Universal Credit and Welfare Changes

Michelle Donelan Excerpts

Thursday 21st June 2018 Commons Chamber

[Ms McVey]

A couple of things, starting with the minimum income floor: this was brought in for when people had set up a business and were getting paid below the minimum wage in order to support them and to help them to improve their business case, but so that if that was still not working, we could then say, “How do we help you to become employed, because self-employment is obviously not working for you?” That was why the minimum income floor was brought in. If anybody has been made homeless through this, I will meet them. We have advance payments and support, and our work coaches work with homelessness charities to achieve the exact opposite of that. In fact, I can tell the hon. Gentleman about countless cases where they have stopped people being homeless, but if that has not been the case for his constituent, we need to listen and get that changed rapidly.

[Michelle Donelan (Chippenham) (Con)]

I entered politics to enable people to get on in life and to open doors to opportunities. Does my right hon. Friend agree that universal credit is a fantastic example of doing that, given that it makes work pay and it is forecast to help 200,000 more people into work than jobseeker’s allowance did?

[Ms McVey]

My hon. Friend is right. She came into Parliament to help the most vulnerable in society and to help people into work. That is what Conservative Members do, and it is what Opposition Members want to do, but our solutions and ways of doing things are working. I reiterate that an extra 3.2 million people are in work since 2010. Universal credit has come about because the world has significantly changed, even in the past 10 years. Think about technology, automation and people online—the world has changed. We have to deal with the gig economy, with flexible working hours, with part-time and multiple jobs, and with the difference in working life for people who have caring responsibilities for children and adults. That is what this system takes into account; the legacy system could not do that.