(1 year, 5 months ago)
Commons ChamberI thank my hon. Friend, the Minister for Social Mobility, Youth and Progression for moving these important Government amendments. I was delighted to co-sign them. These new amendments will allow for the provisions in the Bill to include Northern Ireland. That will mean that domestic abuse victims, not just in our English constituencies, but throughout the United Kingdom, will benefit from the measures in this Bill. I am sure that all Members here today can recognise the importance of that.
The Minister has assured me that officials will be working closely with legal colleagues and the other Administrations across the United Kingdom to ensure that the provisions are implemented effectively. I thank all Members for joining me here today and for their support of this Bill.
I thank my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart) for bringing this Bill before the House to address such an important issue. I expect that problems with the Child Maintenance Service and domestic abuse are some of the most universal and least partisan that my colleagues and I encounter in the course of our work.
As we know, domestic abuse is not limited to any particular group—anyone can be a victim. At the same time, it is helpful to recognise that the economic impact of domestic abuse is particularly severe for single mothers, who make up 90% of single-parent households, and whose opportunities to work may be limited by childcare. A study by the Institute for Fiscal Studies found that pre-pandemic, nearly half the children in single-parent households were living in poverty. Single parents are likely therefore to need childcare payments, because of the considerable costs associated with raising children, yet those who experience domestic abuse can find themselves still vulnerable to abusive behaviour through the structure of the CMS. Last year, the Public Accounts Committee concluded in its report on the CMS that the system is not—
Order. I hesitate to interrupt the hon. Gentleman, but I did put down the marker at the beginning that Members should be speaking to amendments on Report. He is making a Third Reading speech. He is welcome to retain the Floor, but he must stick to the amendments.
My apologies, Mr Deputy Speaker. I will wait for Third Reading.
Question put and agreed to.
New clause 1 accordingly read a Second time, and added to the Bill.
Clause 4
Extent, commencement and short title
Amendments made: 1, 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)).” —(Mims Davies.)
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.
Third Reading
Thank you, Mr Deputy Speaker. I will start again.
I thank my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart) for bringing forward a private Member’s Bill to address such an important issue. I expect that problems with the Child Maintenance Service and domestic abuse are some of the most universal, least partisan issues my colleagues and I encounter in the course of our work. Domestic abuse is not limited to any particular group—anyone can be a victim. At the same time, it is helpful to recognise that the economic impact of domestic abuse is particularly severe for single mothers, who make up 90% of single-parent households and whose opportunities to work may be limited by childcare responsibilities.
Like many Members, I have had people come to my surgeries to talk about coercive, hidden abuse that is very difficult to get on the record. That does impact the decisions that are required in this space. A study by the IFS last year found that, pre-pandemic, nearly half of children in single-parent households were living in poverty. Single parents are likely to need child maintenance payments because of the considerable costs associated with raising children, yet those who have experienced domestic abuse can find themselves still vulnerable to abusive behaviour through the structure of the CMS.
Last year, the Public Accounts Committee concluded in its report on the CMS that the system is not designed to protect victims of domestic abuse, even if it may be the “safest and only way” for them to receive child maintenance payments from an ex-partner. The following is not a comprehensive list, but some ways abusers misuse child maintenance payments are: putting abusive messages in the payment reference; making payment dates unpredictable to interfere with benefit payments; and, in some cases, using the location of the bank account to find the area where the resident parent lives.
I understand why direct payments are the preferred method of child support payments for the CMS. In an ideal world, parents would be able to split amicably and divide the financial responsibility for raising their children equitably; unfortunately, that is often not the case. In situations where the relationship is not only difficult but abusive, it is simply unreasonable for the CMS to ask victims to arrange direct payments with abusers or find out their income details and workplaces themselves.
The Domestic Abuse Commissioner recommends that victims and survivors of domestic abuse are automatically offered the collect and pay option without fees. The Bill’s provision for either parent to object to direct pay on the grounds of domestic abuse represents a significant improvement in the law’s protection for survivors of domestic abuse. However, it fails to address some issues and I hope Ministers will consider introducing future legislation to tackle them.
