(1 year, 5 months ago)
Ministerial CorrectionsMembers will be pleased to know that at the Budget, we announced an extension of the existing redundancy protection offered during maternity leave so that it will also apply to pregnant women and to new parents on their return from maternity or parental leave. It will provide security to an estimated half a million more people at any one time.
[Official Report, 23 March 2023, Vol. 730, c. 204WH.]
Letter of correction from the Under-Secretary of State for Work and Pensions, the hon. Member for Mid Sussex (Mims Davies):
An error has been identified in my response to the debate.
The correct response should have been:
Members will be pleased to know that at the Budget, we announced an extension of the existing redundancy protection offered during maternity leave so that it will also apply to pregnant women and to new parents on their return from maternity or parental leave. It will provide security to an estimated half a million people at any one time.
(1 year, 5 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
It is an honour to serve under your chairmanship, Mr Sharma. I congratulate the hon. Member for Strangford (Jim Shannon) and his colleague, the hon. Member for Upper Bann (Carla Lockhart), who is not here today, for securing this important debate. I followed the debate as a fellow Dolly Parton fan and it is a pleasure to engage on this matter. The hon. Member for Wirral South (Alison McGovern) talked about happiness, and happiness is indeed Dolly Parton. Those who do not know what I am talking about should look at the early-day motion.
We are all here in Westminster Hall on a Thursday because we are passionate advocates of women’s rights and want to improve their lives. Like the hon. Member for Wirral South, I pay tribute to the many ladies before us who trailblazed and gave us the opportunity to be here. On behalf of the Government, I commit to continue to support women at all ages and career stages. I fully recognise that, as the hon. the Member for North Ayrshire and Arran (Patricia Gibson) said, supporting children is an important role. Family life and that support is important.
I hope to cover quite a lot of the questions—I am keen to make my speech, too—but I want to point out that over the last decade the gender pay gap has fallen from 19.6% to 14.9%, although I fully recognise that, as the hon. Member for Wirral South says, there is more to do. The percentage of women in employment has risen from 66.1% to 72.2%. In practice, that means 2 million more women in work since 2010. The Government have overseen increased numbers of women in full-time work and introduced shared parental leave. I absolutely believe in shared parental responsibility, supporting children and being there. We have doubled free childcare for eligible parents and passed our landmark Domestic Abuse Act 2021 to protect and support women and all those, including children, affected by that heinous crime. We will continue to build on that proud record of supporting women to provide a level playing field where everyone has fair and equal opportunities. I absolutely agree with the hon. Member for Wirral South.
On childcare and support for families, particularly for women, the Budget package for childcare has exceeded the expectations of many stakeholders. I welcome the points made by the hon. Member for Wirral South. I have spoken to many parents and visited nurseries. I also just met Save the Children. The increase of universal credit and childcare caps by around one third will help families, and those caps will continue to be uprated by the consumer prices index. I am meeting the Minister for Children, my hon. Friend the Member for East Surrey (Claire Coutinho), at the Department for Education next week, and I applaud the work that she has done.
The new free entitlements for working parents of young children can be used alongside the universal credit offer. That means full-time working parents on benefits across the country should not face childcare costs that exceed their free entitlements and caps. The DFE is also funding additional wraparound support for school-age children, and that can be used alongside universal credit. That is groundbreaking for those caring for children, and the reforms will revolutionise the amount of support that low-paid parents can receive.
We have spoken about some of those low-paid jobs and low-perceived sectors; the hon. Member for Wirral South made those points. It is really important that we tackle that issue. These are really important jobs that we particularly appreciated during the covid times—these people are doing the difficult jobs. It is really important that we support the people who go out, day in and day out, to do the difficult roles.
The hon. Member for Strangford mentioned mental health. He may have noted in the Budget that we will be embedding tailored employment support within mental health services and extending the well-established individual placement support scheme. That is really important. My hon. Friend the Minister for Disabled People, Health and Work is focused on this particular area and on carers. The Health and Safety Commission is also doing work in that area.
I say to the hon. Member for North Ayrshire and Arran that in the approach we showed throughout the pandemic and our response to cost of living pressures, we have been absolutely focused on acting to ensure that households get the support that they need. I am delighted that the powers that the Scottish Government have through the Scotland Act 1998 are being used to support the most vulnerable; that is exactly what they are there for. The partnership with DWP is welcome and has been very much strengthened. I am keen that we should continue to keep it under review and work strongly together. For those people who are struggling, I remind people that there are 1.1 million vacancies out there and we at DWP have all sorts of interventions that can help people to get into those roles. I will come on to that shortly.
I am very mindful of our particular role at DWP in mental health and wellbeing for women. Menopause has been a particular focus for me, particularly when it comes to anxiety and the impact on work. Menopause does not only affect women in their 40s or 50s; it can come at any age and at any career stage. Again, we have recently appointed the menopause employment champion, who will work collaboratively with businesses to ensure that the necessary information and resources are out there to support women. That champion is Helen Tomlinson, who is already cracking on with working with employers. NHS England’s national menopause care improvement programme is also focused on improving clinical menopause care in England and on reducing disparities in treatment. Changes from April will provide support with prescription costs as well. I am very alive to the impact of menopause.
We also discussed carers. I have shared before that my family has been a caring family and shared the impact of that. I look back on the mental health and wellbeing of my mum with some shame, to be honest, about the lack of recognition of the support that people need. I listened to my constituents on Carers’ Rights Day just recently. Disability, and the impact it has, can happen at any age or career stage. It could affect a child, or anyone later.
Carer’s allowance provides a measure of financial support and recognition for people who give up the opportunity of full-time employment to provide regular and substantial care for anybody who is severely disabled. Just under 1 million people receive carer’s allowance, which will increase in April, and receiving a means-tested benefit can be a passport to other support, including help with fuel costs and help through other schemes, such as the warm home discount scheme.
That is why I say to any constituent and to those who are watching: please have a look at the benefits calculator on gov.uk. People should make sure that they are claiming everything that they are entitled to. Many carers do not recognise that they are carers and that there is additional support out there for them.
I thank the Minister for her very detailed response. Sometimes people, for whatever reason—they may just have a busy life—perhaps do not have the opportunity to pursue the suggestions she has just made, which were very positive. In many cases, I suspect that if they did make inquiries they would qualify for money. But is there any way that the Government could be more proactive on the issue, perhaps even by chasing the carers to ask whether they are aware of all their entitlements? Even a small leaflet through the post can make a big difference to a person who wants to understand what they could gain.
I thank the hon. Gentleman for his intervention. Charities such as Carers UK do an incredible job to help people in exactly that way; I know that as a former co-chair of the all-party parliamentary group on carers. I will pass the point about communications on to the Minister for Disabled People, Health and Work. I remind people that, through DWP, we have the Help to Claim service, and if people head to the Help for Households website, that can help them as well.
Discussing this issue gives me the opportunity to talk again in this Chamber about our amazing caseworkers—those who signpost and support people in need and help them to recognise and understand the support that is out there.
The hon. Member for North Ayrshire and Arran spoke about domestic abuse and coercive and financial control, which the hon. Member for Rutherglen and Hamilton West (Margaret Ferrier) also mentioned. Tackling violence against women is an absolute priority for this Government. These crimes are harmful; they have a profound effect on victims, survivors, loved ones, families and our wider society. The hon. Member for Wirral South was absolutely right that one’s gender should not have an impact on how safe one feels or how well one can do. Times have to change.
Split payments are available in the universal credit system for all claimants who need them. A split payment is when the household universal credit award, which would normally be paid to the nominated account, is divided between two claimants. Split payments can be made to two separate members of a household, with a larger percentage allocated to the person with primary caring responsibilities, to ensure the health and wellbeing of the majority of the household.
That is a reminder for me to point out that if anyone is in need of any support—if they are under any control or are worried at all—a jobcentre is a safe place for them to disclose that, by using the “Ask for ANI” scheme and talking to their work coach. Departmental training and awareness are now better than ever, and there are now jobcentre staff who are specifically trained to support people experiencing any kind of domestic abuse, as there are in the Child Maintenance Service. That allows jobcentre staff to proactively identify, support and signpost victims of abuse. We are committed to the best possible support for our claimants, including those experiencing domestic abuse.
The hon. Member for Wirral South mentioned pension credit. That is vital financial support for pensioners on low incomes, which is why we launched a £1.2 million nationwide campaign in April 2022 to increase awareness and take-up, particularly for women who may be on a low income, whom we have discussed today. The most recent figures show, out of the pool of people who are entitled to pension credit, an estimated take-up of 66% for the financial year 2019-20. With the beginning of the pension credit awareness campaign in April 2022, weekly pension credit claims volumes increased by 73% compared to the previous 12 months, so this is working. I hope that that reassures the hon. Lady.
We are undertaking further communications activities, and we are absolutely determined to have a broad reach. The DWP is writing to more than 11 million pensioners to notify them about the upcoming state pension uprating, and last year that notification was accompanied by a leaflet promoting pension credit. We plan to spend another £1.8 million until the end of this financial year communicating with those who might be entitled.
I welcome that. In my office—I am sure it is the same in yours, Mr Sharma, and those of all hon. Members—whenever pensioners come to see me, I always ask whether they are getting all their entitlements. The first thing we check is whether they are getting pension credit. They might not qualify for it, but we always check it. The other thing is that if age is not on their side and they are getting older, they may not be as physically strong as they once were, and attendance allowance is a benefit that is not emphasised enough. Could we put a wee bit of emphasis on that?
I note the hon. Gentleman’s point, which I shall take back to the Department forthwith. I hope that that pleases him.
I am prompted to intervene by the comment from the hon. Member for Strangford (Jim Shannon). In my constituency, Money Matters is an organisation that offers a free, confidential, comprehensive service by providing benefit checks to all constituents who are concerned about making ends meet. Does the Minister agree that the DWP is best placed to carry out those comprehensive benefit checks to make sure that people are receiving their full entitlement of support?
The hon. Lady makes a very good point. Interestingly, though, people do not particularly want to be labelled. Sometimes it is hard to make people understand that they are entitled. Alongside DWP’s responsibility, we all have a responsibility in respect of that, through our constituency surgeries and through the third sector. It is a group responsibility, although I absolutely see her point.
There will be further accessible radio, print and digital advertising to make sure that we reach people who may not be online, as the hon. Member for Strangford noted. On his point about ethnic minority women entering and advancing in the workforce, that is an issue I am absolutely passionate about—if you cannot see it, you cannot be it. A recent roundtable at No. 10 very much focused on that issue.
At the end of 2022, there were more than 2 million ethnic minority women in employment. That has risen from more than 1 million in 2010—a 79.6% increase. We know that some ethnic minority women can face specific and challenging cultural barriers to moving into and thriving in employment. Therefore, our outreach work links up with organisations and employers to help those furthest away from the labour market to move into employment.
I was recently in Birmingham, a brilliant area for reaching out to those groups and working to understand the opportunities, where there is support with work experience to really help to build up confidence and employability. We are rolling out learning from a proof of concept, targeted at ethnic minority women, who may fail to engage and thrive in the labour market for many cultural and traditional reasons. In four local authority areas, jobcentres have appointed a women’s community co-ordinator, offering wraparound support to help women with an ethnic minority background to thrive in employment, and we are looking to extend that further.
The hon. Member for Strangford spoke delicately about sex for rent and other behaviours that some women may feel that they need to engage in to secure themselves. That is a focus of my colleague in the Home Office, the Minister for Safeguarding, my hon. Friend the Member for Derbyshire Dales (Miss Dines). When I was there very briefly, we took some steps to focus on the challenges and why people might feel pushed into something such as that.
I think I have answered most of the questions, and I will make a little progress with my speech. Northern Ireland has the second lowest unemployment rate in the UK at 2.4%, which is quite remarkable—a whole 1% lower than the UK average. As we know, work is the best way to earn more and move out of poverty, and that is reflected in the two statistics of low poverty and low unemployment. I take the point that for people for whom the barriers are highest, that probably makes no difference, and that is where we need to put our focus.
