Oral Answers to Questions

Nic Dakin Excerpts

Monday 1st July 2019 Commons Chamber

[Nigel Huddleston (Mid Worcestershire) (Con)]

15. What steps the Government are taking to increase financial support for vulnerable universal credit claimants, compared with the legacy system.

[Nic Dakin (Scunthorpe) (Lab)]

20. What steps she is taking to support vulnerable people who apply for universal credit.

[The Parliamentary Under-Secretary of State for Work and Pensions (Will Quince)]

Universal credit ensures that support goes to those who need it most by simplifying the previously complicated legacy system, allowing 700,000 more people to receive approximately £2.4 billion in unclaimed benefits. Since 1 April this year, the Citizens Advice and Citizens Advice Scotland Help to Claim service has been in place, providing free, confidential and impartial support to help people, including those who are vulnerable, to make a universal credit claim.

--- Later in debate ---

[Will Quince]

Universal credit claimants may be able to claim a refund for the cost of travelling to a hospital for treatment through the NHS healthcare travel costs scheme. To claim travel costs, claimants should take travel receipts, as well as their appointment letter or card and proof they are receiving a qualifying benefit, to a nominated cashiers office, which will be located in the hospital or clinic that treats the claimant. I should advise my hon. Friend that costs can be claimed back up to three months after an appointment.

[Nic Dakin]

The requirement for explicit consent built into universal credit makes it difficult for organisations such as Macmillan to support claimants as they did those on legacy benefits. When will the Government meet their commitment to review this requirement with the Social Security Advisory Committee, how will they engage stakeholders and when do they expect to report their findings?

[Will Quince]

The hon. Gentleman raises a very good point—it concerns me too. We have agreed to work collaboratively with the Social Security Advisory Committee to consider how current practices could be enhanced, and to publish a report on our joint conclusions.

--- Later in debate ---

[The Minister for Disabled People, Health and Work (Justin Tomlinson)]

I thank my hon. Friend for highlighting such a fantastic proactive example that is making a real difference, and I support anything further that we can do. The number of applicants to the Access to Work programme with a learning disability increased by 22% in the last year alone. That is an encouraging trend, and we must do much more in this important area.

[Nic Dakin (Scunthorpe) (Lab)]

T4. With £7 billion of unclaimed pension credit since 2017—equivalent to two out of five pensioner households entitled to that credit not getting it—how will Government respond to Independent Age’s “Credit Where It’s Due” campaign to ensure that everyone who is entitled to pension credit gets it?

[The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)]

I saw the report, which was published last week, and noted the findings on page 15 and the four recommendations, many of which we are already doing. Whether through jobcentres, third parties, local authorities or our various other communications, we want more people to be claiming pension credit, and we are trying to do everything possible to make that happen.

Universal Credit

Nic Dakin Excerpts

Monday 5th November 2018 Commons Chamber

[Chris Elmore (Ogmore) (Lab)]

rose—

[Nic Dakin (Scunthorpe) (Lab)]

rose—

[Mr Speaker]

Ah! Two distinguished ornaments of the Opposition Whips Office—what a difficult choice! I call Mr Chris Elmore.

[Ms McVey]

Yes.

[Nic Dakin]

Waiting to get their universal credit is causing people huge problems. Will the Secretary of State do everything she can to address that problem, because it is the main thing that comes up when people come to see me every week—almost every day—with their problems about the universal credit roll-out?

[Ms McVey]

Absolutely, yes. Obviously, the Secretary of State before me brought in advances.

Personal Independence Payments

Nic Dakin Excerpts

Monday 4th June 2018 Commons Chamber

[Ms McVey]

Just to clarify, I am talking about two specific cases today. Another case is ongoing, but we will not be talking about that because we are waiting for the decision. They are all linked together, but that is the difference between that case and the other two.

We must ensure that the right people are getting the support that they need, and more people are getting that support. We have a reconsideration process and an appeals process for anybody who wants to query why they are not getting support.

[Nic Dakin (Scunthorpe) (Lab)]

On Friday, a constituent told me that when they received their PIP assessment it did not reflect the truth of the conversation that they had had with the assessor. That happens too often to be just coincidence. What is the Department doing to get proper quality assurance in place, so that we do not have constituents coming forward with the same tale again and again?

[Ms McVey]

The hon. Gentleman makes a good point. We must have faith in the conversations and assessments, which is why I have looked forward to having them videoed to ensure that we see, hear and know what is going on. If the process is videoed, people will get an honest appraisal of what went on and, equally, we might see a more suitable conversation between the assessor and the individual.

