Oral Answers to Questions

Nia Griffith Excerpts

Wednesday 15th September 2021 Commons Chamber

[Nia Griffith (Llanelli) (Lab)]

A quarter of a million Welsh families now face the grim prospect of losing over £1,000 a year because of this Government’s shameful decision to slash universal credit. We know that the Secretary of State’s colleague, the Work and Pensions Secretary, seems to think that people just need to work harder, but I would remind him that nearly 40% of Welsh people who receive this payment are in fact in work, many of them key workers. What does the Secretary of State have to say to those families and their children who are struggling to make ends meet now and will be so much worse off as a result of this cut?

[Simon Hart]

I touched on this obviously in the answer to the initial question, especially the temporary nature of the increase and of course the many plans and projects we have that are going to enhance and improve the economy in Wales, which will have a positive effect on the very families the hon. Lady talks about. I think it is just worth pointing out as well that it is this Government who increased the personal threshold on NICs—that was of considerable value to families across the land—and there have been other improvements, such as the increase in the national living wage. I think those things need to be taken into account as well, and I am sure the hon. Lady will do that.

[Nia Griffith]

I am not sure that is going to be much comfort to those families who are going to be losing £80 a month. This is not just a blow to Welsh families, but a real hit to Welsh shops and businesses, because we all know that families on low income have to spend their money locally on the very basics of life. This will suck £286 million per year out of the Welsh economy. The Conservative party constantly talks up the sums paid to get this country out of the pandemic, but is not the reality that the Tories are taking money away from Welsh businesses just at the time that so many of them need it most?

[Simon Hart]

I do fundamentally reject that accusation. Having visited numerous companies, large and small, across Wales throughout the pandemic, the message I have had back is one of relief that the UK Government Treasury has been able to step in and offer the levels of help that it has. Particularly in relation to the hon. Lady’s comment about universal credit, what she is suggesting is that none of the remedial measures we have introduced will work. That is clearly not the case, so the families that she and other colleagues quite rightly raise as being concerned about what the future holds should, I hope, be reassured by the fact that the Government continue to be committed not only to companies, but to individual families themselves.