(1 week, 5 days 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
The Government claim that the proposed cuts are about getting disabled people into work, but they have provided no evidence that they will result in significantly more disabled people in work. Even if that was the result, there would still be some disabled people who are unable to work. They deserve support too, but under the proposals, many of them would not receive it. The proposed disability cuts mean more poverty, suffering and hardship for disabled people.
One young person living with mental illness told Just Treatment, which I hosted in Parliament yesterday:
“I feel suicidal when I get caught up in the thoughts of losing this life changing support.”
Another says that she will not be able to access
“food, shelter, and vital care”
for her condition. A third young person says:
“I am terrified they will take my PIP away, that I will end up homeless, and my only option will be suicide.”
We should be in no doubt that these proposals will cost lives. That is not hyperbolic: the benefits system has already been a key factor in the deaths of disabled people such as my constituent Philippa Day, who tragically took an overdose and was found next to a letter from the DWP refusing a home assessment visit.
If the Government go through with these disability benefit cuts, they will be making a huge mistake that the public will not forgive us for. We must be true to our values as a party and stand up for the whole of the working class, including disabled people, whether they are in work or not. It is not too late for the Government to drop these cuts. If they do not, I will vote against them.
I am pleased to serve under your chairmanship, Dr Allin-Khan. Like everyone else, I congratulate my right hon. Friend the Member for Hackney North and Stoke Newington (Ms Abbott) on securing the debate and on the way she introduced it. I pay tribute to her for her consistent focus on this very important topic for a long time. To everyone who has spoken, I say that it is absolutely right to be passionate about this topic.
The “Pathways to Work” Green Paper, published in March, set out to deliver three things with a properly thought-through plan—contrary to what the hon. Member for East Wiltshire (Danny Kruger) just said. First, we will provide proper, tailored employment support for people who are out of work on health and disability grounds, with the biggest reforms to support for a generation and a funding commitment rising to an additional £1 billion a year by the end of this Parliament.
Secondly, we will remove the disincentives to work that were left behind in the benefits system by the previous Government’s haphazard benefit freezes, which forced too many people to aspire to so-called limited capability for work and work-related activity status, when it should be supporting people to aspire to work and providing the support to enable them to achieve those aspirations. As has been mentioned, we have announced the first ever permanent real-terms increase in the universal credit standard allowance.
Thirdly—this is where we have focused in the debate—we will make the costs of PIP sustainable and address the unsustainable increases that have led to an almost doubling of the real-terms cost of the benefit, from £12 billion to £22 billion, since the year before the pandemic. Last year alone, it increased by £2.8 billion beyond inflation. I think everybody who has spoken would recognise that we simply cannot let that trend carry on.
I think I am right in saying that 30 years ago my right hon. Friend the Member for Hackney North and Stoke Newington and I served together on the Treasury Committee. She knows as well as anybody the need for funding to be sustainable. It is not in the interests of those for whom PIP is a lifeline, in anything beyond the very short term, for the Government simply to allow the costs to rise as they have done over the last five years.
Has the Minister seen the latest analysis from the New Economics Foundation, which estimates that fewer than 50% of disabled people are claiming these benefits, and that the acceptance rate has remained static? It is not actually the case that people are claiming who should not be claiming: people are claiming benefits to which they are entitled.
My hon. Friend is absolutely right. The people who are getting PIP are the people who meet the criteria. My point is that we cannot simply carry on increasing spending at the current rate. That has to be addressed.
I well understand the concerns among people who claim PIP, and I want to take the opportunity of this debate to address those concerns. We are talking to disabled people, disability charities and disabled people’s organisations. The Green Paper consultation will continue until the end of June, and a White Paper will follow later this year. But we need to act ahead of a White Paper. Claims to PIP are set to more than double this decade, from 2 million to more than 4.3 million. That increase is partly accounted for by a 17% increase in disability prevalence, as mentioned, but the increase in the benefit caseload is much higher. It would certainly not be in the interests of people currently claiming the benefits for the Government to bury their heads in the sand over that rate of increase.
Following the Green Paper, we are consulting on how best to support those affected by the eligibility changes. We are looking to improve the PIP assessment; as mentioned, I will lead a review of that. The current system produces poor employment outcomes, high economic inactivity, low living standards and high costs to the taxpayer. It needs to change. We want a more proactive, pro-work system that supports people better and supports the economy as well.