Oral Answers to Questions

Nic Dakin Excerpts

Monday 5th February 2018 Commons Chamber

[Mr Speaker]

I thank the Minister for his replay.

[Nic Dakin (Scunthorpe) (Lab)]

3. What assessment she has made of the effect on employment and support allowance claimants’ income of changes to support for mortgage interest.

[The Parliamentary Under-Secretary of State for Work and Pensions (Kit Malthouse)]

All claimants will be offered a support for mortgage interest loan paid at the same rate that is currently available as part of their benefit entitlement. There will therefore be no impact on their income. Claimants will pay back the loan only on the sale or transfer of the property, when the loan will be recovered from any available equity.

[Nic Dakin]

My constituent, who is registered blind yet has paid into the system all his working life, asks how it can be fair that tenants continue, quite rightly, to get support now, but 100,000 or more people like himself are losing that interest support with their mortgages. It is not good enough to say that they will get it back at the end. This is affecting people now. People are worried about their futures and worried about their incomes now. It is not good enough.

[Kit Malthouse]

Mortgage support is being offered at exactly the same rate as currently. The only difference is that it is now being deferred as a loan recoverable against any equity available in the house should it be sold in the future. Current participants in the scheme should see absolutely no difference unless and until they sell or transfer the house, at which point the taxpayer will recover the support offered.

Oral Answers to Questions

Nic Dakin Excerpts

Monday 18th December 2017 Commons Chamber

[Damian Hinds]

My hon. Friend has indeed been a great campaigner and a great champion for apprenticeships. Apprenticeships—including the 620 starts in Wealden in 2016-17—are one of the key policies that have contributed to our successful labour market, in which employment now stands at 75%.

[Nic Dakin (Scunthorpe) (Lab)]

What is the trend in unemployment for young people with learning difficulties?

[Damian Hinds]

We absolutely accept that of course young people with learning difficulties need additional assistance and additional understanding of conditions and so on, which is why we have very much focused on providing that in jobcentres to make sure that they get the support they deserve.

Oral Answers to Questions

Nic Dakin Excerpts

Monday 13th November 2017 Commons Chamber

[Caroline Dinenage]

When a non-resident parent fails to pay on time or in full, we endeavour to immediately establish compliance before enforcement action is needed. There is a range of strong powers that we can take, including the forced sale of property, disqualification from driving or, indeed, commitment to prison, but we are exploring options to expand those, and they will form part of our new compliance and arrears strategy, which will be published shortly.

[Nic Dakin (Scunthorpe) (Lab)]

Members of the British Steel pension scheme need to decide whether to go into British Steel pension scheme 2 or the Pension Protection Fund by 11 December, but there is still a lack of clarity around the position of high/low pensioners in the PPF and whether that might change after the point of decision making. Will the Secretary of State look at this so that the information is available to people before they make that decision?

[Guy Opperman]

I acknowledge the issue that the hon. Gentleman sets out. If he writes to me, I will sit down with him and go through it in more detail. Clearly it is a matter for the trustees on an ongoing basis as to what particular decisions are taken.

State Pension: Working-class Women

Nic Dakin Excerpts

Thursday 9th February 2017 Westminster Hall

[Nic Dakin (Scunthorpe) (Lab)]

I congratulate my hon. Friend on securing this debate. Constituents of mine have been in exactly the same position as Mrs Tenniswood, so her case is not exceptional, but unfortunately very much the norm. These women have paid in year after year and then, when they come to take back something that they thought they would receive, it is not there. Not only that, but they cannot get other entitlements that are linked to the age of retirement, so it makes things very difficult for them. Sometimes, if they fall on hard times, the Department for Work and Pensions deals with them in a way that is demeaning, which also does not help.

[Chi Onwurah]

My hon. Friend is absolutely right. As I said, part of the debate is about dignity in old age. It is also about the contract with the state. In fact, he has anticipated what I was going to say. In the case of Mrs Tenniswood, one bureaucratic letter took away the certainty that she had had for most of her working life in a very hard trade. The belief that the state would provide her with a pension in her old age—one she had earned—was torn to shreds.

Because Mrs Tenniswood is working class, her life expectancy is lower. In Newcastle, the gap in average life expectancy between inner-city Byker and more affluent South Gosforth is 12.6 years, and the gap is rising under this Government. This pattern is repeated across the country. Owing to the health inequalities from which we still suffer, working-class women are on average expected to die seven years earlier than their peers from more affluent backgrounds. When Mrs Tenniswood finally receives her pension, she can expect to have less time to enjoy it than other women of her age, and she is likely to have a worse experience of old age.

