs to the Minister, because that should bite if nothing else does. So much of the system is having to pay for people who cannot pay their own way because they have no recourse to public funds. They are working people for the most part. They want to work, and they might just have hit a rocky time.

[Stephen Timms]

My hon. Friend made a point in passing that I want to highlight. I do not know whether it is well known, but we are talking about a large number of British-born children whose parents cannot claim child benefit for them. I do not think most people know that is the case, but it is.

[Meg Hillier]

I am grateful to my right hon. Friend, the Chair of the Work and Pensions Committee, for that intervention, because that is correct. People assume that there is a safety net there—we all assume a lot of things about other people’s lives in a general way, because people do not always live that path themselves—but many of our constituents do not have a penny coming in, even though their children are British. It is the main householder who affected. There is a really big cost and those children are growing up in increased poverty as a result.

If we want to invest in the future of our country, we must consider these young people with their driven parents—parents who came here, who are working, who want to work and want to contribute, and anyone would say that they have the right work ethic to ensure that their children will also achieve—because they are living in much more difficult circumstances than they need to. The cost of any public funding will not suddenly fund their lifestyles; it is just going to help them to keep afloat, to keep their housing and to keep playing their active role as working members of society.

I will touch on the point that my hon. Friend the Member for Brent North (Barry Gardiner) made about people who cannot afford the fees; we talked a bit about that. I pay tribute to my constituent, Chrisann Jarrett, and to We Belong, which is a group of young people who are taking the long route for citizenship; some are from families with no recourse to public funds, but there is a wider point that I raise here, too. These people are young, gifted and talented, and they came here as young children. They want to contribute to this society; they are not going to live anywhere else. The countries that their parents were born in are of interest to them, but usually they cannot visit them because they do not have citizenship. However, they have to pay these repeated fees. Often, they never got citizenship early on because their parents simply could not afford even to start them on that process. Then they find that they cannot go to university and they are left sitting around, kicking their heels.

In July, the Home Secretary said—very genuinely, I feel, and I say that to the Minister—when she made her latest statement on Windrush that she wanted to root out any unequal treatment in her Department, and that she wanted to see a root-and-branch review of how it treated people. I took her at her word on that; she stood there, said that, and I believed that she meant it. If she really means it, this group that I have talked about—We Belong, which I believe she has met or is about to meet—are really good advocates for this. Surely, however, if she really believes what she said, she needs to look at no recourse to public funds, because if we look at the profile of the people who are affected by that, we see that it does not meet the equality standards that she professes to support.

In summary, I hope that the Minister will answer the detailed questions on the Home Office statistics. Does he have the statistics? If they are available, why can we not see them? If he does not have those statistics, can he tell us how he will get hold of them, so that he can make sure that he and the Home Office are making policy decisions based on proper evidence and data?

Covid-19: BAME Communities

Debate between Meg Hillier and Stephen Timms

Thursday 18th June 2020 Commons Chamber

[Stephen Timms (East Ham) (Lab)]

I agree with my hon. Friend the Member for Liverpool, Riverside (Kim Johnson) and congratulate my hon. Friend the Member for Brent Central (Dawn Butler) on securing this debate on how she opened it.

I want to focus on one point. The Public Health England review says:

“People of BAME groups are also more likely than people of white British ethnicity to be born abroad, which means they may face additional barriers in accessing services”.

I want to highlight one barrier in particular, and that is the “no recourse to public funds” restrictions on leave to remain, which has already been touched on this debate. We are talking about families who have leave to remain in the UK, who are law-abiding and hard-working, often with children born in the UK and who may well be British nationals and have British passports. Typically, they are on a 10-year route to securing indefinite leave to remain, and in the meantime they have to apply four times, getting two and a half years to remain each time. Throughout that 10-year period, when they are working here, typically very hard, doing exactly the kinds of jobs we have been talking about, they have no recourse to public funds.

That is a formidable barrier that those people face. It is exactly the kind of barrier that the Public Health England report refers to. I asked the Prime Minister yesterday about this, and I asked him about it at the Liaison Committee three weeks ago. His answer then was that hard-working families in that position should have help of one kind or another. I absolutely agree. Unfortunately, he did not say that when I asked him about it yesterday, but it is what he said to me at the Liaison Committee, and he was right on that occasion. The problem is that those families are not getting that help.

It comes as a shock to a lot of people to learn that the parents of children who have been born in the UK and might well be British nationals cannot claim child benefit for them, because no recourse to public funds excludes that. The families cannot apply for universal credit either, or access the safety net that so many people have had to depend on during this crisis—2 million additional people have been claiming universal credit since the beginning of the crisis. That safety net is not there for people with no recourse to public funds. That has created a very serious problem of destitution, a huge increase in food bank demand in many parts of the country and, in my area, the return of something I never thought we would see again: soup kitchens, where people are handing out free cooked food just to keep others alive.

[Meg Hillier]

My right hon. Friend raises a very important point, and a very pertinent point in our London constituencies particularly. No recourse to public funds means no housing benefit, and it is impossible pretty much to rent privately on a low wage, or even quite a good wage, in my constituency. Does he agree that that underlines how this policy is now out of date?