I was delighted to see that our interventions in the cost of living Bill—the Social Security (Additional Payments) (No. 2) Bill—received Royal Assent today; we are, again, focusing on the most vulnerable. I reiterate our absolute commitment to a sustainable, long-term approach to tackling poverty and better using the welfare system. In this coming financial year, we are uprating all benefits and state pensions by 10.1%. To increase the number of households who can benefit from those decisions, the benefit cap level is also increasing by the same amount.
A key area for us at DWP is focusing on low-paid work. We want to give people a range of options to help them to be better off, boost their skills and gain interview assistance, whether it is through our 50-plus interventions or by tackling additional barriers, disabilities or health conditions and extending our support through jobcentres.
Next month, the national living wage will be increased by 9.7% to £10.42 an hour, and that will benefit more than 2 million low-paid workers. That represents an increase of more than £1,600 in the annual earnings of a full-time worker who receives the national living wage.
The hon. Member for Wirral South spoke about childcare and the barriers to parents returning to work. The Budget measures and all those other things are being done at once. One of the challenges she laid down for me and my Department was to focus on the impact. She asked about the evaluations, which I am happy to share with her, and I will write to her further with some of those responses.
Members will be pleased to know that at the Budget, we announced an extension of the existing redundancy protection offered during maternity leave so that it will also apply to pregnant women and to new parents on their return from maternity or parental leave. It will provide security to an estimated half a million more people at any one time.
I am conscious that I have spoken for some time, but there was a lot to cover; I appreciate Members’ forbearance. The Government are fully committed to providing opportunities for women across the whole United Kingdom so that they can be successful in whatever they do. We want them to flourish and not be impeded by unfair and unjust barriers. We will continue to ensure that our support is targeted effectively to provide stability and certainty for everyone in these challenging times.
I am pleased to have been given the opportunity to respond, and to discuss the support available to women to lift them out of poverty and help them and their families lead fulfilling, productive and rewarding lives.
(1 year, 5 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Thank you for calling me to speak, Mr Robertson. I will try to be swift.
I obviously thank the right hon. Member for Bexleyheath and Crayford (Sir David Evennett) for securing this timely debate, and I thank all the Members who have spoken. The right hon. Member began by mentioning the 2022 report of the Social Mobility Commission. However, since its publication the chair of the commission has given up her role and it is unclear what the future holds.
I am here on behalf of the shadow Department for Work and Pensions team, and the Minister is here representing DWP. Responsibility for social mobility has been passed from Education to Equalities and now to DWP. Over the past couple of years, that has suggested that it is an unloved policy area for which nobody really wants to take responsibility.
I really wanted it!
I am sure the Minister did. But what exactly is going on? Part 1 of the Equalities Act 2010, which Parliament passed all those years ago, set out a public sector duty regarding socioeconomic inequalities that would have tackled, in a cross-cutting way, as ably described by my hon. Friend the Member for Ellesmere Port and Neston (Justin Madders), all the issues that Members have mentioned today. That is its objective. Amazingly, the Conservative-Lib Dem Government and subsequent Conservative Governments have never brought that duty into force. We are left asking why.
However, as we are here with a DWP Minister and her shadow, I will just raise some points about the Department’s own policy areas. If it had that overarching duty to tackle socioeconomic inequality, it might not have adopted, as it has done for many years now, the policy of any job, better job, career. That policy has shaped the Department’s approach and has resulted in people being told to get any job, as if that was a route up or a route out of poverty. As we have heard from Member after Member today, it is simply no longer the case that work, by definition, provides a route out of poverty. It is also true, and the Government themselves know this from their own pay progression report, that getting any job is not a route to better pay.
We need new principles and new policies, not least because of the geographical impact of this issue. We know from the House of Commons Library’s analysis of the Social Mobility Commission’s previous rankings that 77% of constituencies in London are in the top 20% of social mobility constituencies by metric, whereas the corresponding figure for the west midlands falls to 14%, for the east midlands 9%, for the north-west 8%, for Yorkshire and the Humber 7%, and for the south-west just 2%. Of the top-ranking areas for social mobility, 77% are London constituencies and just 2% are in the south-west. Geography is at the heart of this.
Exactly what steps is DWP going to take to clarify the role of the Social Mobility Commission? What data will be made available to this House and when on the current state of social mobility in this country? Precisely what targets are the Government now setting? What is the future for the commission’s metrics—it seems to have veered between different ones—and its report? And what action will DWP take immediately to stop forcing people to take jobs that, as several Members have said, are likely to make them struggle with social mobility and not achieve their ambitions?
Social mobility cannot just be a talking point for us politicians; it has to be about genuine hard work to shift the opportunities in our countries. I am afraid that the Tories and the Lib Dems saw this as a way out in 2011: they wanted to end the child poverty goal and to put something fluffy about social mobility in its place. But passing a non-specific goal from Department to Department is kidology—it will never work. We need a real effort for change. My hon. Friend the Member for Ellesmere Port and Neston has already said how the Labour party will do that. The first thing that we will do is to enact part 1 of the Equalities Act 2010 and take real action against class discrimination and put in place policies to bring it to an end.
I start by congratulating my right hon. Friend the Member for Bexleyheath and Crayford (Sir David Evennett) on securing this important debate and on his excellent, thoughtful and wide-ranging speech on social mobility. It has also been a pleasure to serve under your chairmanship, Mr Robertson, and I thank all Members who have contributed to this excellent debate.
I reassure Members of all parties that as the Minister for Social Mobility, Youth and Progression in the Department for Work and Pensions, this is a topic that I am particularly passionate about. In response to my hon. Friend the Member for Central Suffolk and North Ipswich (Dr Poulter), I am absolutely committed to working across Government and keeping a focus on this issue. I absolutely agree with the point about role models: you simply can’t be it if you can’t see it.
On Single Parents’ Day, and as a single mum, it is an honour and still a surprise to serve in this House. I was the first uni student in my family, with many of my relatives still thriving in trades as manual workers with a farming background. My father left school at 14 with no qualifications and a substantial dyslexia challenge, so our family is absolutely a product of social mobility. I understand the strong views expressed by the hon. Member for Hemsworth (Jon Trickett). I take a different view, but I am very proud and pleased that we all share our own experiences in this House, and how we learn from our experiences helps with the role model piece.
I agree with my right hon. Friend the Member for Bexleyheath and Crayford and many colleagues about the commitments that we make in this House by continuing through, and this is a great opportunity to move the levelling-up conversation into the social mobility conversation. Social mobility is absolutely about every single person having the chance and opportunity to succeed, no matter their background or postcode.
The Minister may not be aware that Darlington is home to one of the largest settled Gypsy, Roma and Traveller communities in the country. I am particularly keen to hear her views—if not today, by following up in writing—on what the Government are doing specifically in respect of them.
The support for all groups, no matter their background or where they are, is exemplified by hon. Friend pointing out that particular group. I am happy to come forward with further information on that, including cross-Government work.
The Government remain committed to all aspects of life, from education to work and later life, and to having a comprehensive suite of measures in place to achieve social mobility. The challenges laid down today are very welcome, because we have heard about different experiences in the different corners of Britain. Yesterday I visited Sandwell, West Bromwich, Wolverhampton and central Birmingham to discuss how our DWP support, youth offer and work with the third sector and local partnerships is making a difference in our communities.
I do not agree with the hon. Member for Wirral South (Alison McGovern) on the ABC—any job, better job, career—approach. Throughout the engagement that I had yesterday, it was consistently said to me that the skills, confidence and network that that gives people are transformative. As we have all spoken about today, you have to start somewhere.
It is great to hear the Minister’s contribution, and I know she cares deeply about this issue. If she has evidence of the efficacy of that policy approach, will she place it in the Library of the House of Commons?
We are doing some work on the impact of the kickstart scheme and how getting a job and progressing is leading young people to stay in work. There will be further information coming, and I will always share that with the hon. Lady.
In my conversations yesterday, I heard how adverse childhood experiences such as bereavement, poor attainment at school and other issues have impacted on young people’s confidence and opportunities, and on their experiences in adulthood. It demonstrates the critical point made in the Chamber this afternoon about the importance of getting education right and, above all, getting the Government’s lifetime skills guarantee right. As my right hon. Friend the Member for Bexleyheath and Crayford rightly said, education and skills have a massive impact. I absolutely agree that local colleges are among the most socially mobile and able connectors in terms of what they achieve, and I applaud the work that goes on in colleges. Spreading opportunity for every child and young person is a top priority, because their talent should contribute to where they end up.
I am concerned by the point made by the hon. Member for Ellesmere Port and Neston (Justin Madders) about job opportunities being hidden behind paywalls. As the former Employment Minister, and as the Minister for Youth, I worry about those opportunities. I thank him for raising that point. I ask those sectors that often approach the Government about being more socially mobile and more open to look at themselves. This is not a finger-pointing exercise, but those that continue to recruit in the same way often end up with the same people around the table. If that is excluding people, let us look at those recruitment basics.
The Government are investing in 55 education investment areas where outcomes in literacy and numeracy are the poorest, including £86 million in trust capacity funding to support and expand areas of improvement. That will help my hon. Friend the Member for Darlington (Peter Gibson) in terms of his reading ask. I will meet my parliamentary neighbour, the Minister for Children, Families and Wellbeing, my hon. Friend the Member for East Surrey (Claire Coutinho), shortly and will raise the issue of reading confidence. I was delighted to hear my hon. Friend the Member for Darlington use the O-word—opportunities. We are absolutely trying to spread opportunities.
The Department for Education is delivering a clearer skills system that is employer focused, high quality and fit for the future, which is what my right hon. Friend the Member for Bexleyheath and Crayford, who set up the debate so well, asked for. If only we had had time for a longer debate. We should get this subject into the main Chamber and spend more time on it. I would be very happy to respond to it—that is another commitment from me today.
The Social Mobility Commission has said that apprenticeships are among the best mechanisms to help employers build that diverse, talented, wide-ranging workforce, as well as to tackle the skills shortage. Many apprentices earn more than graduates five years after completion. Average graduate earnings five years after graduation are £28,200, compared with £30,900 for level 4 apprentices five years after completion. That is a lesson to us all to promote filling the skills gaps with apprenticeships.
DWP has progression leads in our jobcentres to help people. I recognise that some people work all the hours God sends but still find it difficult to make ends meet. Our progression leads work with our claimants, partner organisations, local authorities, local employers and small and medium-sized enterprises, to make sure that people are able to progress in work.
I had a very engaging meeting with leading employers during the week of International Women’s Day, to talk about the barriers and to focus on interventions. I will meet the Social Mobility Pledge team, including our former parliamentary colleague, Justine Greening, to discuss her mission. She is doing a brilliant job. DWP also has the social mobility commitment, pledge and consortium, of which 60 employers are a part.
It has been such a pleasure to respond to today’s debate, because this week is the DWP’s inaugural social mobility week—a week of action and engagement in our Department, with colleagues across the country working out how to tackle any barriers and to focus on social mobility. That includes being a national employer and giving our customers aspirations and goals. We are looking at things such as caring responsibilities, and I will host a session on Thursday. We are also looking at subjects such as accent bias and recruitment bias. I hope that reassures the hon. Member for Wirral South.
Throughout the debate, we have seen that social mobility is a key priority and I hope I have shown my passion for it. We will break down the barriers. No matter what someone’s background is, we can cater for every single circumstance. Everybody, like us, should have the opportunities to succeed.
(1 year, 5 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I thank the hon. Member for Arfon (Hywel Williams) for calling this debate on the local housing allowance, which provides housing support for universal credit and housing benefit claimants in the private rented sector. I thank you, Ms Elliott, for presiding over this important debate; it is my first time here, too.
The Government fully recognise the importance of affordable, decent quality housing, as the hon. Member for Westminster North (Ms Buck) pointed out, which is why we have invested significantly to support those on low incomes, including private renters. All constituency MPs are focused on this issue, as has been alluded to this afternoon. We are grateful to our excellent caseworkers who support us and keep us informed about what is going on in our constituencies. I thank all the charities for all the positive work that they do in the sector. I will be visiting further innovative pilots and interventions on Monday to look and learn and see how we can really help the most vulnerable to progress, including some of the groups that have been mentioned this afternoon.