A quarter of Newcastle’s neighbourhoods are in the 10% most deprived in the country. In Newcastle, we are more likely to die earlier from cancer, heart disease and strokes. We suffer from the diseases of our industrial legacy, such as asbestosis. Heart attacks are responsible for 1,100 premature deaths in the north-east every year, which is higher than the national average because of the income disparity. Such inequality is replicated in regions across the country. Data from the Office for National Statistics tell us that, compared with women who live in more affluent areas, working-class women will live for 19 years longer in poor health. So they live shorter lives and a higher proportion of their time is spent in poor health before they die. That is also true of working-class men; I recognise that. They also suffer from significant health inequalities, but, as we have heard, they have not had their expectations of retirement overturned without any attempt to ease the transition.

Our pension system, and the wider system of social security of which it is a part, was founded on the principles of reciprocity, justice and fairness. I fail to see anything just, fair or reciprocal in the treatment of the WASPI women by the Department for Work and Pensions. The Government have rejected many opportunities to deliver a fair settlement for WASPI women, and by accelerating the changes they have embedded unfairness. To add insult to injury, they insist on ignoring and trivialising the issue.

Last week the Minister, who is with us today, refused to use the phrase “working-class” in what passed for an answer to my question on the subject, and argued that

“we are all working now.”—[Official Report, 2 February 2017; Vol. 620, c. 1171.]

I take issue with that premise. In Newcastle, unemployment stands at 5.4% of the economically active population, which is almost twice the national average, and that figure is rising year on year. The figures are even bleaker for older adults. Nationally, the employment rate for people aged 50 to 64 is only 70%. Last Thursday—the same day I asked the Minister my question—the DWP published a guide to help employers hire older workers, noting that three out of four retiring men and two thirds of women have not worked for five or more years. So we are not all working now. Perhaps the Minister was not informed that that was a priority for her Department: hardly an example of joined-up Government.

Irrespective of whether the Minister believes that we are all working now, the conditions that we work in are not equal. Perhaps the Minister should consider that not all women were so fortunate as she was, staying in full-time education until the age of 22—[Interruption.]—Twenty-one. The Minister corrects me. And immediately starting work as a researcher for an MEP who happened to be her father. I do not want to make assumptions, so perhaps the Minister will clarify whether she considers the job working for her father, or a subsequent one as chief executive officer of the National Pony Society, to have been manual labour.

One of the women who got in touch with me told me:

“The Conservative Government has never had pocket money, just blank cheques—they have no idea about the real world.”

I will leave it to others to decide whether that is a fair depiction, but it is obvious that the Government have not done enough to help the women. Talk of a Government who work for working people would be laughable were it not such a serious subject.

Whenever such issues are raised, we are told that we live in a country with a social security system that prevents changes such as the change in pension age from leading to hardship. If the Government seriously believe that our social security system—gutted under Tory changes since 2010—is providing adequately for the women, perhaps it is true that

“they have no idea about the real world.”

However, I will give the Minister the opportunity to demonstrate her understanding of reality by asking her: first, does she acknowledge the existence of working-class women? Secondly, does she acknowledge that although many more of us may be working now, working-class women, who often face the challenges of poverty predominantly in manual trades, have specific experiences? Thirdly, does she acknowledge that working-class women were more likely to start working earlier, and to work in jobs that take a higher toll on the body? Fourthly, does she acknowledge that working-class women are more likely to die younger and to suffer more ill health in retirement? Fifthly, does she acknowledge that they are more likely to be more dependent on the state pension, not having benefited from subsidised work pensions? Does she agree that those five factors make it much more likely that they will not benefit from their retirement to the extent that more privileged groups do, and that the state pension changes are therefore more unjust? Will she commit to considering transitional arrangements for WASPI women? Will she commit to working with the Treasury to announce a solution to the dire predicament in which so many women have been left in the forthcoming Budget?

I called this debate on behalf of all women whose lives have been blighted owing to the ill-considered and discriminatory nature of the changes. As I started with the example of a constituent, I would now like to end with the experience of another working-class woman who, to my great regret, did not live long enough to be a constituent of mine: my mother.