It is, for instance, too easy for the paying parent to hide earnings by dropping from pay-as-you-earn on to self-employment and making the visibility of the numbers not good. That deprives children of the financial support they need, and from the Treasury’s perspective it contributes to tax avoidance. Once the paying parent is put on collect and pay, the relief for the resident parent may be temporary, however, and it is important that we deliver these proposed changes. I commend my hon. Friend the Member for Hastings and Rye for bringing the Bill forward.
(2 years, 7 months ago)
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Does my hon. Friend agree that the opportunity to invest that money exists and could be pushed further, into local communities—particularly ones such as Sedgefield?
My hon. Friend is a great champion of Sedgefield. I am grateful for that intervention, and he is absolutely right. I have spoken before about the many ways in which we can use and mobilise private capital to pay for green technology and renewable energy, but decisions about where those infrastructure sites are have to be taken by local authorities wherever possible.
Today, though, the top point that I want to make in terms of all these benefits is that auto-enrolment has helped to bring about a cultural change in our society. When our economy does well, our savers do well. Automatic enrolment helps to democratise capital. It creates millions of new investors, millions of new capitalists. It is part of what, over many decades, people have called the property-owning democracy, ensuring that most of those who can vote have a stake in our economy. When they put an x in a box on a ballot paper, they have that in mind—they have skin in the game.
However, when a policy has such an impact and is so successful, it is right that we debate and discuss how we can build on that success. Many in this place have put forward suggestions—I pay great tribute to my hon. Friend the Member for North West Durham (Mr Holden) for his excellent private Member’s Bill—the Pensions (Extension of Automatic Enrolment) Bill—and to the work that Onward, in particular, has done—so let me add my name to those calls. Of all the options the Minister has in front of him, expanding automatic enrolment to those aged 18 to 21 will have the most material impact for our country. Automatic enrolment should be extended as a priority to young workers, because for them the potential compound interest is greatest, the pressures of demographic change are most acute, the challenges of mental health and climate change are especially relevant and the need for greater financial inclusion is most pressing.
The challenge for this age group is stark. Only 18% of eligible 18 to 21-year-olds are currently enrolled in a workplace pension.
Does my hon. Friend agree that we need to ensure access to pensions for not just young people but those in multiple jobs who do not reach the £10,000 threshold in a particular occupation? In Sedgefield and the surrounding villages, there are many people in low-paid work who do multiple jobs to try to reach a certain earnings level.
My hon. Friend makes an important point. For the purposes of my remarks I want to focus on young people because, as I said, that will have the most material impact, but I know that others will speak about the points he raises.
Today, over four out of five 18 to 21-year-olds are missing out on the benefit of compound interest, despite belonging to the very group for whom the potential for exponentially increasing savings is the greatest.
I am an accountant by trade. I contributed to a pension for a long time. My wife also contributed to a pension for a short number of years before we had our daughter. When I came to retire aged 56, just before I came to this place, we looked at the balance of the pensions and found she had made a disproportionate contribution in relation to the time that she had spent working, because it was right at the start. Does the hon. Gentleman agree that communicating with people about the importance of early and continuous contributions is vital? It is not just a triviality, as it is so important to the outcome at the end. Personally, I am benefiting massively from what happened at that early stage. I do not think we get the message out about how important this is for people. Does the hon. Gentleman agree that communications are important?
I thank the hon. Gentleman for his comments. He is right that it is best to make contributions from an early age. I can speak to that and the benefits of it. Even though I may not have understood that at that time, my mother was insistent, so I enrolled. Today, we see the benefits of all the things we did in the past.
To be eligible for a compulsory pension scheme in Northern Ireland, a worker must be at least 22, under state pension age and earning more than the minimum earnings threshold. I know some young people who have been paying into pension pots from as young as 18, but that is down the employer and employee discretion. I do not see a reason why young people who are in consistent work should not be contributing to their future, as referred to by the hon. Member for Sedgefield (Paul Howell).
As this subject is not taught in schools, young people feel unaware of the importance of taxes and pensions. I urge the respective Ministers to think about that in relation to schools. There may be a way of suggesting to young people at an earlier stage that they need to be making contributions, perhaps through an introduction provided while they are at school.
(2 years, 11 months ago)
Commons ChamberKickstart provides exciting opportunities for young people most at risk of long-term unemployment and with the greatest barriers to progress. Young people are commencing roles daily and thousands are starting each week. New Department for Work and Pensions data released to Parliament today confirms that as of 8 September, we have reached more than 69,000 starts, pleasingly, with more than 188,000 roles remaining for work coaches to refer young people to.