Acting on childcare, as we have done today, helping people to progress and earn more and helping people with energy costs will help with the wider challenges that many of our colleagues have spoken about this afternoon and all the constituents who have been impacted. The Government spent almost £30 billion supporting renters with housing costs in 2021-22. More widely, the Chancellor announced in the autumn statement a significant wide-ranging package of support to help low-income households struggling with the increased cost of living, which will of course include housing.
We recognise and acknowledge that rents are increasing. However, the challenging fiscal environment does mean that difficult decisions were necessary to ensure that support is targeted effectively. That support provides stability and certainty for households through the further cost of living payments for the most vulnerable for 2023-24, which I was pleased to bring forward myself. Around 8 million households on eligible means-tested benefits will get a further £900 pounds in payments in 2023-24.
Does the Minister accept the argument that I and other Members have made—that doing something about the local housing allowance would save the Government money in the round?
I appreciate and understand the point that the hon. Gentleman is making, and I will make some further comments shortly.
Today’s Budget has focused on more help so that people can be better off, to raise living standards and to improve lives. To the hon. Member for Westminster North and the right hon. Member for East Ham (Sir Stephen Timms), I say that this is a challenge that I am working on and that I am keen to rise to—across Government, as the hon. Lady says, and of course with the Department for Levelling Up, Housing and Communities. I say to anybody struggling today, whether with housing costs or other matters that are impacting them, that there is an opportunity to find out more on the benefits calculator website, in case they are missing out on any extra support. There is also the Help for Households website and the Job Help website. Of course, as has been mentioned, the benefit cap, working age benefits and disability benefits will also be uprated by 10.1% for 2023-24.
The household support fund extension provides an extra £1 billion of funding, including the Barnett impact. I met many local authorities yesterday afternoon to see how they are targeting that support—particularly on housing needs and costs, white goods and other things that might affect household budgets. The scheme will be backed with £842 million and will run from 1 April to 31 March 2024. It is right that devolved Administrations will decide how to allocate that Barnett funding. As we have heard, local authorities are expected to support those households most in need.
One of the Government’s key aims is to support people into work and to progress in work where possible. That approach is based on clear evidence that, for those who can work, particularly where the work is full time, it substantially reduces the risks of poverty. We see real challenges, to which the hon. Member for Westminster North alluded: more single households, more single parents and family breakdown. The support that we are giving, because of global impact, means that the supply is all the more challenging. I agree with the hon. Lady that wider issues around cost and quality, which very much concern me, mean that this policy, the growing need and the focus are only getting larger. I agree that, in Government, the issue is very much about more than me; I am sorry that I am not enough this afternoon, but I will try to do my best.
Let me turn to some of the points made by hon. Members. On the decision to freeze, we recognise that rents are increasing. However, the challenging fiscal environment has led to where we are, and it is important that we target effectively. The Secretary of State will review the rates and the standard process annually. The hon. Member for Arfon raised the issue of quality. Discretionary housing payments can be made to help claimants with the costs associated with moving to a new home if there is a quality issue. Everyone rightly has the ability to get a safe and secure home. Landlords are key; we need them to come forward, to stay in the sector and to want to be part of the solution where they have already met the decent homes standard. Quality housing remains a priority for this Government, and of course there is currently a White Paper on that.
I understand the point. That is why I want the quality to rise, rather than people feeling that they have to move. There is obviously a fall-back position.
The hon. Member for Arfon made a point about the broad rental market rates. Those are determined for Wales by rent officers in Wales. If the rent officers believe —I have just looked again at my local rates—that the boundary needs to be reviewed, as the hon. Member for Bristol East (Kerry McCarthy) mentioned, they can apply to the Secretary of State for change, but no reviews have been submitted by Wales. Local authorities can also request a review by contacting rent officers. It is up to the rent officer whether they will review it, but I think that is an important point for the hon. Member for Arfon to take away.
Obviously, there is the wider cost of living support as regards Welsh and indeed Northern Ireland devolution. The hon. Member for Strangford (Jim Shannon), with his typical empathetic tone and understanding, has brought real care to the debate, as usual. I recognise the hon. Member for Neath (Christina Rees), because I lived nearby in Neath for many years, and I very much welcomed the Welsh housing standard. I think that is exactly what we should be doing, rather than reducing things. I sense that the right hon. Member for East Ham is keen to come in.
I am grateful to the Minister for giving way. I am pleased to hear that she is working across Government on the issue, and I wish her well with that. Can she tell us whether there has been an assessment of how much could be saved in the costs of temporary accommodation if LHA was raised back up to the 30th percentile?
I hope to come that before I conclude my remarks. On the “no impact assessment” point made by the hon. Member for Arfon, we will publish an equalities analysis to the House of Commons Library, and I know the hon. Member for Glasgow East (David Linden) will keenly watch for that. On the recent question regarding shared rooms, there is an issue with the quality of data on room entitlements, so, if the hon. Member for Arfon writes to me, I will share with him further what I can best do to provide that.
I am grateful to the Minister for giving way. I spent a bit of the afternoon reading the Government’s White Paper on health and disability, and have actually been very encouraged by one part of it that talks about the importance of transparency in decision-making processes in the DWP. Will the Minister confirm that there will be a change of culture now in the transparency and publication of some of these things, which, recently, some of us felt to be a bit murky?
The hon. Gentleman points out the many questions he is asking about transparency, and I welcome that. Where policy is in development, we need to protect it, but, ultimately, if it needs to be transparent, I am very happy, where suitable, to share it.
On the point made by the right hon. Member for East Ham and others about temporary accommodation, it is, of course, an important way of ensuring that no family is without a roof over their heads. We are committed to reduce that need for temporary accommodation by preventing homelessness. We are investing £366 million into the homelessness prevention grant to support local authorities to prevent homelessness. The key point, and our main duty, is how best to support people so that they are not in that situation. I very much understand that, and I am keen to respond about how we are trying to do a little more about that.
It is important for Members to understand that the local housing allowance is not intended to cover all rents in all areas. In April 2020, in direct response to the covid-19 pandemic and the influx of new claimants because of the pandemic, we increased local housing rates to the 30th percentile of local market rates, costing nearly £1 billion and giving claimants on average an extra £600 in 2020-21. We have maintained that increase since then, ensuring that all those who benefited from the increase continue to do so.
I recognise that there are circumstances where extra help is needed, which is where we distribute the discretionary housing payments according to local need. Those payments play a critical role in providing support to the most vulnerable households in meeting their housing costs. Since 2010, we have provided nearly £1.6 billion in DHP funding to local authorities.
Of course, the competitive nature of the private rented market is driving up prices, alongside the annual review of LHA rates. I say to the hon. Member for Westminster North and the Chair of the Select Committee, the right hon. Member for East Ham, we are absolutely determined to work around the quality and supply challenges that are ultimately driving that. Overall, the DWP Budget measures today represent £3.5 billion over the next five years to boost workforce participation.
In conclusion—
I will wind up. I take all the points from hon. Members from all around our wonderful nations today, and I am sorry I cannot tell them any more than that this issue is a very strong focus for me, and that we will continue, I hope, to work together for all our communities.
(1 year, 5 months ago)
Commons ChamberIt is a pleasure to move amendment 4 on behalf of my party.
Additional support for struggling families is much welcomed, and I am pretty sure that no one in the Committee would oppose the provision of more help through the Bill. What my amendment seeks to do is ensure that those struggling families receive that support now, rather than having to wait. It has been a long cold winter, and we are expecting another cold snap this week, so it certainly is not over yet.
While the energy price guarantee has protected families from the worst increases, some households have seen their bills increase two, three or possibly even four times in the past year. We know from the scandal of the forced instalment of prepayment meters that many people have been unable to keep up with those bills, and that for many of them the debts continue to mount up. Hundreds of thousands, if not millions, of others are walking a tightrope—just managing payments, sometimes late, by making other cutbacks: being cold, eating less, or reducing travel. If we are not just to get those families back on an even keel but to help them to stay there, it is vital for the full cost of living payment that the Government wish to make to be made immediately—especially, I would argue, in the face of the impending increase in the energy price guarantee. We have all seen reports in the media over the last few days that the Government may well choose to extend that guarantee. I am sure you might have some thoughts, Dame Rosie, on whether that announcement ought to be made here before being briefed to the press. We cannot fully assess the impact of this Bill, given that we do not know for definite what is happening with the energy price guarantee, so we are left to make assumptions accordingly.
In any case, whether the guarantee lasts for another month or as, my party wants, for more months than that along with a reduction in the energy price guarantee to the Ofgem cap of £1,971 last April, cost of living support payments must be made now to have any impact. We are seeing a reduction in wholesale gas costs, which is why we argue that the Government can do more than they are outlining because they have the headroom to do so. What is the point in people paying some or even all of their bills, only to start struggling all over again? For people to get all the other benefits of affording the basics—being warm enough and fed enough to work, go to school and stay healthy—support needs to be geared to preventing them from falling below that line in the first place.
Moving on from my amendment 4 to the remainder of the Bill, I am left wondering if this really is it. You do not need to be a politician to know that this country is in crisis, although if you are a politician and have a modicum of responsibility or power, it is critical that you realise the severity of the situation. Just turning on the TV, opening a newspaper, speaking to parents at the school gate or spending any time out and about in our communities makes it very clear what is happening.
The difficulties felt by different communities vary, and that is what the Liberal Democrats’ new clause 8, and to some extent new clause 3, seek to address. For a lot of my constituents living in relatively rural North East Fife, the crisis is exacerbated by their countryside location, without easy access to local services and battling against unrelenting fuel costs. What I hear from them time and again is that they feel they are being let down. Farmers, for example, work long days seven days a week, without let-up and never taking a holiday, to provide the rest of us with the food that goes on our plates, but they are being left with next to no support for their fuel costs, no protection against foreign imports and no ability to plan for the future under the Government’s funding streams.
As has been mentioned many times in this House, many rural households rely on heating oil. I have discussed the price guarantee already, but heating oil is not even covered by that. Costs have almost doubled, yet those households have received just one £200 payment—that is if they have managed to receive it at all. We know that the system has been beset by practical difficulties. We have also seen the continued delays in the roll-out of the alternative fuel payment scheme. Applications are now open, but despite reassurances there has been no support for many until now. And when the shop—or too often now, the food bank—is not just around the corner for those in rural communities, they need to travel just for the basics. They cannot avoid getting into the car and paying for petrol, and although petrol and diesel prices have gone up everywhere this year, we always see much faster increases in rural areas.
Those in rural households are not the only group to suffer because of rising energy costs and fuel poverty. As has been discussed in this place before, disabled people have much higher living costs. I recently met representatives of Disability Rights UK, one of the organisations leading the Disability Poverty Campaign Group, as well as representatives from the Liberal Democrat Disability Association, and their message was clear: the additional £150 payment for people on disability benefits is so lacklustre as to be grotesquely offensive. It shows that the Government are taking no interest in, and making no effort to understand, the reality of the lives and expenses of disabled people.
Disabled people are not all the same: they have a wide variety of unique needs, which I cannot cover here, but I shall give just a few examples. Imagine someone needing a hoist to safely manoeuvre between their bed and their wheelchair, but being unable to charge that hoist and having to watch their family risk their own health by lifting them unsafely. Or perhaps think about someone being unable to charge their electric wheelchair and becoming unable to mobilise even around their home to get to the toilet or to fetch a cup of tea.
Perhaps someone’s partner has a spinal injury and is incontinent, but they cannot afford to run their washing machine every day or to properly heat their water, so they find themselves washing dirty clothes by hand in lukewarm water. Perhaps someone’s child has cystic fibrosis and needs a nutritious high-calorie diet, but with 10% inflation—we know it is worse for food inflation —and shortages, they themselves are having to skip meals to let their child eat instead. It should not take a donation from an international celebrity to reassure families of the disabled that they can keep their homes warm and essential equipment functioning. There are many ways in which disabled people incur additional costs, all of which are incredibly important and all of which demand support additional to what the Government are offering in this Bill.