My mother was born in the 1920s in the depths of another great depression when there was no national health service. She grew up in Newcastle in great poverty. Of her six siblings, only one survived into adulthood. Five died of the diseases of poverty: diseases that, in the absence of the national health service, destroyed the lives of so many and had consequences much later in life, causing health inequalities that the health service cannot eradicate—certainly not one as underfunded as the NHS is now. I am sure that that childhood poverty influenced her life expectancy. She died before her 70th birthday, but had lived—cheerfully—with ill health and disability for two decades previously.

It is absolutely iniquitous to imagine that my mother would have had perhaps just three or four years of pension —and that in great ill health—because the Government cannot recognise a fundamental injustice, and, indeed, do not even recognise the existence of working-class women. The debate is, however, not about my mother’s experience, or even Mrs Tenniswood’s experience; it is about the experiences of tens of thousands of working-class women whose lives and retirement have been blighted by changes that were ill-advised and poorly implemented, and in which they and their experiences were not considered.

I want to close my remarks with a small selection of quotations from the appeals that I received. One woman said:

“Stress has made me so ill, physically exhausted and mentally struggling to survive”.

Another said:

“Being too disabled to work is humiliating enough without being made to suffer further humiliation at my age. Hopes, dreams and careful plans to enjoy our retirement shattered. Savings all gone, future bleak! No letter, no notice.”

This came from another woman:

“I am at times very depressed as it felt like I had done a prison sentence for 44 years then, just before my release date, it was extended another six years.”

I came into politics to fight for people like those women, but I am not simply fighting on their behalf. I am fighting with them, side by side.

Another WASPI woman said:

“My mother welded fan blades for Ford Dagenham and it was women who all stood shoulder to shoulder that achieved equal pay for women.

Nothing is ever impossible if women are united in their cause.”

I believe that to be the case and I plead with the Minister to heed the voices of the thousands of working-class WASPI women who are crying out for justice.

Oral Answers to Questions

Nic Dakin Excerpts

Monday 17th October 2016 Commons Chamber

[Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)]

14. Whether his Department plans to take steps to introduce transitional protection for women adversely affected by the acceleration of increases in the state pension age.

[Nic Dakin (Scunthorpe) (Lab)]

16. Whether his Department plans to take steps to introduce transitional protection for women adversely affected by the acceleration of increases in the state pension age.

[The Parliamentary Under-Secretary of State for Pensions (Richard Harrington)]

Transitional arrangements are already in place. We committed £1 billion to lessen the impact of the state pension age changes on those who were affected, so that no one would experience a change of more than 18 months. In fact, 81% of women’s state pension ages will increase by no more than 12 months, compared with the previous timetable.

--- Later in debate ---

[Richard Harrington]

Those women, or indeed those men, under the state pension age who are in the position of destitution the hon. Lady mentions are fully entitled to a comprehensive benefits system, of which I am sure she is aware.

[Nic Dakin]

I pay tribute to Rosemary Jordan and the north Lincolnshire WASPI group. The Minister is better than the answers he has just given. These women are being badly affected. The Prime Minister has given a commitment to this nation to look after those people who are just managing, and the women I have seen in my surgery are just managing as a result of these pension changes. The transitional arrangements that were made back in 2011 are not good enough. I urge the Minister to go back to the Department and improve the offer.

[Richard Harrington]

As the hon. Gentleman is aware, I have said many times, as have other Ministers, that the transitional arrangements have cost more than £1 billion and there are arrangements in place for those people in destitution. It becomes a question of the public money that is spent. At the moment, the new state pensions are costing £89 billion a year, plus pension credit and everything else, and there is no further money available.

Independent Living Fund

Nic Dakin Excerpts

Wednesday 8th July 2015 Westminster Hall

[Nic Dakin (Scunthorpe) (Lab)]

I beg to move,

That this House has considered the effect on recipients of the transfer of the Independent Living Fund to local authorities.

For many people, the protest in Members’ Lobby during Prime Minister’s questions a few weeks ago may well have been the first time that they came across the independent living fund, but right hon. and hon. Members will be well aware of its benefits from contact with constituents who are recipients. As I said a year ago, in June 2014, when I last had an Adjournment debate on the subject, the independent living fund does what it says on the tin. It gives severely disabled people their independence and lets them make choices about how they live—about things we take for granted, such as when to get up or go to bed, and when and what to eat.

