Universal Credit and Welfare Changes

Neil Coyle Excerpts

Thursday 21st June 2018 Commons Chamber

[Ms McVey]

I thank my hon. Friend. I went with him to his local Trussell Trust to see what other changes we should be looking at, and one of them involved the payment system for people in work. Remember, this is the first time we have ever had a benefit system supporting people in work. Beforehand, it was always for people who were out of work. I pledged to look at that, and the team is doing so. As I said, we are supporting people.

What my hon. Friend says about the Opposition is quite right. The NAO did not say that we should stop universal credit; it said that we should carry on and, if anything, proceed more quickly. But remember, this is the Opposition who said that our changes in 2010 would result in 1 million more people being unemployed. How wrong they were, and how wrong they are again!

[Neil Coyle (Bermondsey and Old Southwark) (Lab)]

The NAO says that universal credit is expensive, massively delayed and over-complex, and that the Department will never be able to provide evidence that it helps more people into work. The Secretary of State says that everything is tickety-boo, and that this is a personal, tailor-made system based on the individual. Perhaps I could encourage her to meet my constituent, Augustin, who did not meet the minimum income floor and expected earnings under universal credit and has been made homeless as a result. She could meet him at my local food bank, which has seen a tripling in the number of children it supports as a direct result of universal credit roll-out. Will she meet him?

[Ms McVey]

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