Unpaid carers, on the other hand, are not even explicitly considered in this package of support. I will not labour the point, as I have said all this before, but not all unpaid carers receive means-tested benefits, and given that the vast majority of them live on or close to the poverty line, they are also badly in need of cost of living support. I would like to say that they are unsung heroes, but I have been singing their praises and calling for more support since the start of the crisis and I am starting to think that the Government do not want to hear it.
Dame Eleanor, it is a pleasure to see you in the Chair, and I am sure that everybody in the Chamber will welcome you back.
Overall, my concern about the Bill, as we consider it clause by clause, is that it is just a sticking plaster that will not truly keep our communities afloat during this crisis. Fuel poverty is widening and deepening; meanwhile, energy companies continue to rake in record profits. The Government must make suppliers act responsibly towards consumers. I acknowledge that it is not just the political response that is causing trouble for my constituents, as an astounding number of them have come to me with problems including being charged incorrectly, often more than they should be, and sometimes by companies that they are not even with. Electricity is a vital service, so surely this type of predatory behaviour cannot be allowed.
Food poverty continues to soar. As early as last April to September, before the worst of this crisis and before winter took hold, the Trussell Trust reported its busiest ever spring and summer, with a 45% increase in the number of families needing its support. The figures will only have gone up since then, and I am not convinced that this package will help, especially with the payments spread out so far. We know that when the £20 universal credit uplift was in place during covid, food bank use went down. How we stop families going hungry or relying on food packages is a vital conversation, and one that needs more time for discussion, so I encourage all Members present to come to the report launch of the all-party parliamentary group on ending the need for food banks on 22 March to hear more on the outcome of our “Cash or Food?” inquiry.
In the long term, to end the need for additional cost of living payments we need economic growth, we need more people able to work and we need a healthier society. Poverty is the enemy of all those things. Poverty breeds worse health outcomes, it makes people cold and hungry and it drives away hope and drive. That is nobody’s fault except those who choose to look away and do nothing, and that is why we need the Government to review reinstating the uplift to universal credit and extending it to legacy benefits. It is why carer’s allowance needs reforming, and it is why we need all the cost of living payments at once, now, as a circuit breaker.
I want to end by reflecting on the words of one of my constituents who got in touch with me over the winter. He is a 79-year-old gentleman who struggles to heat his home and who has a mixture of health difficulties. He said:
“Maybe it would be better if I wasn’t alive, for everyone else’s benefit.”
He cannot wait for April to October and then again for months for additional support, so with him in mind, I urge Members to support amendment 4.
It is a pleasure to see you chairing the Committee this afternoon, Dame Eleanor.
I thank hon. Members for the useful debate on Second Reading and I welcome this opportunity for a more detailed examination of the Bill in Committee. Clause 1 enables the Government to make three separate cost of living payments of £301, £300 and £299 to individuals or couples with a qualifying entitlement to an income-related social security benefit or tax credit. I have listened carefully to the hon. Member for North East Fife (Wendy Chamberlain). We have looked in the round at what we have done before, and I want to set out strongly to the Committee that we have worked very hard, whether on the household support fund or on this Bill, to support the most vulnerable through the really tough times that she described. I hope to give the Committee answers that will show that.
To be clear, the clause sets out that the qualifying days for each of the cost of living payments will be specified in secondary regulations, which will help to minimise work disincentives and fraud risks. In response to amendments 4, 5 and 6, it might be helpful if I clarify for the hon. Lady that the dates set out in clause 1 are backstop dates, meaning the latest possible qualification dates that could be set out in regulations. Bringing those dates forward could not achieve the amendment’s desired effect, although I understand the sentiment.
In any event, making all cost of living payments by 1 April 2023 would not support our ambition to spread the support through 2023 and into 2024. In fact, we have increased the number of payments from those made in 2022, having listened and engaged with the feedback from MPs across the land. This ensures that as many people as possible will qualify for a payment at some point, including those who become entitled to a qualifying benefit later in the year and those whose earnings fluctuate from month to month. Making all the payments in one lump sum would mean that more people miss out.
I understand the hon. Lady’s point, but I must be robust in saying that we simply cannot do what she suggests, as it runs contrary to what we should be doing in spreading out support for the most vulnerable. It is also the total opposite of the Select Committee’s request for more payments. I hope she understands that and will withdraw her amendment.
I call the shadow Minister.
May I state my delight at seeing you back in the Chair, Madam Deputy Speaker? I support new clause 14. My constituency has a very high level of self-employment, as I indicated in my intervention on the hon. Member for Bromley and Chislehurst (Sir Robert Neill), but it also has a large and active television industry, surprisingly to some people, considering that it is at the far end of Welsh-speaking Wales. Most of the TV is in Welsh. The new clause is on an issue that has an impact on us.
I mainly want to speak in favour of new clause 2, which is in the name of my hon. Friends in the Scottish National party, and in favour of the amendments that they have proposed. I support the requirement for an assessment of the latest cost of living support package that the Government have announced. The hon. Member for North East Fife (Wendy Chamberlain) said that the cost of living payments, although necessary, are a sticking-plaster, and I would repeat that. The payments are inferior to ensuring that benefits keep up with the real cost of living. The Institute for Fiscal Studies has shown that almost half of all families with three or more children on means-tested benefits would have been better off if the Government had not introduced cost of living payments, but had instead just ensured that benefits kept pace with inflation.
Benefit-receiving households where people were in receipt of disability benefits, or were in paid work, were less likely to have been properly compensated for the failure to uprate flat-rate cost of living payments in good time. That is another matter that needs to be looked at. I understand that the cost of living payments will result in the Government spending around £2 billion more on recipients of means-tested or disability benefits in 2023-24 than would have been needed simply to raise ordinary benefits in line with inflation. We really do need a full, detailed analysis by the Government, showing why they think that these ad-hoc payments are an appropriate way to distribute support fairly.
When it comes to living standards and social security, it is important that we recognise the differential effect across the nations of the UK—a point I referred to earlier. The Bevan Foundation’s latest research shows that even before the pandemic, around one in eight people lived in deep poverty in Wales. Around one in 30 has such low income that they live in destitution. New clause 2, proposed by my hon. Friends in the SNP, would require an analysis of the cost of living payments that considered the differing policy contexts in Wales, Scotland and Northern Ireland.
In Wales, we have the shameful record of having the highest proportion of children living in poverty of any nation in the UK. An analysis of how the cost of living payments will play out in Wales might reveal significant differences between the system in my country and the partially devolved benefits systems in Scotland and Northern Ireland. For instance, the Scottish child payment of £25 was a bold step towards tackling child poverty. It was one of the wider reforms that the IFS said was part of a trend in which the Scottish Government are using their devolved income tax and benefits powers to increase the progressivity of the tax and benefit system. That is something that we dearly need in Wales. Had we a similar payment in Wales, our tragically high levels of child poverty would surely be reduced. We also have a higher proportion of disabled people in Wales. An analysis by the disability equality charity Scope estimates that the extra costs faced by disabled people average £583 a month.
These are just a few examples showing why we need a Wales-specific analysis of the cost of living payments and how they interact with wider social security policy. Such an analysis would most certainly strengthen the argument for devolution of social security to Wales, I believe—understandably so, as that is my party’s policy. I am told that new clause 2 will not be pushed to a vote tonight, but I hope that the Government accept its logic, and provide for a proper analysis of changes to social security—an analysis that specifically takes into account the impact in Wales.
It is a pleasure to respond to points made this evening. I thank all hon. Members for their contributions and discussions. I take this opportunity to fully, strongly assure all Members that policy officials in my team at DWP and I have looked roundly at the cliff edges and the challenges in getting these payments out swiftly. This will very much link to the household support fund, and the learnings from that. I can reassure the Chair of the Select Committee, the right hon. Member for East Ham (Sir Stephen Timms), that there will be strong communications and engagement with local authorities for anybody who may be missing out. I hope that reassures my hon. Friends and colleagues.
Clause 2 sets out in more detail the eligibility criteria and the means test for the cost of living payments. I have covered much of clause 1, but I will come back to that briefly, if I may. The eligibility criteria, as we have heard, are similar to those in the Social Security (Additional Payments) Act 2022. We know from making those tens of millions of payments last year that keeping the policy simple is essential to delivering the payments successfully and to those most in need.
I will just make a little progress, and I am sure the hon. Gentleman will want to jump in again shortly.
Ultimately, this is about parity between taxpayers and those people who are seeking support. As I say, we have targeted communications in place to make it clear to customers that our work coaches are there to help, whatever their circumstances. Whether it is getting advice, boosting people’s skills, or identifying opportunities for progression, anybody looking for support should speak to their work coach to access all the help that the DWP can offer.
On amendment 2, the fact of the matter is that people have already been punished once by being sanctioned. This is a cost of living payment in recognition of inflation and high energy bills. Why on earth does the Minister think it is appropriate for 6,600 households to have been sanctioned and punished twice last year, and why is she allowing legislation to go forward that allows people to be punished twice again? That is the simple question.
I thank the hon. Gentleman for making his points, and I simply do not agree with the point about punishment. Conditionality works on both sides, and I think it is important that people play their part. I will come on to further comments about that shortly.
I welcome the additional payments, but Conservative Members know that employment is the best way out of poverty, and part of getting people back into employment is the conditionality of universal credit. One key benefit of universal credit is that there is a clear incentive for claimants to get into work, preventing them from becoming trapped in welfare, which then creates a dependency. I know the Minister will explain this to the Committee, but I want to stress the importance of this in Hastings and Rye where, at the moment, one in five people—20%—are on out-of-work benefits by choice. I reiterate the importance of conditionality in gaining employment.
I thank my hon. Friend, and she makes the point extremely eloquently. This is much more about getting people into work and progressing; it is not about some punitive sanctions regime. This is about individuals being supported to best progress. On those people who engage with us during the qualifying period, as long as they attend, we will be supporting them if there is any particular reason that they cannot engage with us, if they have good cause.
Amendment 3 would extend the qualifying period for universal credit over two months rather than one. I understand the point made by my hon. Friend the Member for Amber Valley. Keeping the eligibility dates as close as possible to payment reduces administrative challenges such as out-of-date contact or bank details, and including two assessment periods extends the amount of time between eligibility and payment. [Interruption.] Sorry, but the hon. Member for East Dunbartonshire (Amy Callaghan) was speaking. In this time, individuals will have the opportunity to—
On sanctions, I appreciate the Minister giving way, and I thought she might enjoy a second just to reflect on some of the guff that she has been spouting. [Interruption.] I would say “guff” is a suitable word. I am absolutely scunnered by what she is saying, and I know my constituents will be too, given the high rate of sanctions in my constituency.
I thank the hon. Lady, and I think the point here is that this is not solely about sanctions. As we heard from my hon. Friend the Member for Peterborough (Paul Bristow), this is about getting cost of living payments to the people most in need at this challenging time. SNP Members are continually talking about sanctions, and never talking about getting people into work and progressing. It is a continual bleating, and I think it is right that the hon. Lady reassesses the word “guff” in relation to fairness between the taxpayer and those people who of course need to be engaging with work coaches. It is important that we know what is happening with our claimants. Leaving people to their own devices and not seeing what is going on is no way to support them, and I do hope that SNP Members will look at that.
I am going to talk a little more about sanction cases: 97.6% of sanctions in the quarter up to October 2022 were applied for failing to attend a mandatory appointment at a jobcentre. These cases can often be resolved quickly by engaging with claimants, so that they turn up to the next appointment. If someone with no universal credit award due to sanctions re-engages with us, they could get one of the later cost of living payments. That is why it was so important that we look at those hard edges, and as I have told the Committee, we did look at them.
Clause 3 sets out the eligibility criteria for each cost of living payment, based on the entitlement of child tax credit or working tax credit. This clause ensures that only individuals who have been paid tax credits by HMRC in respect of a day in the qualifying period will receive a cost of living payment. Clause 4 is applicable to those who are entitled to more than one social security benefit or tax credit, so that they do not get duplicate cost of living payments.