The independent living fund began in 1988 as a national resource dedicated to the financial support of severely disabled people, enabling them to choose to continue living in the community. In March 2014, the Government announced that they would close the ILF in June 2015 and that responsibility for ILF users would be passed to local authorities. That has now happened, yet a year on from my last Westminster Hall debate on the issue, ILF recipients tell me that they are no nearer to getting answers to the questions posed then. Consequently, their worries about the future continue to multiply. The promises given that the changes would be well managed and that people in receipt of ILF would be consulted and kept informed throughout the transfer process do not appear to have been effectively delivered, at least from the viewpoint of my constituents in north Lincolnshire.

Ashley was diagnosed with cerebral palsy at 10 months old. This year, he will turn 31. A year ago, his mum, Jeanette, shared her concerns about the future, saying:

“The alleged ‘smooth transfer’ over to social services is already proving to be nothing of the sort. Each and every meeting we hold leave us having to justify Ashley’s needs as a disabled person. The assessments they ask us to complete are totally unsuitable for the severely disabled.”

Last week, Jeanette updated me. Sadly, her fears have not been allayed, and she is continuing to have to battle for her son. She said:

“We have only received a contract from the local council in the last week and went a year without any form of contact from adult social services. If it wasn’t for me fighting for Ashley there would be no contract and nothing would be in place for the changeover. There is no money in place for Ashley’s carer’s holiday, sickness or training pay; this cannot be claimed back from the Government. Every year Ashley’s situation will be reviewed and once again I will have to fight for my son.”

Another constituent, Jon, for whom the ILF has been a lifeline, had an accident 35 years ago that left him paralysed from the neck down. He told me last week about the contact he had had from social services this year:

“So far I have only received generic letters. I have had no contact, no visit, not even a phone call. I feel that decisions are being made about my life that I don’t know about. I have not been given any assurances about my carers and their jobs or their wages.”

[Mary Glindon (North Tyneside) (Lab)]

I congratulate my hon. Friend on securing this important debate. Does he agree that there will be a bigger problem, given that local authorities that have already had their budgets cut by £4.6 billion are not receiving enough money to compensate for the ILF money lost? That will definitely affect our constituents.

[Nic Dakin]

My hon. Friend is absolutely right to put her finger on that area of serious concern. If we believe the people who are experiencing the transfer—and I have no reason not to—the smooth transfer that was promised clearly is not happening. The reality on the ground is that many ILF recipients, their families and the people they employ to deliver their care still do not know where they stand, which is clearly unacceptable.

[Andy Slaughter (Hammersmith) (Lab)]

A number of my constituents have benefited hugely from the ILF. I am very pleased to say that the Labour-controlled council in Hammersmith—a well run council—is ring-fencing the money and making sure that there is a smooth transition, but most authorities do not know how much money they are getting, and the Government are only giving them about half the funds. Is that not a disgraceful situation and a terrible way to treat people?

[Nic Dakin]

That is very much part of the issue at the moment, and I congratulate my hon. Friend’s council on being one of those that are making the right stand.

Disabled People Against Cuts, which organised the demonstration last week, has argued:

“At the very minimum the ILF funding should be ring-fenced for the continuing care and support of existing ILF recipients when funding is transferred to Local Authorities and devolved administrations”.

That is not being done and, in an age of austerity and deepening cuts to local authorities, the funds will get lost in the wider budget. That is the key and crucial fear.

DPAC sent freedom of information requests to 151 different local authorities, asking how many are ring- fencing the funding. The response showed that only 21.43% were doing what the council in my hon. Friend’s constituency is doing, whereas 50% said they were not doing that. At the time they were asked, 28.57% still had to decide what they were going to do.

What will further budget cuts bring? As of now, Ashley is allowed to keep his carers, but in a year’s time, will that change? Will his family have to deal with a succession of strangers who do not have time to get to know them and understand their needs?

Leonard Cheshire Disability published a report in 2013 stating that in England, 60% of councils use 15-minute visits, which are not long enough to provide adequate care, with disabled people having to choose whether to have a drink or go to the toilet. Hopefully, things have improved since then, but it is understandable that such reports fuel ILF recipients’ concerns. Those fears are backed up by Disability Rights UK, which made the following observations last week on the eve of the fund’s abolition:

“The monies being transferred from the ILF to local authorities will not, in most areas, be ring fenced meaning that the money can be spent according to local decision rather than necessarily on those in receipt of ILF funding.

There is currently no indication of whether funding for ILF recipients will continue to be transferred from national to local government beyond 2015/16.

The level of social care funding in real terms has, and is likely to continue to be, cut overall outweighing many times the additional funds being transferred from the ILF.