While kickstart has been well received by many, there have been frustrations for some. My constituent, Francesca Harding, who runs Butterwick Kennels in Sedgefield, has been particularly disappointed by the performance of Adecco as a gateway provider and the working relationship with Jobcentre Plus. The rules around advertising positions, citing potential age discrimination and all of that, have frustrated the process of getting young people in. It concerns me whether that is a local misunderstanding or whether we need to look at the rules to get even more young people engaged in these schemes.
DWP has worked closely with Adecco Working Ventures to help support young people via kickstart. As a gateway-plus, it plays an important role in allowing sole traders and other small employers to access the scheme. Employers in gateways can promote involvement, including advertising any approved roles, once they have a grant agreement in place. However, referrals of young people to kickstart jobs must be made by work coaches to ensure that candidates are eligible and suitable, but I am happy to look at the case.
(3 years, 5 months ago)
Commons ChamberOver the past year we have seen state intervention on a scale not dreamed possible by a Conservative Government. However, this perfectly reflects our approach. Our core belief is that the state should intervene only when necessary, and it has certainly been necessary this year. The state should help when help is needed, but otherwise it should not interfere and should let people get on with their lives.
Economically speaking, the only way for us to grow and build back better is for our private sector businesses to pull the economy back to health, creating jobs and wealth for all. I therefore welcome the six-month extension to the universal credit uplift, the extended furlough scheme, the self-employment extensions and the inclusion of the newly self-employed. The super-deduction on investment in plant and machinery will rocket-boost capital spending and make inroads into the productivity conundrum. If I had a request, it would be to extend it to other businesses, such as farmers. I particularly like the support for our hard-hit hospitality and leisure businesses, and to do all this while supporting a green industrial revolution is just amazing.
As our smaller businesses are the real engine, I also commend the Help to Grow scheme and digital skills support, which will deliver opportunities for better growth. All our lives have changed dramatically over the past year, some financially or emotionally; some will revert as the lockdown eases, but some will take many years to recover—if, indeed, they ever do.
The support offered comes in many guises. The short-term financial support I have already touched on, but livelihoods are about more than that; they are about a belief in a better future, about believing that society is fair, and I see key levers for that. The restart programme, the kickstart scheme, the Prime Minister’s lifetime skills guarantee, the £3,000 incentive for all hires and £126 million to triple the number of traineeships are all building blocks that give people a hand-up and the opportunity to grow or retrain.
Members representing constituencies such as mine in Sedgefield were elected on a promise of levelling up well before covid-19 arrived, and to do so requires Government intervention to create the stimulus for change. A key part of that is opportunity. Decisions like a freeport for Teesside and funding for new port infrastructure to build offshore wind projects are transformational for the Tees valley, and I hope that the Chancellor and his colleague the Transport Secretary will continue to recognise the importance of local infrastructure to support access to the jobs created and educational opportunities. Ferryhill station, the Leamside line and the Dar-link northern bypass are critical for the people and businesses of Sedgefield to share in this opportunity.
I welcome the opening of the levelling-up fund and look forward to utilising that for the benefit of the people of Sedgefield. When it comes to levelling up and supporting left-behind communities, I could not be further from the Leader of the Opposition’s comments yesterday. In my maiden speech, my suggestion that the Treasury could relocate to Sedgefield was met with some humour. But for those who do not know, the Sedgefield constituency wraps around Darlington town, with the long-held Conservative wards of Hurworth, Sadberge and Heighington and Coniscliffe, so that is close enough for me. I have been delighted to campaign for that with my Conservative colleagues along the Tees valley, in particular the Tees Valley Mayor, Ben Houchen, who has been indefatigable.
This is a transformative step for Sedgefield; it delivers opportunities for careers that were previously only found in London. It is important to have decision makers based outside of cities. For the Labour leader to say yesterday that moving those Departments from his London-focused world to Darlington was “giving up” was an insult to the people of our area. I look forward to the local Labour politicians in Durham, Darlington and the Tees valley distancing themselves from those comments—or maybe they will toe the party line and wait for the electorate to speak for them. I await May with interest.
It is clearly only the Conservative party, through this Prime Minister and this northern Chancellor, who care about and will deliver for the north-east.