Pensioners and Winter Fuel Payments

Michael McCann Excerpts

Tuesday 22nd November 2011 Commons Chamber

[Mr Dodds]

I certainly do agree with the hon. Lady, who rightly points to the important step taken by the Northern Ireland Assembly and Executive of appointing a commissioner for older people, which follows the appointment in Wales of someone who fulfils the same kind of role. I have no doubt that the commissioner, who I agree is an excellent appointment, will be active in putting to Northern Ireland Executive Ministers the case for our older people. As I outlined earlier, a number of things are currently being undertaken by the Executive, and they are considering others, to help our older people. However, what the hon. Lady says on winter fuel payments, which affects the entire country, and which is for decision and debate in this House, should carry some considerable weight.

On whether the allowance is poorly targeted and whether it is the appropriate way in which to deal with fuel poverty—the right hon. Member for Rotherham (Mr MacShane) mentioned this—the argument against the universal payment principle overlooks the fact that many of those entitled to, for instance, pension credit, do not receive it, for a variety of reasons. In Northern Ireland, somewhere in the region of £60 million is not claimed by those who are entitled to pension credit. Those people are hit with a double whammy: they do not get pension credit or cold weather payments, because the latter go only to those who claim the former. The only way to ensure that the most vulnerable people get financial help is to keep the universal payment. I believe that there is no dispute between the Government and those who agree with me, because the Conservative party pledged in its manifesto that the allowance would be kept.

[Mr Michael McCann (East Kilbride, Strathaven and Lesmahagow) (Lab)]

The right hon. Gentleman makes a potent argument, but does he share my concern that cold weather payments are triggered by monitoring equipment in only certain parts of the country? My area shares the same climate characteristics as his, and my constituents regularly lose out, which is why the universality of the wider payment is a much better system.

[Mr Dodds]

The hon. Gentleman rightly points to one of the major deficiencies of cold weather payments, which has also been raised by DUP Members.

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[Steve Webb]

It is intriguing that, in presenting a 30-minute explanation of why we should spend a further £600 million, the right hon. Gentleman should remove the bit about where the money should come from, which seems to me to be fairly central to the debate.

Faced with that baseline of a proposed reversion to a £200 winter fuel payment and an £8.50 cold weather payment, we could simply have gone ahead with the previous plans, and found our £70 billion to £80 billion on top of that. However, we took the view—as does the right hon. Gentleman—that fuel poverty matters, and we therefore found the money that would enable us to reverse the planned cut in the cold weather payment. I believe that ours was the right priority. If we are concerned about the most vulnerable when it is most cold in the coldest of winters, we should bear in mind that an increase from £8.50 to £25 gives people the confidence to turn up their heating when it is bitterly cold. The system even allows cold weather payments to be triggered by a forecast. It need not actually have been freezing cold; we merely have to expect it to be freezing cold.

Last winter in Northern Ireland, we made 672,000 cold weather payments at a cost of £16.8 million. Had we not reversed the earlier decision, the value of those payments would have fallen by about two thirds. Our decision put about £10 million into the hands of the poorest pensioners and disabled people in Northern Ireland during a bitterly cold winter, and I am proud that we made it.

[Mr McCann]

Many constituents throughout the country, including mine, will not be able to gain access to cold weather payments because the necessary monitoring equipment is not there.

[Steve Webb]

I am grateful to the hon. Gentleman for raising that point. A number of Members in all parts of the House contact me about cold weather payments for which I am responsible. My hon. Friend the Member for Argyll and Bute (Mr Reid), for example, wrote to me saying that he did not think that the cold weather stations in his constituency matched the actual pattern of cold weather.

I have been very impressed by the work of my officials, who take seriously every representation received about cold weather stations. We change them every year in response to such representations. There will be stations in the hon. Gentleman’s constituency, but if he thinks that they are in the wrong place or measuring the wrong data, I can tell him that we work very closely with the Met Office, and respond thoroughly and carefully to all submissions. As far as I am aware, I have not received a submission from the hon. Gentleman, but I apologise if he has already contacted me. If he has not, I encourage him to do so.

[Mr McCann]

The issue has been raised both by me and by my predecessor. My nearest cold weather station is Bishopton. As anyone from Scotland will know, East Kilbride is one of the coldest places in the country during the winter. However, there is no monitoring equipment, although South Lanarkshire council has monitoring equipment in the constituency to ensure that gritting takes place. I should be grateful if the matter could be looked into.