The consequences are that some disabled people in receipt of ILF funding will no longer receive any support at all; and others will find their support package reduced.

We want to see equity of support that achieves independent living across all impairments and age groups—closure of the ILF in current conditions will not achieve this.”

That summarises the strong concerns out there in the community. Scope, Leonard Cheshire Disability, the Spinal Injuries Association and various trade unions are among many other organisations that share those concerns.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

My hon. Friend is making a very powerful speech. Oldham, my constituency, is another local authority area that is promising to support families and make sure that the ILF budget is ring-fenced, but I am aware that that is not happening elsewhere. This is not only about the person who is disabled, but about the families, particularly when parents are the carers. They are extremely worried about the uncertainty, and hopefully the Minister will be able to respond to that point.

[Nic Dakin]

My hon. Friend puts her finger on the heart of the issue, which is the high level of uncertainty. Let me quote some heart-wrenching comments from ILF users and their families. They illustrate the concerns out there very well:

“I am really terrified of losing my home and being forced into residential care…I have never been so worried and scared of my future without the ILF...We are locked in a prolonged period of insecurity of worrying what is going to happen. We are all only too aware of how hard strapped local authorities are and the temptation to use ILF monies for purposes other than care support for current ILF recipients…The current situation is greatly affecting our health with increased stress levels and sleepless nights a regular feature of our current lives. Not knowing what will happen, how this may affect the team of personal assistants we employ to support our daughter and whether we will receive any respite care once the fund closes in June only adds to our anxiety.”

Finally, a user said:

“I fear I will have my care time cut, and become a prisoner in my own home, unable to go to the toilet, go to bed, eat and drink when I choose—I fear my choice will be taken away. I fear being socially excluded and losing touch with my family and friends. I fear not being able to go to all the hospital appointments I have to attend. I fear I will lose my independence.”

That is the heart of the problem—loss of independence. The ILF has given severely disabled people real independence in their lives. At this point of change, and despite all the assurances that there have been in the system and the genuine messages of support from all the authorities, that concern is still very much there, and what is happening at the moment has not allayed the concern.

As those fears and worries illustrate, there is a real danger that attempts to save some money in one area, the ILF, will end up costing the state more in another area—the NHS. During the election campaign, when asked directly by one of the ILF recipients, the Chancellor of the Exchequer insisted that the Government would transfer all the ILF money and that there would be no cuts in their budgets. When pressed further, he made a commitment that money would be there in future years. So the Chancellor, who has been making the news today, is on the record on this issue. It is the duty of the House and the Minister to ensure that he keeps his word, so my questions to the Minister are as follows.

First, in the light of that, will the Minister discuss with the Chancellor how he intends to deliver on those promises, and will he report back to Parliament on the Chancellor’s response? Secondly, will the Minister be in contact with the 78% of local authorities that have said either that they will not ring-fence the money or that they are not sure whether they will ring-fence it, and are therefore not delivering on the Chancellor’s promise, and will he take steps to ensure that they do deliver on it? Thirdly, will he ask local authorities to report to him on what contact they have had with ILF users in their area and what feedback they have received from them in relation to satisfaction with the transfer? Finally, will the Minister make a commitment today to report back to the House in a year’s time on the impact of the transfer of the ILF to local authorities on the lives and wellbeing of recipients?

[The Parliamentary Under-Secretary of State for Work and Pensions (Justin Tomlinson)]

It is a pleasure to serve under your chairmanship, Mr Howarth. I thank the hon. Member for Scunthorpe (Nic Dakin) for calling this debate. It is of great interest to a number of people.

I recognise the valuable role that the independent living fund has played in enabling severely disabled people to live independently over the last 27 years. The ILF was created in 1988 as a transitional arrangement to mitigate the impact of the end of domestic assistance allowances when supplementary benefit was replaced with income support. The fund was established for a maximum of five years as a charitable trust to make payments to people on low incomes who had to pay for personal care. It was expected to support about 300 people. At that time, there was no clear legal provision for local authorities to make such payments.

The original ILF charitable trust ran until 1992, when it was closed to new applications. A new extension fund was created in 1993 to receive new applicants, and the two funds ran in parallel until 2007, when they were amalgamated. Following a trustee decision temporarily to cease taking new applications, the fund was closed to new users permanently in December 2010.

The decision to close the ILF completely, which was announced in a written ministerial statement on 6 March 2014, followed careful consideration of the implications of a Court of Appeal judgment handed down in November 2013. The decision was based on new evidence and a new equality analysis, and reflected those changes.