I will turn specifically to the changes to PIP eligibility. PIP is a crucial benefit that contributes to the extra living costs that arise from disability or a health impairment. The changes we have announced relate to PIP daily living; the PIP mobility component is not affected. We are clear that the daily living component of PIP should not be means-tested, taxed, frozen or anything else that has been suggested. We are committed to continue increasing it in line with inflation. For the majority of current claimants, and categorically for the most vulnerable, who have been highlighted in this debate, it will continue to provide, in full, the support that it currently provides. Employment support for those who are able and want to work will be substantially improved as well.
As has been referenced, we have published data that shows that just over half of those who claim PIP today scored four points in one daily living activity in the last PIP assessment. Understandably, as we have heard, almost half of those who currently claim the benefit will be concerned that they will not be eligible in future. However, we have also published the Office for Budget Responsibility’s assessment, which is that by 2029-30 only around 10% of those who currently claim the daily living component of PIP will lose it as a result of the changes. That is the assumption that has gone into the spending forecasts. We are projecting that spending on PIP will continue to increase in real terms every year, but not at the unsustainable rate of the last five years.
(5 months, 3 weeks ago)
Commons ChamberThe whole point of devolving responsibility and accountability to mayors and local leaders is that they will know best the organisations that they need to involve in tackling economic inactivity, delivering the youth guarantee and embedding jobcentres into local communities. There is an additional £900 million in the shared prosperity fund for 2025-26, and that is a key element that we need to join up with the rest of these measures, but if the hon. Lady will write to me with more detailed information, I shall be happy to look at it.
Barriers to employment and a lack of workplace support for disabled people remain persistent challenges, along with inadequate social security payments for everyone regardless of employment status. Can my right hon. Friend reassure disabled people that the Government’s new support measures will not be conditional on their being able to work, and that no one will be sanctioned for non-attendance at medical appointments?
Sanctioning people because they use the NHS to make themselves as fit and healthy as possible is completely the wrong approach. I understand why disabled people are worried when they hear talk about helping people into work or reforms of sickness and disability benefits—they are worried because of what has happened over the past 14 years—but we are determined to break down those barriers to work. I think that many disabled people, given the right help and support and the right flexibility to work, could work and would want to work. That is what we are focusing on, and that is what we are determined to deliver.
(1 year ago)
Commons ChamberIt is the case that there has not been a fundamental review of PIP on the basis that that has subsequently led to a change in that benefit. Therefore, it is the case that that benefit has remained fundamentally the same for more than decade—it actually came in in 2013, as the hon. Gentleman will know. On what assessments may or may not be made available, I think they will come at a point when the Government arrive at their conclusions having conducted the consultation.
Members of this House may remember that I had to take a leave of absence from this role three years ago because I have post-traumatic stress disorder. I can tell the House that the insinuation that mental health conditions are not debilitating, do not affect people’s ability to go about their daily life or to go to work, and do not incur additional costs could not be further from the truth. The Prime Minister’s comments about so-called “sick note culture” and the changes that the Government are proposing will do nothing to help people with mental illnesses, and will just make their lives harder. Why are the Government setting back the clock on the acceptance of mental illness as a disability instead of truly tackling the crisis in mental health support?
(1 year, 10 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 a pleasure to serve under your chairmanship, Mr Pritchard, and I congratulate the hon. Member for Liverpool, Riverside (Kim Johnson) on securing the debate and on the passionate way that she put her argument today. That passion cannot be doubted in any way whatsoever and due respect is due to her for that.
The Government believe that the best way to support people’s living standards is through work, better skills and higher wages. I regret to say that I will rely on an answer similar to the one that the Prime Minister gave to the hon. Lady at Prime Minister’s questions. Whether she agrees or disagrees with that answer, I hope that she will bear with me as I give it.
In 2021-22, children living in a household in which all the adults were in work were five times less likely to be in absolute poverty after housing costs than children living in workless households. We believe that we have made progress. In 2021-22, there were 1.7 million fewer people in absolute poverty after housing costs than there were in 2009-10, including, as has been made clear, 400,000 fewer children. There are also nearly 1 million fewer workless households now than there were in 2010.
Following the review of the benefit cap levels by the Secretary of State for Work and Pensions in November 2022, those levels were increased by 10.1% from April 2023. Let us not forget that households can still receive benefits from the taxpayer up to the equivalent of a salary of £26,500 nationally or £31,300 in London, allowing for London weighting. Also, we uprated the national living wage by 9.7%, increasing our support for both those who are in work and those who are out of work, as well as uprating all benefits by 10.1% in April. That is the largest cash increase ever to the national living wage, which is now up to £10.42 an hour, providing extra support for workers.
Clearly, there are over 1 million vacancies across the UK and our focus is firmly on supporting people into work and helping them to progress in work. That approach is based on clear evidence about the importance of parental employment, particularly where it is full time, in substantially reducing the risks of child poverty.