Clause 5, on the additional payment for disability, means that there is a cost of living payment of £150 for people who receive an eligible benefit, and this will enable us to make payments to up to 6 million people. I fully recognise that disabled people may be likely to face extra costs to deal with the impact of higher inflation, as we have heard in the Chamber this evening, so I am pleased that we can make this additional payment. I can also confirm that many will qualify for both the disability payment and means-tested benefits, to a maximum of £1,050 in total in what is covered by this Bill.
Let me make a little progress in trying to whip through the clauses. On the administration of the payments, clause 6 makes appropriate arrangements for the recovery of overpaid cost of living payments. This means that, where a cost of living payment is overpaid, including as a result of fraud, recovery rules that apply to its qualifying benefit will apply to the cost of living payment. Cost of living payments are paid automatically, without the need to claim, and there is no separate right of appeal against a decision on entitlement. Individuals can, of course, exercise their right of appeal against the decision on entitlement in relation to the relevant qualifying benefit.
Clause 7, on the co-operation between the Secretary of State and HMRC, allows for relevant data to be shared to ensure that cost of living payments reach the right people, and to avoid the duplication of payments. In the event that a payment is made by HMRC when it should have been made by the DWP, or the other way around, this clause allows us to treat the payment as if it was made by the correct Department, and it avoids the need for recovery of cost of living payments in these circumstances.
I am pleased to confirm to Members that clause 8—on payments to be disregarded for the purpose of tax and social security—ensures that any additional payments made are exempt from tax, will not affect a person’s entitlement to social security benefits or tax credits, and are not subject to the benefit cap. This means that every person who is entitled to a cost of living payment will receive every penny in their pockets.
Clause 9 amends the Social Security (Additional Payments) Act 2022 to ensure that provisions relating to overpayments and recovery of the qualifying disability benefit also apply to disability cost of living payments. This clause also amends regulations made by HMRC to simplify and clarify their position on the recovery of overpaid cost of living payments in the next financial year. These are essentially tidying-up provisions that modify existing legislation to clarify our policy intention.
Clause 10 sets out the definition and interpretation of certain terms used in the Bill. Clause 11 explains the procedure for the laying of regulations. Clause 12 defines the territorial extent of the Bill and specifies that its provisions extend to England, Wales, Scotland and now to Northern Ireland. These are standard clauses.
I will briefly respond to new clauses 1, 2, 3, 7, 8 and 14 laid respectively by the hon. Members for Glasgow East (David Linden), for Oldham East and Saddleworth (Debbie Abrahams) and for North East Fife (Wendy Chamberlain) and my hon. Friend the Member for Bromley and Chislehurst (Sir Robert Neill).
New clause 1 appears to require the Government to publish analysis of the impact on household incomes of an earlier backstop date for the second and third qualifying day. New clauses 2, 3, 7, 8 and 14 require the Government to publish analysis on the impacts of the Bill on various groups, and I would point to a number of existing analytical publications. The Treasury has already published a distributional analysis of the autumn statement decisions; this shows the impact of the cost of living payments on households across the income distribution. Alongside this Bill, we have published an impact analysis which uses administrative data to look at the characteristics of those receiving the cost of living payments. This includes consideration of different characteristics such as age, gender and geographical location, including England, Scotland, Wales and Northern Ireland. My Department’s annual “Household below average income” publication looks at numbers in both relative and absolute low income and covers a wide range of characteristics, as I have mentioned.
I am pleased to say that my Department is planning an evaluation of the cost of living payments. In addition, we will consider what further information we can release in future. I hope, given the amount of data we are making available, hon. Members will withdraw these amendments.
Finally, I would like to mention the minimum income floor, which I think my hon. Friend wants to raise. He has spoken this evening to the Minister for Employment about fluctuating earnings; I entirely understand the challenges that he has set forward in Committee and I know that he will be meeting the Minister. I worked in media where there are fluctuating earnings and fully understand the points he and others have made; we do not think, however, that it is right for the state to provide indefinite support through the welfare system for those who persistently declare low earnings from self-employment.
I am glad that the Minister recognises that that was not the point made in relation to creative industries. I am grateful for the constructive approach by her colleague the Minister for Employment towards a meeting. I hope that we can have a meeting with the relevant all-party groups so that Ministers can directly hear the views of those who work in the sector and, as suggested by the right hon. Member for Hayes and Harlington (John McDonnell), find a constructive way forward which we can all sign up to.
I thank my hon. Friend and agree that it is right that we raise the situation of that sector. He has made his point and we have heard from other Members across the House about the same scenarios.
New clause 13 tabled by the hon. Member for North East Fife requires us to make all payments under this Act by 1 April. As I previously stated, we have deliberately staggered payments over the course of the next year to ensure that as many people as possible will qualify for a payment at some point. I therefore ask the hon. Member to withdraw the motion.
I think I have made all my points.
I am grateful to the Minister for giving me a short time to reply. I accept that amendments 4, 5 and 6 are fairly blunt instruments, but during the debate I heard from both sides of the Committee, including the Government side, that we want to get money to people as soon as possible. The purpose of our amendments is to ensure we can do that. Giving people in need cash gives them dignity as well; it gives them choice, as I have heard in my role as co-chair of the all-party group on ending the need for food banks. The hon. Member for Glasgow East (David Linden) raised inflation, too, and giving people money now would help them ameliorate that. Amendment 4 merely asks the Government to make a payment at the start, rather than the end, of April, so I will not withdraw it.
Question put, That the amendment be made.
I beg to move, That the Bill be now read the Third time.
The Bill legislates for two key elements of the substantial package of further support that the Chancellor announced in November. It builds on our £37 billion package to help with the cost of living last year, demonstrating our continued commitment to the most vulnerable during these challenging times. This hugely important legislation lays the foundations for cost of living payments to millions of households. It underpins the Government’s commitment to supporting people across the country who we know face increased financial pressures over the next year. We have legislated to uprate benefits and pensions by 10.1%, have extended the household support fund and are supporting people with energy costs.
I am delighted by the spirit in which the Bill has been received, for which I thank Members across the House. Frankly, I do not agree with the hon. Member for Glasgow East (David Linden) about sanctions and conditionality, but I appreciate his arguments; I can promise him that we always look at individual circumstances and are fully focused on positive engagement with our claimants and on always being fair to the taxpayer. Despite the spirit in which the hon. Member for North East Fife (Wendy Chamberlain) pressed her amendments in Committee, it simply was not possible to deliver what she asked, so I think we are absolutely right to have moved forward in a different way this evening.
I thank the hon. Member for Westminster North (Ms Buck) for raising issues around larger families. She feels that perhaps there could be a better solution. I can say honestly that we looked very strongly at whether there were any better solutions, but unfortunately we could not find them. I take her point, however, and fully appreciate the points about the flat rate with respect to larger families.
Let me reiterate that these payments are being made through the DWP’s ad hoc payments system, which does have some limitations. For instance, it can only make one type of payment of a single value at a time. However, for the families whom the hon. Lady describes who need additional help, we are extending the household support fund in England throughout 2023-24, while the devolved Administrations will receive Barnett consequentials to spend at their discretion, with the benefit of their local knowledge. I know that Opposition Members feel strongly about that. I ask all Members to look at the benefits calculator on gov.uk and at the Help for Households website, which can help all their constituents.
My right hon. Friend the Prime Minister has set out the Government’s priority, which is to see inflation halved this year. It is, of course, good news that we have already seen small decreases, with greater decreases forecast for later this year. However, we have recognised the need to act to support people now, which is why, through this Bill alone, we are providing additional support of up to £1,050 for low-income and vulnerable households across the UK. Last year we delivered, successfully and at an unparalleled pace, tens of millions of payments to people throughout the country. We were able to achieve that because we deliberately kept the eligibility criteria for the payments as simple as possible, avoiding the complexity that could lead to delays and unacceptable levels of fraud or, indeed, error. These are the key principles that have guided our approach to the Bill.
I thank all Members for their contributions to, and engagement with, today’s debate and the Second Reading debate last month. I am grateful to Opposition Members who do not agree with the finer detail of the Bill for supporting the overall package that the Government have presented to Parliament. We have looked at all the feedback about how people can best be supported through difficult times. I am grateful, in particular, to the Chair of the Select Committee, the right hon. Member for East Ham (Sir Stephen Timms), for his measured interventions and his scrutiny of the Bill. I pay tribute to my policy officials—the Bill team—for making all these key payments possible, and for all the other work that they have done.
Let me end by underlining the point made earlier by my hon. Friend the Member for Peterborough (Paul Bristow), who is not currently in the Chamber. The Bill will enable the Government to start making additional payments soon to millions of families throughout the country to help them to become better off, and I commend it to the House.
(1 year, 5 months ago)
Commons ChamberWe are committed to helping parents to increase their income through work. We have cut the earnings taper on universal credit and increased work allowances, meaning that families are, on average, better off by £1,000 a year. Additionally, eligible parents can claim up to 85% of their childcare costs through UC, and further assistance is available through the flexible support fund, Jobcentre Plus and work coaches.
On Friday, I visited my local citizens advice bureau at its new offices on George Street in Lancaster, where I heard at first hand of the challenges that single parents are having with the amount of the childcare element of universal credit being capped at the level set in 2005 and with its being paid in arrears. What steps has the Minister taken to ensure that benefits go up in line with the cost of childcare and to look at paying this element up front?
I thank the hon. Lady for that question. The UC childcare element can be used to top up a claimant’s eligible free childcare hours if more hours are worked and more childcare is required. We also use the flexible support fund to support those up-front costs, as we heard earlier. However, I would like to take this opportunity to talk about employers; this is not solely about what the Government can do on our own to help lone parents. Job design, the opportunity to progress and flexible work are really important too, as is the opportunity to return and progress. We cannot do this on our own.
It is alarming that last year the employment rate for single parents had the biggest annual fall on record, and it is all the more worrying because the single parent employment rate has been on an upward long-term trend since the mid-1990s. Surely the Minister would agree that the eligible cost limit on childcare in universal credit needs to be uprated to reflect the ground reality of today’s soaring childcare costs.
I thank the hon. Gentleman for his question. Under this Government since 2010, we have seen a significant increase in lone parents in work, with the rate going up from 56.1% in 2010 to 65.5% in 2022. However, the reality—and I think he describes it—is that there are too many challenges for lone parents, and it is absolutely right that we look at this. As we have heard from the Secretary of State, we are hoping to hear more: the Chancellor is ever present in our minds. As a lone parent, I again make the plea to employers to help people come back to work, because we know it is more than just a pay packet; it is really important to see the whole of society represented in the labour market.
Figures published today by the Centre for Progressive Policy show that the lack of affordable childcare prevented a quarter of parents of children under 10 from working more hours, with all the implications that has for family finances, but also for economic productivity. In fact, parental underemployment is estimated to cost this country over £20 billion. With expectations having been raised again this afternoon that next week’s Budget will do something about the cost of childcare, can the Minister tell us how long it will be before she expects the level of lone parent employment to rise again to where it was three years ago?
I thank the hon. Lady for her question. I think we have some amazing childcare out there and some brilliant opportunities for lone parents, as I have described. It is important to let people know that, on universal credit, they can claim back 85%. It is better than legacy benefits, and they should please look at the benefits calculator on gov.uk and use the flexible support fund. We should also recognise that it is not right for everybody to go straight back to work—this needs to be individualised—and that we should support the lone parent and make sure they can get the skills and the opportunity to always be better off in work.
The Government recognise the pressures people are facing and have acted, providing cost of living support worth over £37 billion in 2022-23. In April, we are going further by uprating benefits, state pensions and the benefit cap by 10.1%. We are also providing £1 billion for the extension of the household support fund in England, with Barnett consequentials for the devolved Administrations. That includes £12.4 million for Rotherham Metropolitan Borough Council residents from October 2021 to March next year.
Will my hon. Friend confirm that her Department has changed the way it makes cost of living payments, so that those in the most need continue to benefit, while ensuring that we do not overburden the hard-working majority of my constituents in Rother Valley with ever higher taxes?
I thank my hon. Friend for making that point. We are legislating this afternoon for the three further cost of living payments for the next financial year, ensuring that more people are eligible for support and that we are reaching the most vulnerable. The payments will be worth up to £900, with a further £300 for pensioners and £150 for those with a disability. In Rother Valley, we estimate that 10,600 households will be eligible for means-tested cost of living payments, and that 11,800 households will be eligible for disability cost of living support.