I understand and acknowledge the depth of the concern shared by many former ILF users about its closure and the impact of that. It was incredibly important to the users. Human nature does not like change, but when it is something so important to someone’s independence, I absolutely get the strength of feeling. However, it was no longer appropriate to continue to fund care and support needs through a discretionary trust operating outside the mainstream system. The mainstream adult social care system has undergone radical changes since the ILF was established. The introduction of the Care Act 2014 in England means that the key features of ILF support, which contributed to its success—personalisation, inclusion, choice and control—are now part of the mainstream adult social care system. Broadly similar legislation has already been introduced in Scotland and will come into force in Wales during 2015-16.

Local authorities themselves have a statutory duty to assess and fund the eligible care needs of disabled people, and 94% of all former ILF users already received a local authority contribution to their care and support. Transferring full responsibility for adult care and support to local authorities ensures that the needs of all disabled people will be met within a single care and support system, thereby simplifying arrangements.

[Nic Dakin]

The Minister is right to draw attention to the fact that many users have received support from the local authority and the ILF. One reason why they are very concerned is that the ILF’s approach has been, they tell me, very enabling—allowing them to do things—whereas the approach of local authorities over the years has been very much to try to save money and to push them backwards. That is one of the cultural things as well as real things that is adding to the alarm that they feel at the moment.

[Justin Tomlinson]

I thank the hon. Gentleman for that intervention. I understand that point. I will come on to the funding that we have passported over, but I understand the point about the change in the system. I was surprised that the figure was as high as 94%. There is that point about change, but the vast majority already had some contribution from the local authority at that point.

At the point of closure, there were 16,000 users of the ILF, compared with 1.3 million users of adult social care in England alone. Transferring full responsibility for ILF users and amalgamating the funding with adult social care will ensure that support for disabled people is delivered consistently and effectively. As I said, the decision to close the ILF, announced in a written ministerial statement, followed careful consideration of the implications of a Court of Appeal judgment handed down in November 2013.

The current position is that the ILF closed on 30 June and full funding for the remainder of the financial year has been transferred to local authorities in England and the devolved Administrations in Scotland and Wales. Local authorities in England now take full responsibility for former ILF users living here. I believe that local communities are best placed to make decisions about how to use funding to support members of their community and that local authorities should have the flexibility to decide how best to provide funding and support at local level.

Scotland and Wales have also now taken full responsibility for the care and support of former ILF users living there. Scotland has decided to create a new organisation to manage the transferred funding for former users, and in Wales the funding has transferred to local authorities to administer while the Welsh Government decide what course of action to take in the longer term. Northern Ireland has always funded support for ILF users living there and continues to do so, but it has asked the Scottish Government to administer this funding on its behalf.

As part of the 2013 spending review, it was announced that local authorities in England and the devolved Administrations in Scotland and Wales would be fully funded in 2015-16 to meet their additional responsibilities towards former ILF users. A total of £262 million has been made available for ILF users in 2015-16. That amount was based on very accurate forecasts by the ILF and is the same amount that would have been available had the ILF remained open.

Since the ILF was closed to new applicants in 2010, the number of users has reduced year on year, meaning that spending has also decreased. Funding for 2015-16 reflects projected reductions in the number of users between 2014-15 and 2015-16. It is therefore not a cut in the level of available funding.

Funding has been distributed among England, Scotland and Wales in a way that reflects expenditure patterns at the point of closure, with funding in England being allocated to individual local authorities on the same basis. Before its closure, the ILF provided each local authority in England with detailed schedules setting out the allocated funding at individual level, ensuring that every authority has received accurate information about the level of support previously provided to each user by the ILF. Final analysis from the ILF shows that the funding allocated to local authorities in England will be sufficient to ensure that existing commitments to former ILF users can be paid in full for the remainder of the year.

[Nic Dakin]

I thank the Minister for his description of what has happened. Will he take steps to make sure that the funding, which he has said is definitely there, reaches ILF users?

[Justin Tomlinson]

I am coming to that. I am just setting the background, after which I will talk about the action that is being taken.

The potential implications of closing the ILF were set out in the equality analysis in very clear terms, focusing on the likely impact of the proposed policy on those with a protected characteristic and concentrating on assessing the impact of closure on people with the protected characteristic of disability and, in particular, users of the ILF. The equality analysis considered a worst-case scenario, even if it was not certain that it would happen, separately under each limb of the public sector equality duty.