Is the Minister aware of the recent study by the London School of Economics, published last month, that found that the two-child benefit cap policy has not increased employment levels? We can only conclude from that that even on its own terms, the policy is failing while hundreds of thousands of families have been pushed into poverty.
As I think I have made clear, I do not accept the arguments about poverty. I am not aware of the specific LSE paper that the hon. Lady mentions, but I would make the simple point that in this country we have never given more welfare support or paid higher figures for pensioner support or disability support. Without a shadow of a doubt, there has been massive cost of living support, as I will outline, to the most vulnerable.
(3 years, 8 months ago)
Commons ChamberI got into politics in 2013 because I saw the devastating impact of the bedroom tax on my community, my friends and my neighbours. In 2013, we were angry and we were tired of three years of public sector cuts, but never for a minute did I think that I would be here, eight years and billions of pounds of cuts later, asking the Government not to implement the biggest welfare cuts in the history of the welfare state.
It is not only the universal credit cuts that will hit low-income families; those cuts are combined with the 3.2% rise in inflation, the national insurance rise, the end of the furlough scheme and the resumption of evictions. It is not the Tory party’s billionaire donors, who have increased their wealth during the pandemic by more than £100 billion, who are paying the price; it is key workers like my former colleagues in social care, shop workers and teaching assistants.
For many of the families I represent, £20 is the difference between eating and not eating. International law is very clear that cuts should not occur if human rights violations would occur, so is the Secretary of State still “entirely happy” with a cut that will plunge 730,000 children into poverty? What does she have to say to the 14,250 families in Nottingham East and the six million families across the country who will lose £1,000 per year? I do not want to hear about incentives to get people into work—the Conservative party knows full well that the cut hits people who are in work, because work does not pay. Cancel the cuts, introduce a real living wage and scrap the benefit cap.
(4 years, 2 months ago)
Commons ChamberThank you, Madam Deputy Speaker—[Interruption.] Gosh, I am really sorry, Madam Deputy Speaker; we have building work going on in the house at the moment.
The pandemic has shown us the impact of a decade of austerity forced on us by Conservative Governments. We have seen that a cocktail of poverty pay, job insecurity and cutting public services to the bone has resulted in one of the worst death rates and the worst recessions in the world. This was not inevitable and the Budget was the Chancellor’s opportunity to put it right with a programme that meets the scale of the challenges we face. Instead, this Budget is filled with half-measures and wrong priorities.
There is a rise in corporation tax in 2024 but a huge £25 billion giveaway to big businesses before that. The wealth of British billionaires has already soared by a third in the last year. The Government talk of a green industrial revolution but they are slashing green homes grants, freezing fossil fuel duty and continuing to back coal mining. There is a lot of talk about looking after Brits, but the Chancellor did not mention the NHS once in his speech. He had no plan for the crisis in social care and he is freezing public sector wages instead of giving our key workers the pay rise that they deserve.
The Chancellor has taken the rhetoric of Labour’s policies but none of the substance. The centrepiece of yesterday’s Budget was the switch to fiscal austerity in April 2023, which will involve around £68 billion of spending cuts and tax rises until 2026. Make no mistake, this Budget has paved the way for more misery, more austerity and more hardship just over the horizon.
Today, the Joseph Rowntree Foundation and the Resolution Foundation said that the cliff-edge cut in universal credit will bring down incomes to levels that we have not seen since the early 1990s. It is set to plunge 500,000 people into poverty. Does the Minister consider those people, including many of my constituents in Nottingham East, to be collateral damage?
We all want a secure job, healthcare we can rely on and a good home in a community that we can be proud of, but poverty pay, underfunded hospitals and catastrophic climate change threaten our lives and our futures. This Budget should have tackled the root of these problems—our rigged economic system—but instead, it rearranges the deckchairs on the Titanic. We need a permanent transfer of wealth and power from billionaires profiting from the pandemic to workers who have got us through it, but this Government do not want to tackle a broken economy that works for their super-rich friends instead of for my constituents. They have failed catastrophically during the pandemic and this Budget shows that they will fail to deliver the recovery that we need.
(5 years, 3 months ago)
Commons ChamberI thank my hon. Friend for that question and welcome him to his place. He is a strong local champion, hence his election. I would of course be very happy to visit Warrington.
Universal credit and transitioning to universal credit are causing real hardship in Nottingham, with more than 26,000 people using food banks for emergency supplies in the past year alone. Will the Minister accompany me to my constituency to see for himself the destitution and desperation caused by his Department’s policies?
I visit constituencies all around the country. Only last week I was in Scotland visiting numerous jobcentres.