It has been nearly 12 months since the Equality and Human Rights Commission issued a section 23 notice against the Department for Work and Pensions, following concerns about the deaths of and discrimination against disabled claimants. Has an agreement yet been reached, and, if not, when will it be?
I thank the hon. Lady for her point. I am assured by the Minister for Disabled People, Health and Work that constructive conversations are ongoing and that this matter is being taken seriously. I am sure that he will have the hon. Lady’s question.
The Government are projected to spend £30 billion—about 1.3% of GDP—on support for renters. Approximately £100 million has been allocated for the discretionary housing payment in 2023-24 to help local authorities, if necessary, which can top up from their own funding to help the hon. Lady’s constituents.
We are focused, across Government, on helping young people to become involved in science, technology, engineering and maths projects and careers. A new science and technology framework was announced today, and will be vital for long-term economic success. DWP Train and Progress helps claimants take advantage of the bootcamps run by the Department for Education, and our partnership with Google is helping to boost digital skills. These activities are flexible in that people of any age and at any stage in their careers can engage in them.
Further to the question from the hon. Member for Strangford (Jim Shannon), I have a constituent who is facing the consequences of an overpayment in employment and support allowance. She has been able to show that she gave the Department the correct information time and again, but according to the Department, that is not relevant to whether she should pay the full sum. If the Department is not subject to any comeback after making mistakes, how will it ever improve?
I know that my hon. Friend takes great interest in supporting women in work, and working with employers is crucial to ensuring that they can both retain and recruit women and that there is no stigma in the workplace for those experiencing the impact of the menopause. I am delighted to announce the appointment of Helen Tomlinson as the DWP menopause employment champion. She will have a key role in driving awareness and promoting the benefits of a fully inclusive workplace to both business and the economy, and I will be sharing further details of her appointment later today.
Research conducted by the Bevan Foundation has established that local housing allowance is not a solution to the cost of living and housing crises for families on low incomes and for the most vulnerable because it is too low, and has been frozen since 2020 while private rental costs have soared. Will the UK Government help those in need and uprate the allowance?
We recognise that rents are increasing, and that a challenging fiscal environment means we need to support people effectively. We have therefore announced a support package for the most vulnerable households, which includes help through the household support fund. Those who are entitled to housing benefit or the housing element of universal credit and who have a shortfall can reach out for discretionary housing payments from local authorities.
There are some notable and fantastic businesses in my constituency, including Argus Fire and Pegasus, which do a brilliant job in recruiting young adults and providing career opportunities. What more can the Department do to bridge the gap between employers and young adults and create that one-stop opportunity for 16-year-olds to find employment?
As you know, Mr Speaker, I am very supportive of getting young people into work. The Dudley youth hub is a classic example of the Department’s working in partnership locally, providing a single location for employers to engage with the under-25s from Stourbridge and the wider area. Claimants can attend recruitment events and take advantage of a range of on-site services, and I know that they greatly welcome the opportunity to work with Argus Fire and Pegasus.
Public and Commercial Services Union members in Scotland get a raw deal from this Government on pay, with many civil servants themselves using food banks. When will the Government give them a proper pay rise?
(1 year, 5 months ago)
Commons ChamberI am grateful to the hon. Member for East Lothian (Kenny MacAskill) for bringing this important debate to the House, and I appreciate and understand the passion and conviction he brings to this debate. The UK Government take very seriously health and safety on offshore wind farms in Great Britain’s territorial sea and the UK continental shelf, and I am keen to reassure the hon. Gentleman that my officials at the HSE confirm that we have a strong and appropriate existing regulatory regime, which applies the protection afforded by the Health and Safety at Work etc. Act 1974 to people working on offshore wind farms.
On the hon. Gentleman’s concerns, let me spell out that the Health and Safety at Work etc. Act 1974 (Application outside Great Britain) Order 2013 applies the provisions of the 1974 Act. This covers certain activities offshore, including work associated with offshore wind farms, as well as other offshore installations such as those for oil and gas. Therefore, the 1974 Act applies to offshore wind farms in the territorial sea and the UK continental shelf as well as to renewable energy zones, which are also defined in the 2013 order. The 2013 order also applies the provisions of the 1974 Act to offshore oil and gas installations in designated areas in the UK continental shelf—I really hope that pacifies the hon. Gentleman. I will say more about that and come on to some of his other points later.
Furthermore, the 1974 Act places a legal duty on employers to ensure, so far as reasonably practicable, the health, safety and welfare of workers and others to ensure that they are kept safe, whether they are working on oil or gas or, as I said, wind farm installations. In addition, other legislation that applies to work on offshore wind farms includes the Construction (Design and Management) Regulations 2015. This helps employers to ensure that their work is planned and that risks are assessed and managed. Those regulations also ensure that employers consult and engage with workers and make sure that information is communicated to all those who need to know it.
The Health and Safety Executive enforces the 1974 Act and subsidiary health and safety legislation on offshore wind farms. The HSE does not have the legal basis to enforce activities that are not specifically covered by the 2013 order. In those situations, however, other regulators and organisations will enforce health and safety legislation or investigate accidents. For example, in a situation where a ship is in transit and the HSE’s regulations do not apply, such a ship will still need to comply with national and international maritime standards.
The Maritime and Coastguard Agency is responsible for enforcing all merchant shipping regulations in respect of occupational health and safety, the safety of vessels, safe navigation and operation. This includes manning levels and crew competency. Merchant shipping health and safety regulations extend to all those working on the ship and any work activities undertaken on board. These powers of the MCA extend to UK ships anywhere in the world and to non-UK ships that are within UK territorial waters.
The marine accident investigation branch investigates marine accidents involving UK vessels worldwide and all vessels in UK territorial waters. Its role is to help prevent further avoidable accidents from occurring, not to establish blame or liability.
For foreign flagged ships in the UK continental shelf, the responsibility for investigating accidents lies with the flag state. A memorandum of understanding between the HSE, the MCA and the MAIB ensures effective collaborative working. Each organisation has differing responsibilities for health and safety enforcement and accident investigation. An operational working agreement provides clarity and consistency where the jurisdiction of the HSE, the MCA and MAIB overlap. It outlines the key and supporting principles to be adopted when selecting the lead organisation for health and safety enforcement and accident investigation.
The HSE’s energy division has a team of inspectors dedicated to the regulation of work activities at offshore wind farms. They are supported by various onshore and offshore specialists who provide technical advice on a range of relevant subjects during inspection, investigation and enforcement of high-risk activities. This addresses poor health and safety performance and provides reassurance that there is good health and safety management of such activities.
I spoke earlier with Offshore Energies UK and the National Union of Rail, Maritime and Transport Workers, and this is not a criticism of any existing or past Government. There is a legislative gap because technology has moved so fast and nobody anticipated it. We now, however, have a situation, which I think is accepted by employers and employee representatives, where those working in the sector are not getting the proper coverage that should apply. Does the Minister not accept that there is something wrong here in primacy resting with Liberia, and that we need to extend the 2013 order to the new operations as they exist now, and indeed as they may be in a few years?
I thank the hon. Gentleman. I will make some further points, and I hope we can then come to a mutual arrangement and I can reassure him on the issues he raises. The points he makes can come into the conversation.
I have spelled out that the HSE energy division has inspectors dedicated to the regulation of work activities at offshore wind farms, but I accept the hon. Gentleman’s point that a lot is going on in this sector and there needs to be reassurance. I have spelled out some of the regulatory activity. The HSE works with industry bodies and UK regulators to ensure that sensible solutions are found to emerging risks.
On shipping standards, where the HSE regulations do not apply to work activities on ships because they fall outside the scope of the 1974 Act and the 2013 order, international shipping regulations provide a broadly equivalent level of safety to international shipping. International conventions on shipping, such as the international convention for the safety of life at sea, the international convention for the prevention of pollution from ships and the maritime labour convention 2006 set a level playing field, as all ships are surveyed by their flag and can be inspected by port states against the internationally agreed standards. Under this regime Valaris was inspected by the MCA when it reached port in the UK, but I do appreciate the hon. Gentleman’s points on that.
On Valaris 121, the Health and Safety Executive has served an improvement notice on Ensco Offshore U.K. Ltd relating to incorrectly installed gratings on Valaris 121 when it was in port in Dundee.
On the flag state investigations of accidents occurring on the UK continental shelf, the flag state of the ship involved is responsible for ensuring that an investigation is conducted and completed in accordance with the casualty investigation code. The code mandates that certain incidents set out in chapter 1, part A, of the 1974 international convention for the safety of life at sea—or SOLAS—are investigated.
The hon. Member for East Lothian mentioned flags of convenience. Open registries can pose a challenge to maritime security and the enforcement of laws on the high seas. That is because some flag states do not, or cannot, exercise effective oversight of the ships on their registers, as I think the hon. Member pointed out.
While there is some evidence of poor practice taking place under open registries, there is no direct correlation between poor-performing ships and open registries. However, Liberia, the Bahamas and the Marshall Islands are all open registries and were at the top of the 15 countries for low detention rates under the 2021 Paris memorandum of understanding on port state control.
It is an important issue that some flag states do not have independent investigation bodies that may investigate accidents in UKCS. The marine administrations for the Isle of Man, Bermuda, the Cayman Islands and Gibraltar do not have independent investigation bodies, and therefore have difficulty in ensuring that safety investigations are impartial and objective. A memorandum of understanding has therefore been reached, which the UK’s Marine Accident Investigation Branch has agreed to, to investigate incidents involving ships registered with those marine administrations. The procedure for those investigations set out in the legislation in force in the relevant marine administration’s territory will apply.
I will cover two other points, then hopefully start to conclude. The hon. Gentleman will be keen to know that the responsibility for regulating the health and safety of workers travelling to and from offshore workplaces—wind farms or oil and gas installations—rests with the MCA within the territorial sea and for UK-flagged vessels.
The responsibility for health and safety enforcement activities and accident investigation is described in the MOU between HSE, the MCA and the MAIB. That is supported by an operational working agreement that provides clarity and consistency where the jurisdiction of the respective agencies overlap.
In terms of those transiting to and from offshore workplaces, the responsibility for regulating those transits rests with the MCA within the territorial sea and for UK-flagged vessels. Again, the responsibility for health and safety enforcement activities and accident investigation is in the MOU between HSE, the MCA and the MAIB. Again, that is supported by an operational working agreement that provides clarity and consistency where the jurisdiction of the respective agencies overlap. I understand the point that the hon. Gentleman was making. Does he want to come in on that?
I hope the Minister would accept that the technology is changing and that most of the new turbines will be outwith UK territorial waters in many instances, which changes the nature of the jurisdiction. The organisations she referred to, the MAIB and so on, have skills, but they are not skills relating to health and safety at work. The fundamental difficulty is that the nature of the operation is not attached to the physical turbine. The nature of the activity is either accessing it or working in close proximity to it. This man went off a ship that had been doing that and yet we are faced with Liberia. It is on that basis, because of the new world we face, that I seek for the Government to extend the 2013 order. We are anticipating a new world and we do not know what the North sea will look like, but it will be a very busy workforce and a very busy workplace that is very different from what we have at the moment.
The hon. Gentleman makes a really important point about learning from what happened and ensuring it is fit for purpose, and, above all, ensuring that he and the workers involved feel reassured. I want to reassure him that the HSE works closely with G+ Offshore Wind Health and Safety Organisation and its members to promote an understanding of the offshore wind farm regime and the regulations I have spelled out tonight.
On EU retained law, which the hon. Gentleman covered, the HSE remains focused on ensuring that regulatory frameworks maintain the UK’s high standards on health and safety protection, while continuing to reduce burdens on business. The HSE’s approach closely aligns with the Government’s pledge to do more for businesses to promote growth by removing disproportionate burdens and simplifying the regulatory regime. Our standards of health and safety protections are among the highest in the world. The HSE will continue to review retained EU law to seek opportunities to reduce those burdens and promote growth, but not reduce health and safety standards.