In addition, we have made a commitment, as part of the equality analysis, to monitor the impact of the closure of the ILF on former users. I believe that that will be welcomed by all. A sample of former ILF users have already agreed to take part, and we have started planning the research, which will be completed before the end of the 2015-16 financial year.

Before the closure of the ILF, the Government worked closely with the ILF in partnership with ILF users, local authorities in England and the devolved Administrations to ensure that they benefited from a programme of extensive transitional support. As part of that support, all former ILF users received a detailed support plan setting out the level of support and the outcomes secured under their ILF award.

The information was shared with local authorities, and the devolved Governments all had access to the data transferred to them prior to closure. In addition, the ILF engaged directly with all authorities involved in the transfer of user care and support in 2015, and it held a series of conferences in October 2014 to provide local authorities with up-to-date information. One-to-one discussions were held with all 151 local authorities at those events. Similar events were held in Wales, and the ILF has worked closely with the Scottish Government to ensure a smooth transfer for all users across Great Britain.

The Department and I have worked closely with the Department of Health, the ILF and interested parties, including a number of significant stakeholder groups, to develop additional guidance for local authorities. We did so in recognition of the fact that, as has been highlighted, not all local authorities immediately displayed full confidence in the arrangements. That included points raised in earlier debates on the subject, which is why we developed additional guidance to ensure that we were prepared for the transfer of former ILF recipients to sole local authority care, underpinned by a new chapter in the Care Act 2014 statutory guidance. That will help to inform local authorities in the transfer of former ILF users to the adult social care system in England.

I have recently written to my counterparts in the Department of Health and the Department for Communities and Local Government, as well as to the Chief Secretary to the Treasury, because I want to ensure that the needs of all former ILF users continue to be taken into account. I have received assurances from the Department of Health and DCLG that future funding for former ILF users will be considered at the next spending review. It may be helpful to highlight the positive remarks of the Chancellor during the election, which are formally on record.

In addition, DCLG has written to each local authority that has former ILF users to draw attention to the agreed code of practice, which will be supported by the new guidance. In the meetings and conversations I have had with the Departments, it has been clear that they absolutely understand that and there is collective support for it. Ongoing support from my officials and me will continue, to ensure that we monitor what is happening and keep a close eye on the situation.

[Justin Tomlinson]

We all have constituents who would echo those words, which is why we are working closely with the Departments.

[Nic Dakin]

The Minister is being generous in giving way yet again. It is clear to me that constituents are anxious because they do not know what will happen in the future. Can anything be done to give people greater longevity of certainty—more than just one year?

Compulsory Jobs Guarantee

Nic Dakin Excerpts

Wednesday 11th February 2015 Commons Chamber

[Nic Dakin (Scunthorpe) (Lab)]

It is a pleasure to follow the hon. Member for North West Leicestershire (Andrew Bridgen). I should like to make it clear to him that my party is the party of work. It is called the Labour party; the clue is in the title. That is what we are about, and work includes business and enterprise. That is why it is so pleasing to have a debate this afternoon about the future of our young people and what we can do to ensure that we can get them all into work. This relates to the future not only of those individuals but of the nation and of UK plc—something to which we are all committed and in which we all play a part.

I know from my experience of working with young people that they gain confidence when they have work. Work is the biggest builder of confidence, and the biggest provider of health and well-being. Tackling the issue of young people who are stuck without work is essential for this nation, and we should unite around it. We should recognise the things that have been done well in the past, whether under Labour or Tory Governments. Let us celebrate those things and build on them.

Let us not play this year-zero game again, where we get rid of things that work, such as education maintenance allowance, because the previous Government introduced them. In my experience of working in further education, nothing motivated young people more than EMA, which was amazing to me. It was not what I expected, but it delivered attendance, achievement and better outcomes. That is what we should be about in this place. We should be about focusing on the future and what people need. Data showing youth unemployment at 764,000, a rise of 30,000 on the previous quarter, should cause us all concern, and we should all roll up our sleeves to do something about it.

The compulsory jobs guarantee will guarantee real, paid jobs, preferably in the private sector, for every 18 to 24-year-old who has been claiming JSA for more than a year. That is the sort of initiative we need in future to turn the tables. I have to say that there are really good things going on, and I am looking forward to visiting the Youth Engineering Scunthorpe initiative, where innovative work is being done in my constituency by Bradbury Security and North Lindsey college to get young people back into work today. We should build on these things and celebrate them. We should build together, across this House, a better future for our young people.