[Steve Webb]

I am happy to do that. It would be helpful if the hon. Gentleman would be kind enough to give me as much detail as possible in writing. In general, as I have said, I have been impressed by how responsive the system is.

Oral Answers to Questions

Michael McCann Excerpts

Monday 28th March 2011 Commons Chamber

[Mr Michael McCann (East Kilbride, Strathaven and Lesmahagow) (Lab)]

Last Thursday night I met representatives of Lanarkshire Ace, a group in my constituency that looks after adults with learning difficulties. They are terrified about the prospect of going through a reassessment for DLA. Will the Minister confirm that people with life-long conditions, such as adults with learning difficulties, will be exempt from a reassessment in future?

[Maria Miller]

I am sure that the hon. Gentleman will take this opportunity to ensure that his constituents are not terrified about the future of DLA, and indeed the personal independence payment, because we are making sure that it will be a fair and transparent assessment. We will not be, as a rule, saying that individuals would be exempt from assessment, because we want to make sure that they are getting the right support, and we can do that only by looking at their needs.

Housing Benefit

Michael McCann Excerpts

Tuesday 9th November 2010 Commons Chamber

[Mr Alexander]

I am keen to make a little progress.

According to a study commissioned by Shelter from the Cambridge Centre for Housing and Planning Research—I wonder if the Government will dispute the integrity of that body—more than four in 10, or 42%, of landlords currently letting to LHA claimants planned to scale back. Shelter estimates that that will equate to 100,000 landlords. Liz Peace, the chief executive of the British Property Federation, said:

“Landlords might decide to abandon the social sector.”

The Conservative Mayor of London—I wonder what the Government will say in relation to this evidence—says that the Government’s proposals will lead to

“the loss of the private rented sector as a major safety net for London boroughs”.

He continued:

“We expect landlords to leave the housing benefit market due to the perceived instability of housing benefit in the short and medium term.”

Those are the words not of the Labour Front Bench, but of Boris Johnson.

[Mr Michael McCann (East Kilbride, Strathaven and Lesmahagow) (Lab)]

Has my right hon. Friend seen the Daily Mail today? Under the headline “Archbishop is wrong about…welfare…says Iain Duncan Smith”, the opening paragraph states:

“Iain Duncan Smith has attacked the Archbishop of Canterbury’s claims that housing benefit cuts will lead to a cycle of despair that will socially cleanse the poor from Britain’s cities.”

The article goes on to quote the Secretary of State as saying of the Opposition and special interest groups:

“‘They have even tried to suggest that our real purpose is not just to cut the budget deficit but to remove poor people from the heart of our cities.’”

If that is not the purpose of the Government’s intentions, surely that will be the net effect.

[Mr Alexander]

I can understand the embarrassment of those on the Government Front Bench, but whether it is the Deputy Prime Minister attacking the Institute for Fiscal Studies or the Secretary of State for Work and Pensions attacking the Archbishop of Canterbury, they diminish the case that they are trying to make.

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[Mr Heald]

My hon. Friend, who makes an important contribution to the Committee, makes an important point. If we look at the effect of the policy, we find no doubt that landlords will reduce rents, because all the evidence to the Committee suggests that they will.

There are arguments about how much effect the changes will have, but the British Property Federation and the Residential Landlords Association have said that 29% of landlords would reduce rents voluntarily. The Cambridge university research for Shelter shows that 29% of tenants will not be able to negotiate a rent reduction or make up the difference. It concludes that of the remaining 29%, 50% of the group will be in difficulties because landlords will not accept the lower rents paid and will not forbear. It says that some £42 million to £82 million a year will be needed to help those who do not get that forbearance from the landlord, are unable to negotiate a change, and so on.

Let us bear in mind, however, that the Government have set aside very substantial resources for exactly this problem. One might say that the mid-point is around £60 million, which is the figure that the Government are moving towards, although the Secretary of State said, very reasonably, that he will keep it under review and see what exact figure is needed. It is completely wrong to suggest that the Government have gone into this without realising that they must match hardship if it is found.

[Mr McCann]

If this is about a recalibration of rent, why are the Government using the poorest and most vulnerable in society as a battering ram to get there?

[Mr Heald]

To be fair, the hon. Gentleman should think occasionally about the hard-pressed taxpayer. Working people on the lowest incomes pay lower rents than housing benefit claimants. Surely the principle should be that we all want to help someone worse off than ourselves, but that the average taxpayer should not be expected to put a person into a better position than he himself would ever be able to afford.