In conclusion, I have, I hope, set out the regulatory framework in place to ensure the health and safety of people working at offshore wind farms, and have detailed that the HSE is one of a number of regulators and organisations that work together to ensure that employers maintain health and safety standards in this sector and protect their workers. I reassure the hon. Gentleman that the UK Government continue to take health and safety on wind farms very seriously, and recognise the contribution made by this sector to energy security and the net zero programme. I hope that that goes some way to reassuring the hon. Gentleman that the current regulatory regime and framework in place is sufficiently robust to protect the health and safety of workers, but I appreciate —he has made some excellent points this evening—that it is a complex, growing and challenging picture. I offer to facilitate a meeting between him and HSE officials, along with other relevant Departments and officials, so that we can further reassure him, the sector, employers and those who work in it that his concerns are fully understood and addressed.
Question put and agreed to.
(1 year, 5 months ago)
Commons ChamberBefore we get on to proceedings, I remind Members of the differences between Report and Third Reading. The scope of debate on Report is limited to the amendments I have selected. The scope of the Third Reading debate that follows will be the whole Bill, as it stands after Report. Members may wish to consider those points and then decide at which stage or stages they want to catch my eye.
New Clause 1
Collection of maintenance in Northern Ireland: cases involving domestic abuse
‘(1) The Child Support (Northern Ireland) Order 1991 (S.I. 1991/2628 (N.I. 23)) is amended as follows:
(2) In Article 7 (child support maintenance)—
(a) after paragraph (3) insert—
“(3A) Where a maintenance calculation has been made in response to an application under this Article, the Department may, if the person with care or the non-resident parent applies to the Department under this paragraph, arrange for the collection of the child support maintenance payable in accordance with the calculation if satisfied on the basis of evidence of a prescribed kind relating to relevant abusive behaviour that it is appropriate for such arrangements to be made.
(3B) For the purposes of paragraph (3A), ‘relevant abusive behaviour’ means—
(a) where the application under paragraph (3A) is made by the person with care, behaviour of the non-resident parent that is abusive of the person with care or of any child living in the same household with the person with care;
(b) where the application under paragraph (3A) is made by the non-resident parent, behaviour of the person with care that is abusive of the non-resident parent or of any child living in the same household with the non-resident parent.
(3C) What amounts to abusive behaviour for the purposes of paragraph (3B) is to be construed in the same way as is provided for in Chapter 1 of Part 1 of the Domestic Abuse and Civil Proceedings Act (Northern Ireland) 2021 (c.2 (N.I.)) (see sections 2, 3(2) and 4 of that Act).”;
(b) in paragraph (4) (purposes for which regulations may require information to be provided)—
(i) omit the “and” after sub-paragraph (b);
(ii) after sub-paragraph (c) insert “; and (d) the making by the Department of a determination for the purposes of paragraph (3A).”
(3) In Article 29(1) (collection of child support maintenance)—
(a) after “7(2A)” (as inserted by Article 127(3) of the Welfare Reform (Northern Ireland) Order 2015 (S.I. 2015/2006 (N.I. 1))) insert “and (3A)”;
(b) after “7(2)” insert “or (3A)”.
(4) In Article 48(2)(a) (regulations to be laid before Assembly after being made), before “9(1)” insert “7(3A),”.’—(Mims Davies.)
This new clause makes amendments to the Child Support (Northern Ireland) Order 1991 that correspond to those clause 1 of the Bill makes to the Child Support Act 1991 in respect of England and Wales and Scotland.
Brought up and read the First time.
I beg to move, That the clause be read a Second time.
With this it will be convenient to discuss the following:
Amendment 1, in clause 4, page 3, line 15, leave out “and Scotland” and insert “, Scotland and Northern Ireland”.
This amendment is consequential on NC1.
Amendment 2, page 3, line 16, after “(4)” insert “, (4A)”.
This amendment is consequential on Amendment 3.
Amendment 3, page 3, line 20, at end insert—
“(4A) Section (Collection of maintenance in Northern Ireland: cases involving domestic abuse) comes into force at the same time as Article 127(2)(b) of the Welfare Reform (Northern Ireland) Order 2015 (S.I. 2015/2006 (N.I. 1)).”
This amendment provides for NC1 to come into force at the same time as amendments made by the Welfare Reform (Northern Ireland) Order 2015 to the Child Support (Northern Ireland) Order 1991.
Amendment 4, page 3, line 24, at end insert—
“(6A) The Department for Communities in Northern Ireland may by regulations make transitional or saving provision in connection with the coming into force of section (Collection of maintenance in Northern Ireland: cases involving domestic abuse).
(6B) The power to make regulations under subsection (6A) is exercisable by statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 (S.I.1979/1573 (N.I. 12)).”
This amendment enables the Department for Communities in Northern Ireland to make transitional or saving provision in respect of Northern Ireland corresponding to that which may be made by the Secretary of State in respect of England, Wales and Scotland.
New clause 1 makes amendments to the Child Support (Northern Ireland) Order 1991 that correspond to the amendments this Bill makes to the Child Support Act 1991 in respect of England, Wales and Scotland. The amendments make provision for Northern Ireland to allow victims of domestic abuse who use the Child Maintenance Service, to request the collect and pay service on the grounds of domestic abuse and where there is evidence of domestic abuse against the requesting parent or children in their household by the other parent.
Child maintenance is devolved in Northern Ireland; however, the Northern Ireland Assembly has typically made legislation that mirrors Great Britain. Due to the current suspension of the Assembly, it is not possible for Northern Ireland to make the necessary mirroring legislation at this time, although we all hope that situation will change as soon as possible.
As hon. Members will know from the Bill’s Second Reading and Committee stage, these proposals did not initially extend to Northern Ireland, as Northern Ireland colleagues were unable to obtain a legislative consent motion, which would be the normal process. However, as described, in the continued absence of a functioning Assembly, officials in the Department for Communities in Northern Ireland have confirmed that they wish Northern Ireland to be included within the scope of the changes proposed in the Bill, and I can confirm to the House that approval in principle has been obtained from the relevant officials of the Department for Communities.
In considering this new clause, I remind hon. Members what the Bill is intended to achieve: better support for victims of domestic abuse. The Bill will amend primary legislation to allow a parent, or a child in Scotland, to request the collect and pay service on the grounds of domestic abuse where there is evidence of abuse against them or children in their household. It is an important measure for domestic abuse victims who use the CMS, as they will be able to decide which service type is best for them and their circumstances.
I turn now to the amendments. Amendments 1 and 2 are consequential amendments. Amendment 3 provides for the new clause to come into force at the same time as amendments made by the Welfare Reform (Northern Ireland) Order 2015 to the Child Support (Northern Ireland) Order 1991. Amendment 4 will enable the Department for Communities in Northern Ireland to make transitional or saving provision corresponding to that which can be made by the Secretary of State in respect of England, Wales and Scotland.
This Government take the issue of domestic abuse extremely seriously, and the Child Maintenance Service is fully committed to ensuring that all parents get the right support and are safe when using the service. I am delighted that these important measures will be implemented in Northern Ireland. I am sure Members agree that this important protection should be available to people across the United Kingdom, so this amendment and the other consequential amendments will ensure that victims of domestic abuse in Northern Ireland can benefit from the provisions in the Bill.
Members have previously raised the issue of domestic abuse training. I want to reiterate that the CMS has substantially strengthened its procedures and processes through the introduction of mandatory training and new and updated tools for customers who are experiencing domestic abuse. The CMS will rightly be reviewing this training following the independent review. I remind the House that the application fee is waived for those who have suffered domestic abuse. The CMS will act as an intermediary in direct pay cases to facilitate the exchange of bank details, to ensure that no personal information is shared. The CMS provides information on how to set up bank accounts with a centralised sort code, which allows survivors of abuse to be safe and not to be traced.
During the passage of the Bill, it has been important for Members to understand how the wider Department for Work and Pensions can help people experiencing domestic abuse. I will take this opportunity to mention Ask for ANI, a code word scheme that allows domestic abuse victims to signal discreetly that they need support. This initiative, which was developed by the Home Office and supported by delivery partner Hestia, has been made available to over 500 pharmacies since January 2021. Anybody who is suffering from or fearful of domestic abuse can use Ask for ANI when they are engaging with the Child Maintenance Service, and they will be guided to a safe space to share their practical concerns and be offered support, perhaps by calling the police or reaching out to specialist domestic abuse services.
The DWP is committed, as part of the Home Office’s tackling domestic abuse plan, to piloting the Ask for ANI initiative in jobcentres, and those pilots are already under way in England, Wales, Scotland and Northern Ireland. I want to reiterate to anybody who is concerned about this matter, no matter where they are in the United Kingdom, that the Child Maintenance Service is there and able to support those who come forward.
The review set out some clear recommendations on how the CMS should respond to domestic abuse, and the Government published their response on 17 January 2023. The review finds that the CMS has worked very hard to develop and improve its domestic abuse practices. As Members will know, people who engage with the CMS often have the most complex cases and needs, so it is right that we have taken the chance to learn lessons and ensure that there are practical steps to help separated parents who are experiencing abuse to set up safe maintenance arrangements. As I said in relation to the amendments, this will be available across the United Kingdom. The Government have accepted eight out of 10 of these recommendations.
There is so much to say and so much to respond to. I join hon. Members across the House in congratulating my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart) on navigating this important Bill to its Third Reading. I thank her for promoting the Bill and for her excellent contributions throughout its stages. Promoting a Bill is not easy. I absolutely commend her for her commitment and delivery.
I thank all hon. Members who have highlighted the importance of the Bill in better supporting those who have suffered domestic abuse. I also thank the Opposition for their support. My hon. Friend the Member for Sedgefield (Paul Howell) rightly raised the point that people avoid payment as a way of continuing to exert control, which is absolutely wrong. My hon. Friend the Member for South Cambridgeshire (Anthony Browne) spoke about people continuing to using finances to control their former partners, which is completely unacceptable and shows why the Bill is so important. My hon. Friend the Member for Great Grimsby (Lia Nici), who understands single-parentdom as I do, spoke about the importance of tackling abuse and about systems and procedures can continue to facilitate abuse. That has to be stopped, which is what the Bill will do.
I welcome the Bill and congratulate my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart). Does the Minister agree that the Bill builds on what the Government did in the Domestic Abuse Act 2021, on the Bill Committee of which I was very proud to serve? This Bill sends a very clear message to survivors of domestic abuse that we will protect them all the way through, even after abuse has stopped, and that child maintenance support will not be used as another tool in the box by perpetrators of domestic abuse.
I thank my hon. Friend for raising that point, particularly as we approach International Women’s Day. My hon. Friend the Member for Great Grimsby spoke about the same issue. The Domestic Abuse Act brings children into scope, which is incredibly important. We know that abuse affects not just partners but whole families. I spent a very brief time as Minister responsible for safeguarding, but I would like to use this opportunity at the Dispatch Box to say that this is about criminality in the home. It is not acceptable, and it is not the way people should be behaving. We will make sure that these processes work for all types of families, who are very often in the most complex scenarios. Ultimately, using finance or any other form of weaponisation is absolutely wrong and abhorrent. I thank my hon. Friend the Member for Cities of London and Westminster (Nickie Aiken) for making that important point.
The hon. Member for Lewisham, Deptford (Vicky Foxcroft) mentioned the hon. Member for Birmingham, Yardley (Jess Phillips), whom I have met and engaged with strongly. I have taken on board all her points about control and about training, and I will cover some of them in my remarks, if I may.
I fully agree with my hon. Friend the Member for Barrow and Furness (Simon Fell) and join him in paying tribute to the third sector organisations that do so much in this space: they advise us on policy and insight and have been extremely helpful with the Bill. I thank my hon. Friend the Minister for Disabled People, Health and Work for his excellent contribution on Second Reading. I also thank my noble Friend Viscount Younger of Leckie, who has recently taken over day-to-day ministerial responsibility for the Child Maintenance Service. I work extremely strongly with him, and I know that he is fully committed to supporting the Bill’s important measures in the other place. I am grateful to all hon. Members who spoke in Committee and have helped to shape the Bill. I very much appreciate their important insights.
I want to put on the record my congratulations to my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart) on the incredible work she has done to get this important piece of legislation to this stage.
I join the Minister and my hon. Friend the Member for Barrow and Furness (Simon Fell) in speaking about the third sector. There is a fantastic Stoke-on-Trent North resident called Laura Carter, who runs what was originally Mums of Stoke and is now Women of Stoke. She does incredible work helping women who are fleeing domestic violence to set up new homes and gathering donations of basic things, such as food, as well as beds, furniture and uniforms for children. I was formerly a teacher for eight and a half years and worked on safeguarding as a head of year. Does the Minister agree that it is absolutely disgusting that children are used as a weapon or tool to coercively control women, which is totally unfair and unnecessary, and that, as well as people who do that having to pay their fair share, we should use the legislation we have passed in the House to throw the rulebook at them and, where necessary, put them in jail?
My hon. Friend characteristically highlights what is at the heart of what we see in many of our constituency meetings. As the daughter of a women from Stoke-on-Trent, I absolutely agree and thank him for giving a voice to his constituents and our communities, which is incredibly important.
I reiterate that the Government take domestic abuse extremely seriously. We have acted on this issue in a way that no Government have before. The CMS is fully committed to providing the right support and ensuring that it is safe for people to use the service. It seeks to tackle any stigma of what the Child Maintenance Service is about and how it can support people. I take this opportunity to remind people that domestic abuse can take many forms. Whether it is physical, emotional or financial abuse, violent or threatening behaviour or coercive control, the CMS has the procedures in place to ensure that cases are handled appropriately, whatever the circumstances. I hope the hon. Member for Lewisham, Deptford will understand that, and I will outline how we have moved some of those processes on.
For customers using the direct pay service, the CMS can act as an intermediary to facilitate the exchange of bank details to ensure that there is no unwanted contact between parents and that no personal information is shared, which is important. CMS caseworkers also provide information on how to set up bank accounts with a centralised sort code, which reduces the risk of a parent’s location being traced. I am aware that, in complex scenarios, people will be worried about sharing information. We need them to feel safe, so that children can be supported by their parents. The application fee is waived for survivors of domestic abuse, and CMS caseworkers will signpost people where necessary to suitable domestic abuse support organisations, which we have heard about today.
As my hon. Friend the Member for Hastings and Rye said, throughout this Bill’s passage hon. Members have been keen to see the publication of the independent review of the ways in which the CMS supports victims of domestic abuse. I am pleased that it was published alongside the Government’s response and recommendations on 17 January. I was involved in those responses and the engagement with the third sector and stakeholders. Dr Samantha Callan has done a remarkably positive job in sharing the review’s recommendations as part of that publication.
As hon. Members will have seen, the independent review found that the CMS has worked hard to develop and improve its domestic abuse practices. Since that review was undertaken by Dr Callan, the CMS has implemented new domestic abuse training measures, including mandatory training for CMS staff on how to respond to domestic abuse cases, ensuring that its caseworkers are well equipped to support parents in those vulnerable situations. The training enables caseworkers to understand how domestic abuse can take various forms—physical, financial, emotional and psychological —so that the CMS can signpost customers to appropriate support such as domestic abuse advocacy groups and, if necessary, advise on contacting the police. Where parents do not feel able to do this, caseworkers will ask whether they are content for them to call the police on their behalf.
The CMS has also implemented a new call script that directly asks about abuse and signposts customers to very specific advice and, importantly, expertise. CMS caseworkers also have a complex needs toolkit, which includes clear steps to follow in order to support customers who are experiencing abuse. This toolkit is regularly reviewed and strengthened using customer insight. Again, the Minister in the other place and I are taking a clear interest in how the toolkit works.
However, as the review points out, there are further steps that the CMS can take. The Government have rightly accepted eight of the review’s 10 recommendations, and we are strongly committed to taking them forward and reviewing the training to ensure that it remains up to date and, most importantly, aligned with best practice.
I spoke earlier about the Ask for ANI pilot roll-out and extension, alongside our J9 interventions through Jobcentre Plus. I reiterate that, in the light of today’s amendments, the Department of Health in Northern Ireland has made pharmacies aware of the Ask for ANI scheme, too. Four jobs and benefits offices in the Department for Communities are also offering Ask for ANI support. Wherever people need help, there is a way for them to get support, which is important.
Dr Callan’s report also includes recommendations to enable cases to be moved to collect and pay where there is evidence of domestic abuse, which is precisely what this Bill aims to do. The Bill also amends primary legislation to allow for a parent or child in Scotland to request collect and pay on the grounds of domestic abuse where there is evidence of abuse against them or, indeed, against children in the household.
To get these proposals right, to target the right parents appropriately and to make sure we have the right evidence of domestic abuse, we will table secondary legislation.
Like my hon. Friend the Member for the two Cities, if I might put it that way—the Member for Cities of London and Westminster (Nickie Aiken)—I was heavily involved with the Domestic Abuse Act 2021. Does the Minister think it would be a good idea for children’s social workers, in particular, to wear body cameras to record what happens when they go into a home, to spot the signs of domestic abuse, rather than relying on hearsay evidence reported to their seniors when making key decisions about what happens to the child and, indeed, the abusive parent?
I thank my hon. Friend for his remarkably insightful idea. Children’s social work is an incredibly brave and diverse job, as we are asking people to go into homes and make judgments. Of course, the police are now wearing body cameras, and Ministers should take note of his view. It is very difficult to look at both sides of the coin, and photographic evidence could be extremely helpful. I am sure that putting it on the record has strengthened his resolve, for which I thank him.
We will engage stakeholder groups including, my hon. Friend will note, the Home Office, the Ministry of Justice and the devolved Administrations, where appropriate, on secondary legislation to ensure that parents are fully supported. The secondary legislation will follow the affirmative procedure, so hon. Members will be able to vote on the proposals. We aim to produce robust evidence requirements that are fully sensitive to the needs of domestic abuse survivors, and we will ensure that all relevant data and insights are thoroughly considered.
I will make some progress, because there are other important Bills to debate this morning. I turn to the collection charges for the use of the collect and pay service, including the 20% on top of the maintenance liability for the paying parent and the 4% of the maintenance received by the receiving parent. Some hon. Members have expressed strong views on the issue. I understand their concerns, but they should note that the charges were introduced with the 2012 child maintenance scheme, which included charging, and has led to an increase in family-based arrangements that are, on the whole, much better for children—indeed, too few people have family arrangements.
We recognise, however, that many of the parents who need the support in the Bill are some of the most vulnerable. Given the circumstances, therefore, alongside the development of secondary legislation, we will look at the charging structure for the use of the collect and pay service, and how that will interact with the proposed changes for victims of domestic abuse in such cases. The secondary legislation will be brought forward as soon as parliamentary time allows. I hope that provides some reassurance to hon. Members on both sides of the House.
I thank the Minister for her commitment to look into the issue and that it will be done in future. Can I press her further to give us some idea of when that might be?
The hon. Lady should expect it to be early 2024, but I am keen to get on with it. I hope that is a timetable that we can stick to, but we will do our best to bring it about sooner.
On the Northern Ireland amendments, I reiterate that it is important for the measure to cover the whole United Kingdom. I thank all hon. Members and assure them that the Child Maintenance Service is fit for purpose and fully committed to supporting all parents to ensure that they have safe and agreeable arrangements that work for them. I pay huge credit to my hon. Friend the Member for Hastings and Rye for bringing the Bill forward and navigating its safe passage. I am pleased to reiterate the Government’s support for the Bill. We will continue to support and guide it as it moves through Parliament.
(1 year, 5 months ago)
Public Bill CommitteesI sincerely thank the hon. Member for Stroud for bringing forward the Bill. As she has explained, the territorial extent and application applies to England, Wales and Scotland, as it is a reserved issue.
I would like to briefly express my wholehearted support for the Bill. Most of us will have seen, through our casework, just how frustrating CMS cases can be, particularly when the paying parent does not uphold their financial responsibilities. I am dealing with a number of such cases at the moment.
I put on record my thanks to the hon. Member for Caithness, Sutherland and Easter Ross for setting up the child maintenance services all-party parliamentary group, of which I am a Member. We will continue to have meetings of that APPG, and hopefully push our casework forwards.
The changes that this Bill will make to enable the CMS to take stronger action in serious cases are very necessary. Many parents, survivors of domestic or economic abuse, have been telling us for far too long that the system is weaponised by their ex-partners to continue to perpetrate abuse. It is not acceptable that it is so easy for abusers to deliberately delay or frustrate payments.
Ultimately, the most important thing is that any changes benefit the children at the heart of what can often be very difficult and emotionally charged situations. I put on record again that I believe that this Bill has the potential to do that, so I congratulate the hon. Member for Stroud.
That was very swift; I thank the hon. Member for Rutherglen and Hamilton West. It is a great pleasure to serve under your chairmanship, Ms Bardell. I thank hon. Members for joining us this morning, and thank my hon. Friend the Member for Stroud, who has made a brilliant contribution and covered the importance of this Bill in great detail.
As highlighted by my hon. Friend and the hon. Member for Hampstead and Kilburn, the Bill is vital for securing money for children more quickly from those parents who fail or simply refuse to give support to their own youngsters. Child maintenance payments, as we have heard, can play an effective role in helping to lift children out of poverty, and can help to enhance the life outcomes of children in separated families.
I take this opportunity to say a few words about what the CMS is doing more widely to improve its service—as we have heard from the hon. Member for Hampstead and Kilburn—and ensure that it is supporting our youngsters and protecting the most vulnerable citizens. I would like to reiterate the work that we are doing, and hopefully give some comfort in that regard, because I know and understand that this is a matter of concern for many of us who, as constituency MPs, receive complaints and concerns from constituents who perhaps feel that they have not received the level of support or service they believe they should from the CMS.
As Members will know, until recently the day-to-day policy of the Child Maintenance Service sat with my noble Friend in the other place, Baroness Stedman-Scott. The Baroness was truly strident in her desire for the CMS to be at its best and worked to that end, and I know that that view is shared greatly by my noble Friend Viscount Younger of Leckie, who has taken over overall ministerial responsibility for policy on CMS, and I am working strongly with him.
I congratulate the hon. Member for Stroud on bringing this important Bill before us. I think the Minister will know that, since the agency was set up 11 years ago, almost £500 million has not been paid. That is 80% of the total accruals in deficit, in effect. Will she bring forward in due course facts, statistics and information to show how this Bill may be reducing that figure as time goes by? It is important that we monitor that this Bill, brought by the hon. Lady, is giving us information and showing that action has been taken and that young children, and mainly women, will benefit from it.
I thank the hon. Gentleman for that challenge and for making that important point. I was about to say that I am working strongly on the policy and its focus on supporting lone parents. I am happy to write to Members and share what we believe the outcomes will be. We will be looking strongly at this. The hon. Gentleman will be aware that other Bills are in progress, and we are certainly seeking to increase and strengthen the impact of the CMS. We know how much it lifts youngsters out of poverty and, as we have heard this morning, it matters greatly to families. That is an important challenge, which I am happy to take up.
(1 year, 5 months ago)
Ministerial CorrectionsOn the points about housing support, I am working with colleagues at the Department for Levelling Up, Housing and Communities on quality and provision. My party strongly continues to focus on opening up the benefits and freedom of home ownership and all that it gives. The 2020 local housing allowance rates were raised to the 30th percentile—a significant investment of £30 billion—and we have since maintained that increase.
[Official Report, 21 February 2023, Vol. 728, c. 189.]
Letter of correction from the Under-Secretary of State for Work and Pensions, the hon. Member for Mid Sussex (Mims Davies):
An error has been identified in the speech I gave on Second Reading of the Social Security (Additional Payments) (No. 2) Bill.
The correct statement should have been:
On the points about housing support, I am working with colleagues at the Department for Levelling Up, Housing and Communities on quality and provision. My party strongly continues to focus on opening up the benefits and freedom of home ownership and all that it gives. The 2020 local housing allowance rates were raised to the 30th percentile—a significant investment of £1 billion—and we have since maintained that increase.